Arabic
Chinese (Simplified)
English
French
German
Portuguese
Russian
SpanishIt’s on! Mexican Afores plot mutual fund foray
Nothing moves quickly in the world of pension reform. Just ask Mexico’s pension funds, whose patience has been pushed to the limits of late.
After being granted access to foreign mutual funds for the first time in December 2017, Mexico’s pension funds had to wait over a year to receive guidelines from the local pensions authority, known as Consar, on how they could invest in them.
A number of factors led to delays, not least among them last July’s presidential elections, as the win of left-wing candidate Andrés Manuel López Obrador led to changes at the helm of Consar.
It wasn’t until mid-February that Consar finally released its directive, firing the starting gun for the pension funds – known as Afores – to finally start investing in mutual funds.
‘Just having defined criteria is beneficial for the system, more than anything because the Afores will be able to rely on managers with more experience in thematic investments or particular regions,’ said Miguel Martínez Romero, director of investments at Afore Azteca.
Read more @Citywire Americas
