Recent developments in the family of funds in Mexico

Recent developments in the family of
funds in Mexico
February-March, 2013
Index
I. Evolution of the family of funds in Mexico
II. Characteristics of Current Investments
III. Final Considerations
The number of funds (SB’s) operated by each Afore
in the mandatory defined contribution system,
has evolved over time in order to adapt to
structural changes
 The system started 1997 with a single fund operated by each AFORE:
o SB1 for everybody
 In 2005 the single fund was divided into two SBs according to the age
of the affiliate, so each AFORE operated for the first time funds with
differentiated investment rules:
o SB1 (most conservative fund): Age from 56 until retirement
o SB2 (for the rest of the population): Ages 55 and younger
3
…(cont)
 In 2008 the family was enlarged up to five SB’s, refining the fund
targeted for younger age workers
o SB1 (most conservative fund): Age 56 and older
o SB2: Ages between 46 and 55
o SB3: Ages between 37 and 45
o SB4: Ages between 27 and 36
o SB5: 26 and younger
The affiliates are sent to a default SB according to their
age. When they grow older they are transferred to
4
another SB with more conservative investment rules
Since November 2012 the number of SB’s each AFORE
has to operate was reduced from 5 to 4
Each fund is targeted to a specific age group of the population
The investment limits are more flexible for younger people
3.5 yrs Returns
SB4
SB4
12.79%
SB3
SB3
11.55%
SB2
15%
SB1
SB2
10.40%
Commodities
SB1
8.98%
0.7%
1.1%
Reits and PE
Equity
International debt
Local debt
1.4%
2.1%
Risk limit
In 2012 the target age of the two most conservative SB’s was
adjusted. Thus, SB1 manage resources of people from 56 until
5
retirement and the SB2 targets ages between 46 and 59
there has been a number of variables that has
influenced the structure of the family of funds
1
Rapid growth of AUMs
2
Demographics of the system: Constant changes in the
absolute and relative sizes of each SB
3
Need to foster sustainably competitive returns and
diversification
4
Better match between affiliates profiles and alternatives
of investments available
5
Specialization of Afores in asset and risk management
6
Contribute to develop financial markets and product
innovation
6
High growth creates a challenge to diversify.
Funds’ assets under management (AUMs) have
grown at an annual rate of 20% during the last 10
years
The annual growth pace of AUMs during the past 10 yrs
was near 20%
AUMs represent 12.8% of GDP
14
2,500
2.5
12.4
10.9
12
10.6
Activos
Netos
AUM as
% ofcomo
GDP% del PIB
9.6
7.0
7.3
7.7
8
6.4
5.3
1,000
1.0
5.6
6
4.6
1,903
3.7
1,967
1,566
4
1,385
2.6
0.5
500
1,151
2.0
1.3
0 0
0.2
6.2
1997
56.7
1998
108
1999
164
2000
% of GDP
1,500
1.5
10
Porcentaje del PIB
MXN
Trillions
Miles de
millones
de pesos
Activos
de las Siefores
AUM asNetos
in MXN
2,000
2.0
12.8
248
323
402
479
588
724
831
937
2
0
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
2012
Ene-13
Source: Consar
AUMs slightly surpassed US $145 billion (1.9 MXN Trillions)
7
The demographics of the system was the cause to
merge SB5 and SB4
Final Distribution, after the merger
of SB5 and SB4
43.38
45.00
45.41
43.04
40.00
(Billion Dollar)
Assets Under Management
50.00
35.00
30.00
25.00
20.00
15.00
30.4%
31.8%
30.1%
10.96
10.00
5.00
-
Age
7.7%
0.59%1
Basic
SB1
60 or more
2.33%
Basic
SB22
Between 46 & 59
2.44%3
Basic
SB3
Between 37 & 45
2.31%4
Basic
SB4
36 or younger
Years old
The changing net inflows of the SB5 inhibited its long term allocation
due to potential short term demand for liquidity that arises when
transferring aging people among funds
8
At the same time with a family of funds it is possible to
better pursuit the mandates written down in the law
A
B
C
Capital protection
− The investment rules are more conservative for people nearer to retirement
− Can allow specific assets and forbid others that may not be good for some
fund profiles
− Less volatility of valuations during financial turbulences
Adequacy of pensions may be improved
− The family of funds gives room to optimized life cycle glide path that
increase replacement rates
− Can exploit the comparative advantage of long term horizon of some
investors to extract liquidity premium
− Longer term investor are less vulnerable to short term market risk
Economic wellbeing
− The specialization of investments makes more likely to finance more types of
economic projects, helping to create jobs, increase productivity and
competitiveness
The use of default options to assign affiliates to specific
funds within the family renders support to A and B above
9
With the family of funds it has been easier to
specialize the investment rules to foster
diversification and returns and thus rise expected
replacement rates
3
1
2002-2003
Private Debt Securities
and Derivatives
1997
Governmental
and Bank Debt
Securities.
2
2005
Equity Investments
And International
Markets.
2007-2008
Private equity, REITS,
Stock Picking
And IPO´s
2012
5
Investment grade
New Cycle Funds structure
Focus on potential leverage
through derivatives
4
2011
More FX and eligible countries
Commodities,
Investment mandates
Mutual funds
10
Capital protection was the reason to mandate in 2012
the creation of a new SB specialized in the payment of
programmed withdrawals
 Some resources from the SB1 will be sent to a new SB0,
depending on the nature of the accounts. The SB0 will manage
the following resources:
o Private sector workers that have the right to retire only under the
Social Security Law of 1997 (DC scheme)
o Public sector affiliates that have the right to retire only under the
Law of ISSSTE of 2007 (DC scheme)
o Retirees that chose programmed withdrawals
 Thus the SB1 will invest the resources of private sector workers
that can opt for the DB social security law of 1973
The investment regime of SB0 will limit more the potential market
risk exposure than the corresponding rules for the SB1, since by
construction the latter has a financial immunization (DB scheme)
11
Index
I. Evolution of the family of funds in Mexico
II. Characteristics of Current Investments
III. Final Considerations
Each SB has to follow specific and differentiated
investment rules, creating a type of life cycle
family of funds
13
The current investment rules allow most assets
classes used by international pension funds
The rules allow also for a variety of investment mechanism:
Mandates, Funds, Funds of funds, Derivatives, ETFs, in addition to direct purchases
Assets classes
Debt
















FX
















Equity
















REITS and PE
















ABS
















Commodities
















1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012
14
A more flexible and specialized investment regime
has led to a process of diversification of
investment portfolios
Last 2 yrs
8.4%
13.4%
3.5%
8.7%
2.3%
1.9%
9.2%
3.5%
17.3%
17.6%
60.2%
54.0%
Government
securities
Figures as of December 2012
Domestic
debt
REITs and PE
Domestic
Equity
International
debt
International
equity
15
50
ene-00
may-00
sep-00
ene-01
may-01
sep-01
ene-02
may-02
sep-02
ene-03
may-03
sep-03
ene-04
may-04
sep-04
ene-05
may-05
sep-05
ene-06
may-06
sep-06
ene-07
may-07
sep-07
ene-08
may-08
sep-08
ene-09
may-09
sep-09
ene-10
may-10
sep-10
ene-11
may-11
sep-11
ene-12
may-12
sep-12
ene-13
Porcentaje
…Mainly away from Government securities (only as
a percentage of AUM, not in absolute terms)
Government securities holdings by Afores
100
95
90
85
Diciembre 2009
69.8%
80
75
2012
70
Enero
54.27%
65
60
55
Figures as of January 31, 2012
16
…Into longer maturity assets
EVOLUTION OF WAM (in days)
SBs –WAM in days
WAM
12.71 yrs
7.5 yrs
Governmemt debt
SBs
Figures as of January 31, 2012
Source: CONSAR- VICEPRESIDENCIA FINANCIERA.
17
…allowing the exploitation of the foreign
securities limit (written down in Law)
Foreign securities holdings
11.89%
20%
Used = 11.89%
Limit = 20%
Room available= 8.11%
The Law establishes a maximum limit of 20% of AUMs for
foreign securities holdings. This is a serious constraint to
long term diversification
Figures as of January 31, 2012
18
…in tandem with less concentration in Mexican peso
denominated securities
Holdings of securities denominated in eligible FX
12.93%
30%
Used = 12.93%
Limit= 30%
Room available = 17.07%
The maximum exposure to FX is 30% of AUMs. This should
not be mistaken by foreign securities limit (currency risk vs
issuer risk)
Figures as of January 31, 2012
19
1 yr. gross returns
And the differentiation in the exploitation of the
investment possibilities has led to important
differences in returns (measure at this point at 3.5
yrs)
17.5%
17.0%
16.5%
16.0%
15.5%
15.0%
14.5%
14.0%
13.5%
13.0%
12.5%
12.0%
11.5%
11.0%
10.5%
10.0%
16.82%
14.76%
14.65%
13.21%
10.84%
SB1 B1
Sistema
(60 yrs and older)
Figures as of January 31, 2012.
SB2 B2
Sistema
(46 to 59 yrs)
Sistema
SB3 B3
(37 to 45 yrs)
SB4B4
Sistema
(36 yrs and younger)
20
Index
I. Evolution of the family of funds in Mexico
II. Characteristics of Current Investments
III. Final Considerations
Another advantage of the design of the family
of funds in Mexico is that it helped to protect
more the capital of the fund for people nearer
to retirement in comparison to the rest
8.0%
6.15%
6.0%
4.0%
2.0%
1.05%
Average
-1.77%
0.0%
-0.53%
-2.0%
-2.27%
-4.0%
SB1
(56 yrs and older)
-3.61%
SB2
(46 to 55 yrs)
SB3
(37 to 45 yrs)
SB4
(27 to 36 yrs
SB4
26 yrs and younger
22
The investment portfolios of Afores would be
more resilient to past crisis than a
concentrated portfolio en Government debt
‐1.6% ‐1.2%
Tequila crisis
‐10.3%
‐13.6%
Russian Crisis
‐4.7% ‐4.2%
‐5.4%
‐5.1%
Iupward shift of 100 bp in Iterm structure
‐3.8%
FX Shocks Down (Todas) 10%
‐3.5%
‐3.8% ‐3.2%
Asian crises
September 11
‐3.3% ‐2.9%
‐0.4% ‐0.3%
‐16.0%
‐14.0%
‐12.0%
‐10.0%
VaR at 97.5%
‐8.0%
Investment Portfolios
‐6.0%
‐4.0%
‐2.0%
FX Shocks Down (USD) 10%
0.0%
Government securities
However, under the current circumstances
where interest rates may start to increase, the
most conservative fund is the most vulnerable
due to its concentration in debt instruments
Afore
1
2
3
4
5
6
7
8
9
10
11
12
13
TOTAL
SB1
‐2.15%
‐2.39%
‐2.55%
‐2.60%
‐2.32%
‐0.31%
‐2.74%
‐2.59%
‐3.45%
‐1.18%
‐2.41%
‐2.82%
‐2.55%
‐2.55%
SB2
‐0.58%
0.41%
‐1.97%
‐1.60%
‐1.04%
0.46%
‐1.35%
‐1.72%
‐1.05%
0.14%
‐0.78%
‐2.35%
‐1.96%
‐1.37%
SB3
‐0.38%
0.38%
‐1.85%
‐1.41%
‐0.70%
0.88%
‐1.11%
‐2.04%
‐0.46%
0.43%
‐0.88%
‐2.25%
‐2.17%
‐1.34%
SB4
‐0.19%
0.88%
‐1.75%
‐1.24%
‐0.10%
1.18%
‐0.83%
‐1.90%
0.61%
1.17%
‐0.49%
‐2.21%
‐2.30%
‐1.13%
Afore
‐0.54%
0.51%
‐1.88%
‐1.47%
‐0.44%
0.69%
‐1.12%
‐1.91%
‐1.39%
0.44%
‐0.83%
‐2.30%
‐2.14%
‐1.37%
The scenario consist of 100 b.p. parallel upward shift in the term
structure, a 10% appreciation of the Mexican peso and a rise of 10% in
24
the Mexican stock market. Even though the scenario might be
unrealistic the moral holds higher concentration of debt
CONSAR continues to use two regulatory
approaches in order to tackle with increasing
complexity of investment portfolios
A more flexible investment
regime may lead to higher
potential complexity
Focused on market, liquidity and
credit risk limits
Prudential regulation
Foster best practices, avoid conflict of
interests, and develop asset managers
corporate governance and skills
Rik managemnt skills
Investment regime:
-
Complexity of portfolios
+
And thus it will be required better
skills of asset managers
25
To optimize the replacement rates is necessary an
efficient management of pension resources
 For this purpose is necessary to implement a dynamic approach
 There are two traditional views
o Life cycle investment: follow a glide path, where the portfolio rebalances
over time in order to get exposure to market risk reduced as termination is
nearer
o Life style investment: keep constant the absolute level of market risks (in
practice this is only up to some point at which afterwards exposure to risks
is reduced)
 A family of funds helps to get closer to an optimal design
o Asset managers can strike different balances between returns and risk that
will fit the heterogeneous profiles/preferences of affiliates
o Thus the main financial risks can be tackled according to the different
profiles of affiliates
26
…(Cont)
o For longer term investors, that is, young affiliates, the main risks are credit
and inflation
o For short term investors or people closer to retirement, the liquidity and
market risks are more relevant, and inflation and credit become second
order of importance
 Diversification will play an important role
o It is a kind of self insurance: the opportunity cost you pay in bull markets
helps to protect you in bear markets.
o For good diversification is not enough to look at correlations
o Assets classes are neither synonymous of diversification but very often are
considered as basic building elements for this goal
o True diversification requires to find out the determinants of (long term)
returns
 The regulator ought to consider freeing the investment rules further
27
…(Cont)
 Robust risk management is the best tool to tackle with challenging times
like the current one
o Strong corporate governance: Make asset managers to define and follow an
integral approach in the decision making, to define robust processes to
execute relevant tasks and ensure that internal checks and balances exists
o Make assets managers to get directives, guideline and support from a
essential committees like risk, investment, best practices, and ethics
o Align the interest of asset managers with those of affiliates, incentivize
compensation schemes of managers and operators with long term
objectives, and foster transparency and accountability
o Ensure that the asset managers have the appropriate human capital, systems,
information and infrastructure (systems) to perform effectively activities and
execute authorized strategies
 Strengthen the Risk Based Supervision pillar
 Support programs to increase the financial education of affiliates
28
What can be done in the short term with looming
scenarios
 There are no recipes and the macroeconomic adjustment will continue for
a time. Therefore, it might be helpful to remember the following:
o Pension funds should try not to overreact to negative valuations, and try to
avoid herd behavior. Conversely, if fundamentals are sound there will be
opportunities to take advantage of long term nature of resources
o Pension funds must have a sound liquidity management policy in place.
o Pension funds must have the skills to analyze/invest in alternative real assets
o Defensive financial strategies must be used responsibly by pension funds
(short selling, rotating fixed income towards equity, swaps of fixed for
variable rates, etc.)
o The seek for fundamental diversification must go on during turbuences
o Potential pensioners may consider postponement of retirement or if they
retire to use hybrid payment schemes (start with a programed withdrawal
and later switch to an annuity- the latter are at this point expensive due to
small discount rates)
29
Título
Recent developments in the family of
funds in Mexico
February-March, 2013
ANNEX
A more flexible investment regime opens the
possibility to differentiate across type of SB’s as well
as among Afores within each type of SB
Observed levels Value at Risk (VaR)
AFORE
SB1
1
2
3
4
5
6
7
8
9
10
11
12
13
System
Regulatory Limit
SB2
35.4
52.2
54.3
49.0
31.6
5.7
63.5
55.3
57.4
49.9
41.2
56.2
49.8
54.5
70.0
42.4
65.2
82.0
81.2
51.4
14.9
96.8
83.6
82.1
71.1
68.0
86.8
79.7
75.9
110.0
SB3
SB4
48.4
79.5
100.5
92.1
57.8
25.0
114.5
92.9
100.3
78.8
85.1
104.1
93.5
86.6
140.0
Total
54.7
87.5
122.1
111.9
69.5
36.9
144.8
112.0
112.4
94.8
105.5
127.7
112.2
107.3
210.0
43.4
79.3
98.5
85.7
64.7
21.0
118.7
91.8
80.1
80.7
81.3
102.5
91.8
85.5
N/A
2.1
Valor en Riesgo (VaR)
2.0
1.8
Básicas 1
Básicas 2
SB1
SB2
SB3
11 - ene - 2013
Básicas 4 Adicionales
SB4
Límite
0.4
-
Afore
Voluntary Total
MIN
1.2
0.8
0.8545
0.8961
1.0727
1.0956
0.8664
Básicas 3
0.3689
0.3073
0.1488
04 - ene - 2013
Figures as of January 31, 2012
0.9178
0.0566
0.2501
0.5844
0.3167
-
0.7767
0.3
0.6352
0.5381
Regulatory limit
0.6
0.7595
0.9
1.1873
1.4477
1.1452
0.9676
1.2
0.5452
Consumption the previous
week and the last date
1.6
1.5
MAX
32
…(Cont)
Weighted average maturity (in yrs)
AFORE
SB1
SB2
SB3
SB4
Total
1
2
3
4
5
6
7
8
9
10
11
12
13
Systm
Max
Min
Figures as of January 31, 2012
7.2
8.8
8.4
10.6
6.7
2.7
12.2
9.6
13.1
8.7
8.2
12.1
9.1
10.0
13.1
2.7
6.1
6.5
11.2
13.0
8.9
2.2
13.9
10.8
14.0
11.3
10.3
13.6
11.8
11.3
14.0
2.2
7.1
9.6
12.4
14.2
10.3
3.2
16.6
12.0
17.4
12.9
12.7
14.8
13.2
12.9
17.4
3.2
8.2
10.0
13.0
17.1
11.0
3.9
20.2
13.0
18.3
15.7
12.5
15.7
14.2
14.2
20.2
3.9
7.3
9.0
11.9
13.4
10.4
2.9
17.0
11.6
14.6
12.7
11.5
14.5
12.6
12.4
17.0
2.9
33
…(Cont)
Differential of CVaR applied on leverage through derivatives (B.P.)
AFORE
SB1
SB2
SB3
SB4
Total
1
-
-
-
-
-
2
3
15.0
8.2
4
5
-
6
-
8
9
2.2
2.5
13.3
7
-
10
11
12
13
System
Regulatory Limit
27.0
24.9
37.7
30.8
-
0.7
16.7
25.3
-
9.1
7.8
0.4
14.9
7.1
25.0
2.5
20.5
36.0
7.9
11.4
31.4
26.3
19.0
40.0
7.6
23.9
45.1
35.2
29.1
60.0
69.6
43.0
1.0
4.5
36.8
53.8
6.6
44.3
68.7
51.1
44.2
85.0
44.7
28.5
2.0
25.0
35.8
7.5
24.4
45.0
35.5
28.7
N/A
Diferencial Valor en Riesgo Condicional (∆CVaR)
0.9
0.9
0.6962
0.6
Básicas 1
SB1
-
SB2
-
Básicas 3
SB3
11 - ene - 2013
Básicas
4 Adicionales
SB4
Límite
Voluntary
MIN
0.3093
0.0287
0.3
0.1355
0.0287
0.4722
0.3144
Básicas 2
04 - ene - 2013
Figures as of January 31, 2012
0.1904
0.2064
0.0705
-
0.0771
Regulatory limit
0.1499
0.2911
0.3
0.4420
0.4507
0.3140
0.2871
Consumption the previous
week and the last date
0.6
0.4503
-
Afore
Total
MAX
34
…(Cont)
Equity limits and Afores holdings
5
6
7
8
9
10
11
12
13
System
Regulatory Limit
SB3
17.88%
26.56%
26.81%
25.23%
17.84%
11.96%
26.03%
28.53%
25.62%
26.98%
23.82%
27.36%
21.13%
24.64%
30.00%
SB4
17.18%
32.01%
35.82%
32.31%
23.59%
17.23%
34.53%
37.91%
33.10%
36.03%
32.68%
36.50%
26.95%
32.45%
40.00%
Total
15.33%
27.52%
27.45%
22.87%
20.38%
10.37%
26.01%
30.12%
25.50%
19.98%
23.62%
26.94%
20.65%
23.90%
N/A
Exposición en Renta Variable
40%
40%
35%
35%
Regulatory limit
24.64%
25.20%
30%
25%
6.66%
10%
20.08%
15%
4.11%
20%
20.46%
25%
4.11%
Consumption the previous
week and the last date
Porcentaje
30%
5%
23.90%
4
14.86%
23.17%
22.01%
20.94%
14.90%
7.54%
21.68%
23.80%
22.97%
21.59%
19.49%
22.17%
18.10%
20.08%
25.00%
24.39%
3
SB2
6.67%
2
2.68%
5.82%
4.65%
4.18%
4.50%
4.81%
4.73%
4.47%
3.99%
4.66%
3.84%
4.11%
5.00%
32.45%
1
33.15%
SB1
AFORE
15%
10%
5%
0%
0%
Básicas 1
SB1
Básicas 2
SB2
04 - ene - 2013
Figures as of January 31, 2012
20%
Básicas 3
SB3
Básicas 4
SB4
11 - ene - 2013
Adicionales
Afore
Voluntary Total
Límite Regulatorio
35
…(Cont)
Government securities holdings
SB1
AFORE
1
2
3
4
5
6
7
8
9
10
11
12
13
System
%
90%
SB2
SB3
SB4
Total
84.0%
74.9%
67.9%
63.8%
83.2%
64.7%
60.4%
55.3%
71.9%
55.7%
51.0%
46.6%
63.9%
57.0%
54.0%
47.9%
80.2%
63.6%
60.0%
54.7%
70.7%
72.3%
60.5%
50.0%
80.2%
67.0%
62.1%
56.6%
62.9%
56.8%
50.5%
46.6%
67.1%
54.4%
51.4%
43.1%
63.6%
59.3%
51.0%
42.3%
66.1%
52.6%
43.8%
40.2%
62.4%
51.3%
47.9%
43.1%
64.1%
60.8%
58.2%
56.6%
de66.8%
Valores57.6%
Gubernamentales
52.2%
47.9%
69.7%
59.8%
51.8%
55.1%
57.9%
63.9%
61.7%
52.3%
55.6%
52.0%
46.7%
48.3%
59.4%
53.8%
53.79%
53.55%
73.45%
47.91%
47.53%
52.25%
20%
51.96%
30%
57.61%
40%
57.48%
50%
66.83%
60%
66.93%
70%
73.53%
80%
10%
0%
Figures as of January 31, 2012
SB1 1
Básicas
SB2 2
Básicas
SB3 3
Básicas
04 - ene - 2013
SB4 4
Voluntary
Básicas
Adicionales
11 - ene - 2013
Total
Afore
36
…(Cont)
FX denominated securities limits and Afores holdings
SB1
AFORE
1
2
3
4
5
6
7
8
9
10
11
12
13
System
Regulatory Limit
SB2
1.1%
1.7%
5.8%
3.9%
5.9%
2.5%
4.4%
2.4%
7.6%
2.4%
12.0%
4.7%
30.0%
SB3
0.6%
9.8%
12.6%
13.0%
8.6%
6.5%
11.8%
12.8%
12.5%
11.5%
12.1%
7.0%
13.6%
11.4%
30.0%
0.8%
11.9%
17.5%
15.7%
10.2%
10.0%
12.0%
15.5%
12.6%
13.7%
13.7%
8.8%
15.0%
13.7%
30.0%
SB4
0.5%
13.6%
22.3%
19.7%
13.2%
12.3%
14.6%
17.3%
16.7%
16.6%
18.6%
10.3%
16.0%
16.8%
30.0%
Total
0.6%
11.9%
17.0%
14.4%
11.5%
8.6%
12.3%
15.1%
13.2%
10.1%
14.2%
8.2%
14.5%
13.2%
N/A
Exposición en Divisas
30%
16.97%
13.15%
13.17%
6.35%
20%
15%
5%
0%
0%
Básicas 1
SB1
Límite
Figures as of January 31, 2012
25%
10%
4.39%
16.91%
4.42%
5%
13.65% 17.52%
Regulatory limit
13.68%
10%
11.38%
13.57%
15%
11.35%
20%
4.56%
Consumption the previous
week and the last date
4.67% 11.99%
25%
16.82% 22.28%
30%
Básicas 2
SB2
Básicas 3
SB3
04 - ene - 2013
Básicas 4
SB4
Adicionales
Voluntary
11 - ene - 2013
Afore
Total
MAX
37
…(Cont)
REITs and PE limits and Afores holdings
12
13
System
-
30.0%
Consumption the previous
week and the last date
Posición en instrumentos Estructurados
20.00%
Regulatory limit
0.00%
20.00%
15.00%
10.00%
5.00%
20.00%
0.00%
3.68%
11
3.69%
9
10
2.5%
5.6%
2.5%
4.3%
3.6%
6.5%
2.8%
2.6%
2.4%
2.9%
4.2%
20.00%
0.6%
3.7%
N/A
15.00%
0.05%
8
Total
0.05%
7
3.0%
6.6%
3.0%
4.5%
5.5%
7.3%
3.1%
3.3%
3.5%
3.6%
5.1%
0.7%
4.4%
30.0%
4.45%
6
SB4
4.45%
5
3.0%
6.4%
3.0%
4.3%
4.5%
7.6%
3.0%
3.2%
3.7%
3.3%
5.4%
0.7%
4.5%
30.0%
4.53%
4
SB3
4.54%
3
2.3%
4.6%
2.7%
3.9%
2.4%
5.7%
2.7%
2.1%
3.1%
2.5%
3.1%
0.5%
3.1%
30.0%
3.08%
2
Regulatory Limit
SB2
-
3.09%
SB1
1
0.00%
AFORE
BásicasSB2
1
BásicasSB3
2
BásicasSB4
3
Básicas
4 Adicionales
Afore
SB1
Voluntary
Total
04-ene-13
Figures as of January 31, 2012
11-ene-13
LIMITES
38
And the differentiation in the exploitation of the
investment possibilities has led to important
differences in returns (measure at this point at 3.5
yrs)
SB1
Invercap
PensionISSSTE
Profuturo GNP
Bancomer
SURA
Principal
XXI-Banorte
Banamex
MetLife
Azteca
Afirme Bajío
Coppel
Inbursa
Simple Avg
Weigthed Avg
10.24%
9.84%
9.62%
9.16%
8.91%
8.86%
8.84%
8.65%
8.60%
7.21%
7.08%
6.99%
5.45%
8.42%
8.98%
SB3
Figures as of January 31, 2012
Net return
SB2
Net return
Invercap
PensionISSSTE
Profuturo GNP
SURA
MetLife
Principal
Banamex
XXI-Banorte
Bancomer
Azteca
Coppel
Afirme Bajío
Inbursa
11.73%
11.27%
11.06%
10.96%
10.75%
10.73%
10.52%
10.48%
10.48%
9.13%
7.96%
7.69%
5.84%
Simple Avg
Weigthed Avg
9.89%
10.40%
Net return
SB4
Net return
Invercap
SURA
PensionISSSTE
MetLife
Bancomer
Profuturo GNP
Banamex
Principal
XXI-Banorte
Azteca
Coppel
Afirme Bajío
Inbursa
13.52%
12.46%
12.21%
11.95%
11.86%
11.78%
11.72%
11.63%
11.39%
10.21%
8.41%
8.41%
6.35%
Invercap
SURA
Profuturo GNP
Banamex
MetLife
Principal
Bancomer
PensionISSSTE
XXI-Banorte
Azteca
Afirme Bajío
Coppel
Inbursa
14.93%
13.99%
13.52%
13.45%
13.32%
12.99%
12.95%
12.45%
12.36%
9.95%
8.82%
8.70%
6.79%
Simple Avg
Weigthed Avg
10.91%
11.55%
Simple Avg
Weigthed Avg
11.86%
12.79%
39