Luxembourg plays a sophisticated key role in the world financial system. Its fund administration sector is the second largest in the world though its pre-eminent role in the European market, services which are also proving successful in Asia, the Middle East and South America. Private banking in Luxembourg is the other main pillar of the financial industry: it is the largest in the eurozone and is ranked sixth in the world. The country has expertise in other domains, too, being an attractive base for life insurance and reinsurance companies, including leadership in the area of “captives”. Luxembourg also has a favourable environment for private and corporate Philanthropy thanks to a competitive tax framework, and the advice and structuring services offered by the banking sector, and the Fondation de Luxembourg.  

The factors contributing to the sucess the financial service and banking sector