October 2, 2024 - The Financial Market Commission (CMF) published for consultation today amendments to General Rule No. 152, which provides instructions on assets representing technical reserves and risk equity. Said regulatory proposal adjusts the following:
- Increases investment limits for foreign equity instruments from 10 to 15 percent. This does not modify the current limit of 30 percent for investments abroad.
- Amends mentions due to entry into force of Laws Nos. 21,130 and 21,521, which corrected some references to low-risk fixed income instruments.
- Corrects reference to low-risk domestic fixed income instruments due to the issuance of General Rule No. 463, which added bonds without fixed maturity (perpetual bonds) to instruments representing technical reserves and risk equity.
These amendments aim to diversify insurance companies' investment portfolios abroad, allowing them to increase their exposure to assets with a better risk/return ratio while maintaining adequate prudential safeguards.
Interested parties can access the Draft Rules and Norms section on the CMF website until November 4, 2024 to check the details of the regulatory proposal and submit their feedback.
