Regulatory Alerts2025-01-01 | JPRF-S-2025-0146JPRF-S-2025-0146 — Replaces Chapter VII “Rule on Maximum Segments and Percentages of Mandatory Investment”
The Ecuadorian Financial Policy and Regulation Board (JPRF) issued Resolution JPRF-S-2025-0146 to replace Chapter VII of its regulatory codification, establishing updated rules on maximum segments and percentages for mandatory investments by insurance and reinsurance companies. The resolution mandates that at least 60% of paid-in capital and legal reserves, alongside technical reserves, be allocated to securities, financial instruments, and real estate while strictly prioritizing safety, liquidity, and profitability. It introduces detailed portfolio administration guidelines, concentration limits, credit rating requirements (minimum AA+), and risk management protocols to ensure solvency and protect policyholders.
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