Established in 1969 as the international arm of Fidelity Investments, founded in Boston in 1946, Fidelity International became independent of the US organisation in 1980, and is today owned mainly by management and members of the original founding family.
Fidelity International has become the latest fund manager to expand its operations in Luxembourg as it prepares for Britain’s departure from the European Union.
The fund manager said in a statement that it has extended its MiFID licence in the Grand Duchy to be able to offer portfolio management services to clients with segregated accounts.
“We have done this for two reasons. In the first instance, in case Fidelity’s EU clients prefer to contract with an EU rather than UK entity for portfolio management services – especially in the run-up to Brexit,” a spokesperson for Fidelity said.
“In the second instance, in case it becomes actively problematic for Fidelity’s EU clients to contract with a UK portfolio management entity as a result of Brexit.”
“We are now prepared for the worst should the eventual Future Trade Agreement or a breakdown in negotiations prohibit UK entities from managing money for EU clients in the future.”
Fidelity opened its Luxembourg office in 1991 and now has around 160 employees in the Grand Duchy.
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