|
|
Opalesque Exclusive: In modernization move, Peru pension funds eye alternative investments
By Matthias Knab: According to published reports, Peru's AFPs, or private pension funds (AFP website), are taking interest in alternatives.
Peru's private pension sector is pushing towards modernizing and allowing more flexibility. Melvin Escudero, who heads pension fund investment supervision within the Peruvian Pension Fund Investment Supervision (SBS), recently (May 2008) recommended at a seminar (available here - in Spanish: Source) that adding alternatives improves the risk-return profile of a portfolio (page 19). His presentation lists the following non-traditional investments: Project finance, private equity, hedge funds, commodities funds, real estate funds, mortgage & asset backed securities, structured products (cap guaranteed and derivatives/index based). He further encourages the development of new benchmarks and generally change the investment focus from rentability guarantees towards performance.
Mercer reports pension plan losses masked by increasing corporate bond yields
The heavy fall in global stock markets at the end of the second quarter has pushed the aggregate estimated financial position of pension plans of large US companies further in...................... To view our full article Click here
|
|