Portfolio Composition Regulations and the Investments of Pension Funds: A Simulation Exercise for the Argentine Case

Authors

  • Omar O. Chisari Instituto de Economía, Universidad Argentina de la Empresa image/svg+xml
  • Pedro Dal Bó Instituto de Economía, Universidad Argentina de la Empresa image/svg+xml

Keywords:

pension funds, portfolio regulation, capital market, general equilibrium, Argentina

Abstract

The crisis in the sustainability of the pay-as-you-go pension system has led to a reform that created Pension Funds Administrators (AFJPs) with the function of investing the savings of the workers. The need to limit the possibility of opportunistic actions and ensure reasonable returns has led to the setting-up of a regulatory framework for the operations of the AFJPs. This framework includes maximum limits on the holdings of various types of assets in the investment portfolios. This paper develops an equilibrium model of the capital market to study the effect of the investment restrictions on the composition and efficiency of the pension funds portfolios.

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References

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Published

1996-04-30

How to Cite

Chisari, O. O., & Dal Bó, P. (1996). Portfolio Composition Regulations and the Investments of Pension Funds: A Simulation Exercise for the Argentine Case. Economic Analysis Review, 11(1), 43–71. Retrieved from https://www.rae-ear.org/index.php/rae/article/view/149

Issue

Vol. 11 No. 1 (1996)

Section

Articles

License

Copyright (c) 1996 Omar O. Chisari, Pedro Dal Bó

Creative Commons License

This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.

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