Securitisation vehicles

Securitisation vehicles can take different forms: securitisation fund or company.

Securtitisation Funds

Securitisation funds are not legal entities. They are managed by a management company.

Securitisation funds made up of one or several fiduciary estates are subject to trust and fiduciary contract law.

They are set up in the form of a fiduciary estate separate from the management company, which must be a Luxembourg resident (Sàrl or SA, i.e. a private or public limited company).

The assets and the liabilities of the fund must be separate from those of the management company.

A securitisation fund may be made up of several sub-funds that are independent from each other.

Securitisation Companies

Securitisation companies must take the form of a public limited company (société anonyme), a partnership limited by shares (société en commandite par actions), a private limited liability company (société à responsabilité limitée) or a cooperative company organised as a public limited company (société coopérative organisée comme une société anonyme).

The articles of incorporation of a securitisation company may authorise its board of directors/managers to set up one or several sub-funds which would each relate to a distinct part of its assets and liabilities.

The minimum capital of a securitisation company is the standard minimum for commercial companies (EUR 12,500 or EUR 31,000).