LAVCA Members can now download the 2021 Directory of Latin American Pension Funds, which includes an analysis of the key markets, recent regulatory changes, directory of regulatory agencies, and key contacts at the top pension funds in each country.
Latin American pension funds play an important role in the development of the region’s private capital industry. At the same time, as populations age there has been increasing pressure to maximize returns to ensure long-term appreciation of pension assets. As governments seek to develop domestic investment industries and increase returns to local pensioners, the region has increasingly liberalized regulations around pension fund allocations to private capital funds. As a result, today pension funds are able to invest in an expanding array of alternative funds including private equity, private credit, infrastructure, real estate, and venture capital funds.
2020 was a difficult year for the region’s pension funds as they sought to manage volatility that negatively affected their holdings. As the COVID-19 pandemic continues to churn into 2021, there will be significant short- and medium-term effects on many of the pension fund systems in the region.