Alternative investments offer different characteristics or profiles, each of which provides investment benefits in the context of a global portfolio allocation. In general, the addition of carefully selected alternative strategies should improve the risk/return profile of a portfolio.
What are your challenges
Alternative investments offer investors the potential for diversification, higher returns, and protection against inflation. However, they come with their own set of risks and challenges, including illiquidity, higher volatility and complexity. It is essential to carefully assess your risk tolerance, conduct thorough research and seek professional advice before venturing into alternative investments.
How we can assist you
Alternative investments include investments in the following pillars:
- Private Assets Funds Formation
- DeFi, Crypto Currencies and Blockchain
- Private Equity
- Venture Capital
- Real Estate
- Infrastructure
Private Assets Funds Formation
Working hand in hand with the other practices of the firm notably our Private Equity, Venture Capital and Real Estate practices and our legal network with Fund formation lawyers in the most important centres. Our team of legal experts assist fund managers, depositary banks, central administrations, board of directors and any fund industry stakeholders.
Your challenges:
- A deep understanding of the Luxembourg and European toolboxes;
- A comprehensive view of market trends and challenges;
- A legal expertise in drafting and negotiating funds related documents and procedures;
- A thorough knowledge of the regulator’s practice;
- A committed, pragmatic and responsive team.
How we can help:
- Product life cycle management from initial structuring, to day-to-day maintenance of the fund documentation up until special events that may impact the funds, such as restructurings or liquidations, covering the entire range of liquidity, whether the funds are regulated or not;
- Regulatory queries impacting the asset management industry: be it related to the AIFMD, SFTR, Benchmark Regulation, PRIIPs or others;
- Depositary banks: impact assessment and implementation of new regulations;
- Set-up and strategic or regulatory restructurings of depositary banks and management companies;
- Regulatory investigations and sanctions for Luxembourg regulated entities and their service providers abroad;
- Assistance in due diligence related to investments in target funds.
Contact:
Mathieu Scodellaro
Principal, PwC Legal
Tel: +352 26 48 42 35 51
DeFi, Crypto Currencies and Blockchain
DeFi / Decentralised finance is an emerging financial technology based on secure distributed ledgers similar to those used by cryptocurrencies.
How we can help:
- Development of the legal and regulatory strategy for the project, products and services to be released or operated by the client;
- Addressing legal, regulatory and security issues involved;
- Structuring the relationship with the end-users, etc;
- Structuring the fundraising for the project, including through the issuance of stock:
- securities or tokens;
- advice on the application of securities legislation;
- regulatory matters.
- Structuring the intellectual property, ownership of the most valuable assets relating to the business and relationship between the founders;
- Advice on applicable cybersecurity standards and various risk assessment requirements;
- Data protection and GDPR compliance;
- Legal support for tokenisation and structuring of the underlying asset;
- Legal support of the day-to-day business operations:
- drafting and reviewing contracts;
- developing user documentation;
- drafting agreement forms, etc.
Contact:
Mathieu Scodellaro
Principal, PwC Legal
Tel: +352 26 48 42 35 51
Cédric Raffoul
Partner, Avocat à la Cour au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 60
Private Equity
PwC Legal provides a 'very strong and integrated service' to an impressive range of sponsors across all aspects of the private equity value chain.
Our expertise helps you with:
- Structuring and financing acquisitions or disposals;
- Private equity and real estate M&A;
- Stock options and other incentive plans (including carried interest);
- Structuring shareholder rights and obligations;
- IPOs;
- Shareholder disputes.
You will require:
- A comprehensive knowledge of the Luxembourg private equity market, along with the relevant legal and regulatory trends and challenges;
- A legal expertise in negotiating deal terms and drafting the regulatory, transactional and financing documents;
- A committed and responsive team
How we can help:
- On all aspects of funds formation, working closely with our Investment funds practice;
- Negotiating deal terms and drafting key investment documents such as term sheets, share and asset purchase agreements, shareholders' and investment agreements, side letters, commitment letters and tailor-made articles of association;
- Negotiating and drafting finance documents - third party and intragroup loan agreements, security guarantee packages, debt and equity instruments;
- Advising on insolvency rules;
- Advising on employment aspects, including stock options and other incentive plans;
- Assistance with and advice on day-to-day management matters and shareholder disputes.
Contact:
Catherine Baflast
Managing Partner, Avocat à la Cour au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 36
Jean-Yves Lhommel
Partner, Avocat liste IV au barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 05
Venture Capital
Venture Capital has been recognised as one of the most promising asset classes in alternative investments representing 14% of the global alternatives AuM (Asset under management) in January 2021.
We help our clients with a range of legal and quasi-legal issues associated with raising capital and completing a sale.
These services include:
- securities compliance;
- drafting contracts of sale;
- intellectual property;
- monetisation and personnel issues.
We ensure to have a thorough understanding of our client’s business as well as the knowledge of the securities laws that apply to the business transactions.
Contact:
Catherine Baflast
Managing Partner, Avocat à la Cour au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 36
Jean-Yves Lhommel
Partner, Avocat liste IV au barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 05
Real Estate
Legal services for alternative investments in the real estate sector can cover a wide range of activities and structures. These investments often involve complex regulatory, contractual, and financial considerations. Legal services that we provide in the context of real estate alternative investments include:
- Structuring and formation: we assist in structuring the investment vehicles, help with the formation of these entities and ensure compliance with relevant laws and regulations;
- Due diligence: Conducting thorough due diligence on the target property or project is crucial. We help in reviewing titles, contracts, environmental assessments, and any potential legal issues associated with the investment;
- Contract drafting and negotiation: we draft and negotiate various contracts, including purchase agreements, leasing agreements, financing agreements, and partnership agreements. These contracts need to protect the interests of investors and to address potential risks;
- Land use and zoning: real estate development projects often require approvals related to land use and zoning. We help in navigating these regulatory processes and obtaining the necessary permits;
- Property management: we assist in drafting property management agreements and in ensuring that the property is operated in compliance with applicable laws;
- Environmental and regulatory compliance: real estate investments can be affected by various environmental and regulatory issues. We provide legal services that are necessary to navigate through issues related to environmental regulations, building codes, and other local ordinances;
- Exit strategies: we help in planning exit strategies, such as property sales, mergers, or dissolution of investment vehicles, and ensure these are executed in compliance with the law.
We provide legal services that are essential to protect the interests of investors and ensure that alternative real estate investments are structured and executed in compliance with all relevant laws and regulations.
As lawyers specialised in real estate and alternative investments, we can navigate through this complex area in an effective way.
Contact:
Serge Hoffmann
Partner, Avocat à la Cour, PwC Legal
Tel: +352 26 48 42 35 42
Infrastructure
Amongst alternative investments, infrastructure is without doubt one of the sectors with the highest growth potential.
Infrastructure development needs are increasing in all regions of the world and global megatrends such as digitalisation, sustainability, the energy transition and political changes are transforming the infrastructure sector.
We work with public authorities, private investment and finance stakeholders, and help clients negotiate the complex legal, regulatory, financing and construction issues that arise in infrastructure projects.
At PwC Legal all legal and regulatory aspects of projects lifecycle are duly covered and optimally managed.
With experts in all key areas of law, we support clients at every stage of their infrastructure projects, from:
- planning;
- funding;
- development to operation;
- management and eventual decommissioning.
Contact:
Serge Hoffmann
Partner, Avocat à la Cour, PwC Legal
Tel: +352 26 48 42 35 42
Contact us
Managing Partner, Avocat à la Cour au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 36
Partner, Avocat à la Cour au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 42
Partner, Avocat à la Cour au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 60
Deputy Managing Partner, Avocat à la Cour au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 98
Partner, Avocat liste IV au Barreau de Luxembourg, PwC Legal
Tel: +352 26 48 42 35 05
