Credit funds

Credit funds play a fundamental role in the global financial ecosystem, having established themselves as an alternative source of financing to traditional credit institutions, offering investors higher yields and bespoke risk management. Credit funds include a versatile array of strategies linked to directly originated loans, credit instruments, leveraged loans, high-yield bonds, distressed and opportunistic debt, and are of interest both to managers seeking capital and to investors seeking yield. Credit funds typically operate as collective investment vehicles, although alternative structures are increasingly popular. Choosing the optimal structure is of utmost importance to provide a lifelong operational, compliant path for each credit fund.

Our clients

At Elvinger Hoss Prussen, we combine a strong understanding of our clients’ needs with a dedication to delivering the most sophisticated, market-relevant and time-efficient solution for each credit fund. We have extensive experience in structuring vehicles to fit clients’ and investors’ needs, including on the underlying structures essential to taking advantage of specific investment opportunities. We are regularly involved in the law-making process, with a view to ensuring that the Luxembourg toolbox remains competitive for the broadest range of projects. We pride ourselves on advising well-established global sponsors, while also welcoming and assisting ambitious newcomers.

Our services

We deliver expert legal advice, from the beginning of a project until its successful conclusion, with services including:

• Advising on investment objectives, strategies and legal structures in accordance with specific project needs
• Formulating governance and management frameworks to underpin both compliance and sustainable growth
• Drafting and negotiating legal documentation for a fund and its overall structure, including constitutional documents, offering documents, service provider agreements and side letters
• Providing insight on market trends
• Providing trustworthy and communicative corporate secretarial services
• Negotiating or renegotiating any type of credit financing