This article aims to illustrate the new regime for European long-term investment funds and its potential for the pan-European distribution of alternative investment funds. The authors summarize the existing challenges for asset managers and distributors under the previous regime and the key amendments on the asset and distribution side of the new regime. The article focuses on the regulatory and tax related aspects from a practitioner’s perspective, including some country-specific incentives for the launch and distribution of European long-term investment funds and a brief overview of the current landscape.