The Pension Fund Administrators (AFP) generated S/ 10,276 million in profitability for their members during 2023 and all funds ended the year positively.

“2023 closed with positive profitability in all pension funds, for the benefit of millions of members who save through Individual Capitalization Accounts (CIC) for their retirement,” said the president of the AFP Association, Giovanna Prialé.

Those who have benefited the most from this positive profitability of the SPP have been the affiliates who did not request any of the extraordinary withdrawals approved between 2020 and 2022. Furthermore, Prialé states that, without the withdrawals from previous years, the profitability would have been even higher in 2023.

In its 30 years of existence, the SPP has generated an average nominal profitability of 10% annually for its members. This allows for each S/300 in the member’s CIC at the time of retirement, S/200 to be the product of the profitability generated by the AFP and S/100 to correspond to their contributions.

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These figures demonstrate the solidity of the SPP and confirm the importance of promoting pension savings, through a long-term investment strategy, which allows the highest return for the member at the time of retirement.

The president of the union highlights that the projections for 2024 are positive, given that attractive rates of return are expected in the instruments in which the AFPs invest, which would allow generating favorable results in the pension fund portfolios.

“At the AFP Association we seek a responsible reform of the Peruvian pension system, which includes all workers – dependent, independent and informal – as well as incentives for savings, and which guarantees pensions for all,” concluded Prialé.

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