Tuesday, May 3, 2011

Big Peru booty

By way of request from regular reader/mailer 'MW', here are a couple of charts that show what's been happening in the Peru private pension fund scene these last ten years or so. This first one shows the development of the amount of cash in the system, which today stands at 83.5Bn Soles (which is U$29.8Bn and a fair chunk of change wherever you might be, but it also works out as around U$1000 for every man, woman and child in Peru).

This second chart shows the profitability of the funds. Bar the big sink due to the crisis, these pension fund dudes have been doing OK with the people's cash.
So why does IKN get reader requests on this subject now? Well, there's a lot of talk about how Ollanta Humala will tap into the AFP system in order to fund his government social programs if he gets elected come June 5th. As it happens he's been on TV and said clearly that he's not going to touch a penny of this rather large piggy bank. 

But he's a politician. DYODD.