The SIF is a new category of regulated undertakings for collective investments intended to replace existing institutional-type investment funds. The SIF offers an alternative to the SICAR and the traditional regulated investment funds. Due to the variety of different legal forms offered, the flexible investment rules, the lighter prudential regime, the broadening of the sphere of the investors as well as the tax benefits, the SIF has, since its launching by law of 13 February 2007 ("the SIF Law"), met the demand from the financial industry.  SIF regime can be used to create, for example; real estate funds, private equity funds or hedge funds. The SIF is subject to the general principle of risk spreading.  However, these principles are considerably alleviated in respect of traditional investment fund vehicles.

SIFs are flexible, light regulated funds in which only sophisticated investors may invest. It is the most chosen regulated vehicle for structuring real estate investments and is often used for private equity structures.  SIF may invest in a wide range of assets to the extent they are movable (including artwork, wines).  This feature combined with an umbrella structure is attractive for managing large family estate and inheritance planning purposes.

For more information on SIF, please download our information memorandum on SIF in the Resources section.