Luxembourg’s private market funds sector boasts significant strengths, including a strong expertise developed prior to the AIFMD implementation, making it a preferred domicile for asset holding vehicles. Alessia Lorenti highlights the effectiveness of the reserved alternative investment fund (Raif) and Luxembourg limited partnership in catering to private market needs. The country’s extensive experience and cross-border distribution capabilities provide a solid foundation for the retailization of private assets through European long-term investment funds (Eltifs). However, challenges persist in human capital, with issues surrounding talent attraction, retention, high turnover rates, and rising employment costs.