Offshore: Small but strong
During the past few years, activity levels in Luxembourg have been reaching record highs. Most of the world's leading financial institutions now have offices in the Grand Duchy and domestic law firms have been expanding to meet the demands of the increasing number of investment funds residing in the country. Luxembourg is now at a point where, not only is it the key domicile for European investment funds but also, a large majority of the world's international transactions are being structured through Luxembourg investment vehicles. So why has this small country of only 450,000 inhabitants spread across a mere 1,000 square miles been attracting so much attention recently?
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