By FINTECH Books Contributor, Laurent Marochini Follow: @Marochini1975 Even if Luxembourg funds are well regulated (UCITS and AIFMD), the Regulator is keen to constantly improve and make regulation more efficient. However more regulation implies additional cost for the financial industry to comply with the new regulatory rules. Furthermore, it leads to more complex processes and issues with legacy systems. It can negatively affect the customer experience and the efficiency of the industry, producing the opposite effects.Investor protection is the main objective of any new regulation. To reach this objective, the financial actors and in particular our fund industry in Luxembourg, needs to provide a high level of transparency.  Regulation is more and more the top priority of our financial European institutions. A bank has to make a regulatory change each 15 minutes. We do believe that RegTech companies can offer suitable and appropriate solutions to associates increasing regulation with the fast pace of emerging technologies. They help bank comply with rules. Banks are expected to invest more than $20 billion in technologies by 2017. RegTech will be one of the priorities. RegTech can allow the large organization to adopt a more agile approach, improving time to market, and transparency. Distributed ledger technologies (DLT), Artificial intelligence and Big Data are key technologies inside the industry.The collaboration between large organisations and RegTech companies, combined with a dynamic ecosystem and an open minded Regulator will be the key to success. Luxembourg, having the first largest fund industry in Europe has the best position to become the future Hub of choice for RegTech. DLT offers new opportunities in the area of regulatory reporting allowing more efficiencies, speed and transparency in the industry as a whole The use of artificial intelligence for digital onboarding through facial recognition combines efficiency of process and customer experience The ability to collect a large amount of data, through sophisticated algorithms is a major opportunity to reduce the fraud.