Fund commun de placement
A Fonds commun de placement ( FCP or FCP ) is an investment fund set up under French or Luxembourg law.
The FCP corresponds to the structure of the special assets or securities investment fund under German law. However, an FCP is not a company, but a contractually regulated joint property, in French: "Propriété collective indivise". This is regulated in Luxembourg by the law of December 17, 2010 on undertakings for collective investments and the law of February 13, 2007 on special funds (Special Fund Act). The FCP aims at all types of financial investments based on the principle of risk diversification. It is crucial that the investment fund is not liable for the obligations of the management company or the shareholders. In the event of payment difficulties, the creditors of a management company do not have the option of accessing the funds invested in the fund, which protects the fund's investors.
In addition to the FCP, there is a SICAV as a corporation under French or Luxembourg law . Just like the FCP, the SICAV invests in various financial instruments, but as a company it has a different tax status.
