At the close of October, Colombian AFPs had boosted their exposure to emerging markets to nearly USD 4 billion, an 18-month high. Overall allocations abroad reached USD 14.9 billion, an 11-month high.
Pre-Trump, Colombian AFPs embraced emerging markets and North America while turning away from Europe
Sovereign wealth funds boost allocations into emerging markets
Sovereign wealth funds are significantly increasing allocations to private markets (private equity, real estate and infrastructure) and emerging markets, says Will Kinlaw of State Street Associates.
State Street: Reduced liquidity having higher impact on investment strategy
“Increased regulation and the pressure to manage costs have significantly changed market liquidity conditions,” says Lou Maiuri of State Street.
SSGA: Current environment favors sectors over style for investment advisors
“The 'lower for longer' return environment has many investment professionals taking a more precise approach to asset allocation, which favors sectors and industries over style-based investing,” said Nick Good, co-head of the Global SPDR business at State Street Global Advisors
Colombian AFPs boosted their exposure to emerging markets in August
Colombian AFPs in August increased their exposure to emerging-markets equity by US 477 million, lifting their stake in the region to 24% just behind that of Europe. iShares reached USD 6.4 billion in AUMs, leading the field.
State Street inks distribution deal with Credicorp Capital
In commenting on the appointment of Peruvian-owned Credicorp Capital as its Andean distributor, SSGA's Nick Good said, “Latin America is a strategically important market to the SPDR business."
Credicorp takes over Andean distribution for State Street
The tri-national firm had been looking for a passive manager for its distribution business, to complement its roster of traditional and alternatives firms, said Credicorp's Ignacio Montes, regional director of institutional distribution.
Ground shifting rapidly in Chilean distribution landscape
The institutional-distribution division of BTG Pactual was recently taken over by Danny Aballay, who is tasked with rebuilding the unit after the flight of several of its cross-border clients. His promotion was one of several in the Chilean market.
Cross-border firms lost USD 1 billion in Colombian AFP assets in January
iShares, Vanguard and State Street, the biggest recipients of Colombian AFP allocations, all suffered AUM declines. AFPs Protección and Colfondos were behind some of the largest allocation shifts.
Chilean AFPs chose emerging-markets bonds in March while dumping Asian equities
The AFPs made allocations to 14 emerging-markets-bond funds in March, with MS Emerging Markets Corporate Debt-Z and Investec Emerging Markets Corporate Debt-I Acc getting the lion's share of the action.