1. General principles
The purpose of this manual is to specify the procedures and principles relating to the processing of customer complaints applicable in connection with the operations and functioning of Investing for Development SICAV (the “Fund”) and its sub-fund: Luxembourg Microfinance and Development Fund.
The manual has been developed based on the CSSF regulation n° 16-07 of October 26, 2016 relating to the out-of-court settlement of claims, which repealed and replaced the CSSF regulation N° 13-02.
Adopted in its latest version dated June 11, 2018 by the Board of Directors, the manual will be kept up-to-date in the event of a change of procedures, to always provide a correct description of the reality and standards to be respected by all those involved in the management of the Fund. As the Fund has the status of “professional”, registered under Part II of the Luxembourg law of December 17, particularly that of “collective investment scheme”, its operation is governed by the provisions of the Act 17 December 2010. As a professional, the Fund undertakes to comply with all the professional obligations, prudential rules and rules of conduct established by the aforementioned law and accordingly assumes the responsibilities arising from the regulations relating to the handling of customer complaints. All employees of the Fund, who will be chosen at any time for their personal reliability, will be constantly aware of these rules and will assume, in the spirit of a culture of caution as required by law and regulation in force, their responsibilities with all the professional conscience and discretion required.
The Conflict of Interest Policy, approved by the Board of Directors of Investing for Development SICAV on February 2, 2016, defines the policy and procedures within the Fund for (i) identifying and preventing circumstances that constitute or create a conflict of interest that may be detrimental to the interests of investors in the Fund; and (ii) the management, monitoring and disclosure of such conflicts of interest as they arise.
2. Claims Management Policy
The amended law of 5 April 1993 on the financial sector provides in article 58 that “the CSSF is competent to receive the claims of the customers of the persons under its supervision and to intervene with these persons, for amicable settlement of these claims. ” Moreover, the CSSF regulation N° 16-07 on the out-of-court settlement of claims and CSSF Circular 14/589, which is still in force, require professionals of the financial sector to set up and formalize in writing internal complaints management procedures.
For the purposes of Article 1 (8) of CSSF Regulation N° 16-07, a complaint is a “complaint lodged with a professional to have a right recognized or redress an injury”. It is therefore the expression of a dissatisfaction addressed by a client to the Fund due to an alleged malfunction of the latter concerning the services provided and having caused him harm. Simple requests for information or advice, as well as all matters relating to the operation of the Fund do not constitute claims. The concepts of client and claimant are limited to the participants in the Fund and, where applicable, their legal heirs or their legal representatives (in the case of legal persons or in the case of a power of attorney given to a third party).
B. Claims procedure
Complaints are sent in writing to Investing for Development SICAV, either by mail to Investing for Development SICAV, 2 place de Metz, L-1930 Luxembourg, by e-mail to firstname.lastname@example.org, or by fax number (+352) 27 47 35 72. When a customer expresses a complaint by the oral way (at the telephone number (+352) 27 47 35 72), it must confirm it in writing so that the Fund can register for processing. The client must in all cases indicate his full contact information (last name, first name, address, telephone number), mention the object of his claim and accurately describe the alleged malfunction of the services provided – if applicable, documents in support – so that the Fund’s staff can effectively remedy it.
C. Claims Processing
Any complaint from a customer is dated as the day of receipt by the Fund. An acknowledgment of receipt is sent to the customer within ten days of receipt of the written complaint (this must include the name and contact details (phone, email, etc.) of the person processing the complaint). Acknowledgment of receipt is not required when a response can be provided to the claim within the same time.
All claims submitted in writing to the Fund are recorded in a computer file and kept for at least ten years from receipt. From the beginning of the processing of the complaint, the customer is informed of the details of the contributor of the Fund in charge of his file as well as the consequences that will be reserved to the claim.
Each complaint is handled with diligence, transparency, and objectivity by the Fund’s employees, who provide a response to the claimants as soon as possible and at the latest within one month of receipt of the claim. If no response can be provided to the client within the aforementioned period due to the nature or complexity of the complaint, the employee in charge of the file informs the claimant, stating the reasons for the delay and a provisional deadline in which the problem invoked will be dealt with.
When the Fund’s employees notice that a malfunction alleged by a client is well-founded, they inform the Customer Claims Handler who will, if necessary, adapt the procedures of the Fund. All employees of the Service, including the Customer Claims Manager, are constantly informed of all claims made to the Fund, as well as the steps taken to deal with them, to detect recurring operational problems and to be able to remedy it effectively.
Mr. Kaspar Wansleben, Executive Director, is responsible for the day-to-day management of the entire administrative operations of the Fund and is responsible for ensuring that client complaint handling procedures are followed. He acts as a contact person between the Fund and the clients if they have not obtained a satisfactory answer to their complaints from the Fund’s employees. As the Customer Claims Manager, he is also the Fund’s contact person for any CSSF question relating to the claims of the participants in the Fund.
When a client indicates that the response to his written complaint has not been satisfactory to him, the customer’s customer complaint manager informs him by letter of the existence of the out-of-court complaint resolution procedure before the CSSF and he communicates to him the possibilities to contact the CSSF with a view to a request for out-of-court settlement as well as the arrangements for the filing of such an application, as provided for in Article 5 of CSSF Regulation N° 16-07.
Claims from a client who is in a conflict of interest with the Fund by being directly or indirectly associated with it – that is, those relating to a case in which a Fund employee has an interest direct or indirect staff, and in particular those from a contributor of the Fund who is a participant or a close associate of the Fund who participates in the Fund, as well as those from a legal entity in which a Fund employee has a direct or indirect personal interest – are handled by an employee who is a third party in the claimant’s file and / or the relationship that is at the origin of the conflict of interest.
D. The internal control procedure
Pursuant to Article 15 of CSSF Regulation N° 16-07 on the out-of-court settlement of claims and the provisions of CSSF Circular 14/589, the Client Claims Manager shall ensure compliance with the relevant policy and related procedures by having them regularly audited by the internal control body of the Fund.
The internal control of the Fund is ensured by the Risk Committee, represented by Mr Dzemal Tomic Chairman of the Committee, which is not otherwise involved in the administration of the Fund. The Committee, which meets quarterly to verify and certify the existence and execution of the operations carried out under the Fund, may take up any question relating to the Service which it deems to merit its attention, or which submitted to him, and among others any question relating to the processing of the claims of the participants in the Fund.
E. Cooperation with the CSSF
Pursuant to Article 16 of CSSF Regulation N° 16-07 on the out-of-court settlement of claims, all staff of the Fund as well as the Client Claims Manager undertake in general to collaborate closely with the CSSF for any question relating to the claims of the participants in the Fund. The Customer Claims Handler communicates to the CSSF, on an annual basis, a table listing the claims recorded by the Fund, together with an analytical report on the means implemented to deal with them. The Fund’s employees also undertake to meet all the requirements imposed on them by the CSSF in the framework of the out-of-court dispute resolution procedure provided for in Section 1 of CSSF Regulation N°. 16-07.
Commission de Surveillance du Secteur Financier
Département juridique CC
283, route d’Arlon
Tél.: (+352) 26 25 1 – 2904
Fax : (+352) 26 25 1 – 2601
Last update: 8/10/2018