LPEA 15th Anniversary Celebration Addresses Sustainable Innovation

On Thursday 6 February 2025, the representative body of Private Equity and Venture Capital professionals in Luxembourg - the Luxembourg Private Equity and Venture Capital Association (LPEA) - celebrated its 15th anniversary at the Cercle Cité in Luxembourg city centre at an event in which it shared its vision for the future.

The assembly of members, friends, and distinguished guests marked not only a celebration of the Association's growth but also an acknowledgment of its instrumental role in amplifying the voice of the Private Equity (PE) and Venture Capital (VC) ecosystem in Luxembourg, as also highlighted by Luxembourg’s Finance Minister, Gilles Roth, in his speech.  “The Association has been federating the industry through the years… It has made stronger the voice of the PE ecosystem ... looking for a continued excellence and innovation, which is what the country needs”. 

Strengthening Collective Voices Through Leadership 

Throughout its existence, the LPEA has been at the forefront of elevating the PE industry within the country. The Minister’s address underscored the association’s pivotal role as an instrumental leader, fortifying connections among industry players. By drawing upon the expertise of the former Presidents and fostering a multi-stakeholder environment, the LPEA has successfully established a collaborative PE hub in Luxembourg, also reflecting the resilience and unity of the industry in overcoming various crises and shocks. 

Luxembourg’s well-structured PE/VC ecosystem, characterised by pragmatic approaches akin to those of the nation itself, serves as a textbook example of how PE and VC can lead to positive and sustainable changes in the real economy. In navigating through geopolitical uncertainties and adjusted interest rate environments, the industry has exhibited remarkable resilience, maintaining momentum even amidst market disruptions, as highlighted by Claus Mansfeldt, Chairman of SwanCap Luxembourg and President of Board of Directors of the LPEA.  

Innovation and Excellence: The Cornerstones of Attractiveness 

The enduring excellence and innovation that have been hallmarks of the PE and VC sectors resonate with the country’s development goals. As outlined by Minister Roth, the PE and VC landscape in Luxembourg is not merely about financial returns. It encompasses a broader vision focused on sustainable innovation. The PE sector's unique ability to create significant impacts on the real economy positions it as a crucial catalyst for change, surpassing even publicly listed markets in fostering value creation. 

In synergy with its extensive and tailored toolbox for Funds, Minister Roth further emphasised that Luxembourg continues to expand its role as a key enabler for the PE/VC industry, promoting enhanced economic development across sectors and geographical areas. The importance of PE/VC ecosystem positions it as a cornerstone of innovation, transforming Luxembourg into a hub of excellence that attracts investment and talent. 

Fostering Education, Collaboration, and Future Growth

Reflecting on the past achievements and the evolving landscape, Stéphane Pesch, CEO of the LPEA, highlighted the association's unwavering commitment to maintaining contact with its members, and fostering a community that thrives on mutual collaboration. This is expressed through the different committees, clubs, Public Affairs Group, as well as initiatives such the Insights Conference, Investment Circle, PE Tech Days and AI Lab Forum. The promotion of education—ranging from training programmes, masterclasses to academic partnerships—has permitted the Association to create substantial value in the ecosystem’s up-skilling and capacity building efforts. 

As the industry prepares for the future, Stéphane Pesch and Claus Mansfeldt further centred their speeches on enhancing efforts towards operational efficiencies and excellence, with the transitioning from traditional back-office, to more integrated operational frameworks, investor relations and fundraising hubs, M&A and deal making enriching the PE/VC ecosystem. Emphasis was also brought on the interest for automation and AI as key enablers for streamlining processes and optimising performance. The exploration of emerging technologies such as blockchain was deemed to stand as a potential increaser of operational efficiency at all levels of the PE value chain.  

An Industry Aligned Across Europe 

The participation at the event of Eric de Montgolfier, CEO of Invest Europe, highlights the importance of having a shared view on the future of the industry. The demanding evolution of the regulatory environment combines with the observable trends across Europe: consolidation in the sector, expansion of the investor base through retailisation and the high social value, which relies on PE/VC bringing the necessary long-term returns needed by savers and pensioners. 

Looking Ahead: Building a Sustainable Future Together 

The association's leadership is poised for further achievements, focusing on attracting long-term investments, notably from the Pension Funds’ side, supported by Claus Mansfeldt’s encouragement for future fundraising endeavours. This new drive would aim to further strengthening the future and returns of our pensioners and economy as a whole. 

The LPEA recognised the latest initiatives of the government to foster an open dialogue and implementing incentives that affirm Luxembourg's attractiveness as a domicile for funds. The joint efforts of the association, industry stakeholders, and government bodies underscore a powerful message of collaboration and shared success.  

"As we celebrate this incredible journey together, it is clear that the strength of our association lies in the vibrant community of dedicated professionals and visionary leaders who have propelled the LPEA forward. Stéphane and Claus concluded by addressing a heartfelt thank you to the vibrant community of dedicated professionals and visionary leaders who have brought and will bring the association to the next level. Together, they encouraged everyone to continue building on this momentum, driving innovation, and creating a future filled with exciting possibilities for the industry. Here starts the next chapter of our shared journey!"