Offshore Investments Have an Assured Place in the Andean and Mexican Pension Systems

Cerulli Report


Author: Funds Society, Miami

According to the research, produced in conjunction with Cerulli’s research partner for Latin America, Latin Asset Management, Chilean AFP holdings of cross-border funds and ETFs total $73 billion, Colombian $40 billion, and Peruvian at $8.6 billion

Including Mexican Afores, alternatives penetration in the AFP/Afore pension fund segment jumped to $71 billion in mid-2023, from $46 billion at the close of 2020

While government-mandated emergency withdrawals in Chile and Peru dissuaded AFPs from locking up assets in long-term vehicles such as a real estate development or infrastructure projects, they have since increasingly allocated to alternatives as the response to COVID-19 has ended