The list of foreign strategies in which Chilean pension funds can invest continues to expand. At the latest meeting of the Risk Rating Commission (CCR), corresponding to the month of February, the body responsible for approving the investable universe of the AFPs gave the green light to four alternative asset managers, along with a handful of mutual funds and ETFs.
According to a statement, the Commission granted approval for specific investment strategies and co-investment operations. For example, the manager ACRE Advisors, a boutique specializing in real estate private equity and multifamily assets with 75 properties in its portfolio, across the United States, Europe, and Southeast Asia, was approved for real estate investments.
Two firms received approval for private equity. These are Archimed, a private equity firm dedicated to accelerating the development of the healthcare industry, and Stellex Capital Management, which invests in middle-market private equity assets in the United States and Europe.
The group is completed by MGG Investment Group, which received approval for its private debt strategies and co-investments. This company also focuses on so-called middle-market companies, with investments in direct lending and structured solutions.
Liquid Assets
Outside of these alternative investment houses, the CCR approved a series of foreign instruments, including five mutual funds and ten ETFs.
In the case of mutual funds, five fixed-income strategies were added to the investable list for pension funds. These include a Latin American corporate debt vehicle from the BICE Inversiones SICAV, a short-duration emerging market bond fund from BlackRock, an emerging market corporate debt fund from Stone Harbor, and finally two U.S. bond vehicles from Eastspring Investment, one focused on high-yield securities and the other on investment-grade bonds.
For their part, the ETFs added to the list are focused on equities. Those approved in the second month of the year were the DAX UCITS and S&P 500 UCITS index funds from Amundi; S&P 500 Momentum, S&P SmallCap 600 QVM Multi-factor, Russell 2000 Dynamic Multifactor, and STOXX Europe 600 Optimised Banks UCITS, managed by Invesco; and the Morningstar Developed Markets Dividend Leaders UCITS ETF, from VanEck.
BlackRock also received approval with two active ETFs, the U.S. Equity Factor Rotation and U.S. Thematic Rotation strategies, and the U.S. Tech Independence Focused ETF, from iShares.
