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- Index project strengthens relationship with largest pension fund in Mexico
- Underpins FTSE Russell cooperation agreement with PiP across Latin America
- Continues global diversification strategy and market growth throughout region
FTSE Russell, the global index and data provider, in partnership through its FTSE TMX Global Debt Capital Markets cooperation agreement with Proveedor Integral de Precios (PiP), the leading multi-national price vendor in Latin America, today announced the development of a new set of policy benchmarks for Afore XXI-Banorte, the largest pension fund in Mexico.
The new benchmarks reflect strong collaboration between regulators, Afore XXI-Banorte, FTSE Russell and PiP and are intended to be tools which can be used by institutional investors as part of their long term asset allocation decision making policy. The core methodology was created using replicable indexes for equities and local fixed income, with constituents selected from the FTSE Global Equity Index Series (FTSE GEIS) as well as FTSE PiP fixed income indexes. Universal principles guide FTSE Russell index design and management, including a transparent rules-based methodology.
Fernando Lifsic, LatAm Managing Director at FTSE Russell, said:
“We are pleased to have contributed our expertise on benchmarks to this project with Afore XXI-Banorte. FTSE Russell is committed to the ongoing growth and development of the Mexican financial market, and these new policy benchmarks fulfill demand for an index set that is investable, transparent and independent.”
Tonatiuh Rodriguez, CEO of Afore XXI Banorte, added:
“Our commitment to the pension fund system in Mexico is a priority and this joint effort reflects our philosophy to optimize the investment regime and fiduciary responsibility with our affiliates. As we continue to innovate, we believe these benchmarks will help strengthen the investment process and governance of Afore XXI-Banorte in line with the regulatory goal for a more efficient retirement system. This project was a result of strong common effort between FTSE Russell and Seagal RogerCasey, companies that are worldwide leaders.”
FTSE Russell is part of London Stock Exchange Group (LSEG), which provides significant capital markets infrastructure across Latin America. FTSE Russell recently opened an office in Mexico City and appointed David Estefan as Country Head for Mexico and Colombia. In 2014, FTSE Russell opened its first office in Brazil and entered into a cooperation agreement for fixed income indexes with PiP, which manages over 120 government and corporate bond indexes in Mexico, Colombia, and Peru. MillenniumIT, LSEG’s technology firm, powers the trading platform for Bolsa de Valores de Lima in Peru, which helps bring connectivity through the entire MILA (Mercado Integrado Latino Americano) region, and is developing a new securities trading platform for Caja de Valores SA in Argentina, which is expected to go-live later this year. At present, there are 41 Latin American companies listed on LSEG’s London markets.
