Lima, 17 September 2004

Resolution S.B.S. No. 1582 -2004

The Superintendent of Banking and Insurance

WHEREAS:

That, in accordance with the provisions of article 6 of the Single Ordered Text of the Law of the Private System of Pension Fund Administration, approved by Supreme Decree No. 054-97-EF, hereinafter the Single Ordered Text of the SPP Law, and in accordance with the provisions of article 44 of its Regulation, approved by Supreme Decree No. 004-98-EF and its amendments, the process of transferring the individual capitalization account (CIC) of an affiliate from one Private Pension Fund Administrator (AFP) to another requires that the affiliate has made contributions in the individual capitalization account of mandatory contribution in the AFP from which he/she wishes to transfer;

That Sub Chapter VI of Chapter I of Title V of the Compendium of Regulatory Superintendency Rules of the Private System of Pension Fund Administration, referring to Affiliation and Contributions, approved by Resolution No. 080-98-EF/SAFP and its amendments, regulates the procedures related to transfers of affiliates' funds within the SPP, which include the transfer of the affiliate's mandatory contribution CIC from one AFP to another;

That, based on the evaluations carried out, it is necessary to establish modifications in the regulatory framework of transfers in order to promote an environment of greater competition in the SPP industry, under adequate service quality standards and that promote an environment of continuous review of the pension costs involved, for the direct benefit of SPP affiliates;

That, likewise, the regulation of the SPP must promote the intensive use of Internet-type communication environments for affiliates who decide to transfer their pension funds from one AFP to another, under environments of integrity, security and confidentiality in the transmission of information, in order to contribute to the fulfillment of the aforementioned objectives;

In accordance with the opinion of the Deputy Superintendencies of Private Pension Fund Administrators, of Legal Advisory, and of Risks, and the Management of Organization and Systems; and,

In use of the powers conferred by numeral 9 of article 349 of the General Law of the Financial System and the Insurance System and Organic of the Superintendency of Banking and Insurance, Law No. 26702 and its amendments, and subsection d) of article 57 of the Single Ordered Text of the Law of the Private System of Pension Fund Administration, approved by Supreme Decree No. 054-97-EF;

RESOLVES:

Article 1.- To replace articles 26, 28, 31 and 32 of Title V of the Compendium of Regulatory Superintendency Rules of the Private System of Pension Fund Administration, referring to Affiliation and Contributions, approved by Resolution No. 080-98-EF/SAFP and its amendments, as well as to incorporate into the aforementioned title article 28A, with the following texts:

"Concept Article 26.-

The transfer of an active affiliate from one AFP to another is generated when the affiliate, in accordance with the provisions established in this Sub Chapter, decides to transfer the balance of his/her CIC of mandatory contributions to another AFP.

The completion of the transfer procedure implies, by operation of law, the automatic disaffiliation from the AFP in which the affiliate had been making his/her mandatory contributions, called the originating AFP, and his/her consequent affiliation to the chosen AFP, called the destination AFP, preserving at all times his/her status as a member of the SPP.

The affiliate may carry out the transfer by in-person or remote means. When done by in-person means, he/she shall go to the agency of the destination AFP; when done by remote means, he/she shall enter through the internet, on the website of the destination AFP.

Transfer procedure – in-person means Article 28.-

For the purposes of initiating the transfer procedure, the affiliate must follow the following procedure, respecting the order indicated below:

a) Go to the agency or Pension Advisory Office (OAP) of the destination AFP and obtain a transfer request form (Annex II). The affiliate may also obtain the request directly from a promoter of the aforementioned AFP.

b) Proceed to fill out sections 1, 2 and 3 of the aforementioned request, with the filling out of section 3 corresponding to the sales promoter participating in the process.

c) Accompany the aforementioned request with the following:

• In the case of performing work as an employee, the display of his/her identity document, as well as the original and copy of the pay slips corresponding to the period referred to in the first paragraph of article 27 of this title. In the absence of the pay slips, the affiliate may present some other document that reliably accredits the withholding of mandatory pension contributions by the employer in the corresponding months (e.g., sworn statement of the employer, proof of previous AFP account statements).

• In the case of performing work as a self-employed worker, only the display of his/her identity document, and the AFP must verify the payment of the last mandatory contribution immediately prior to the preceding month in which he/she is found.

d) The representative or officer of the destination AFP shall proceed to verify the status of withholding of the aforementioned contributions to the respective AFP, keeping the copies of the corresponding pay slips in the case of the employee, or to verify the payment of the respective contributions, in the case of the self-employed worker. If affirmative, he/she shall proceed to mark, both on the original and on the copies, the box corresponding to numeral 4.1. of section 4 of the transfer request, signing it as a sign of conformity, indicating the place and date on which said verification is carried out.

e) Once this is completed, both the promoter or the representative of the destination AFP and the member shall sign section 5, and must submit the transfer request to the responsible officer of the destination AFP, thereby concluding the transfer process.

For the purposes of the transfer process, the following must be taken into account:

i. The sales promoter of the destination AFP shall be responsible for verifying the information contained in sections 1 and 2 of the transfer request.

The transfer requests shall be distributed as follows: original for the destination AFP, the first copy for the member, second copy for the originating AFP, and third copy for the employer, if applicable.

Transfer process – remote means

Article 28A.-

The member may transfer to another AFP using remote means via the Internet, in which case, they shall submit the request through the website of the destination AFP. For this purpose, the member, once having entered the aforementioned website, shall proceed to register an electronic request, filling in the necessary supporting information that will be regulated by Superintendency Circular. In the transfer via internet, the participation of the sales promoter is optional, according to the member's decision.

For the purposes of filling in the aforementioned supporting information, the presentation system of each AFP's website must previously provide information on the profitability by type of fund it manages, the administration commission, and the insurance premium offered to the member.

Once the transfer request has been entered and the destination AFP has verified the information, the member shall be provided with a registration number that will identify the status of the requested transfer. If the member complies with the required requirements, the transfer shall proceed within the same timeframes as if it had been done in person.

Timeframe for the validity of the new affiliation in the destination AFP

Article 31.-

The first accrual month in the destination AFP shall correspond to the second month following the month of submission of the transfer request.

Obligations of the destination AFP

Article 32.-

The destination AFP, within the last ten (10) days of the month corresponding to the communication via network made by the Superintendency informing the conformity of the transfer, must notify the employer in writing of the first accrual month in the destination AFP. If the transfer had been made in person, the copies of the transfer request form referred to in Annex II of this title shall be attached to the notice.

FINAL AND TRANSITIONAL PROVISIONS

Transition process

First.-

The destination AFPs that receive transfer requests up to the month prior to the entry into force of this resolution shall be subject to the conditions of the regulation established by Resolution No. 589-2001-SBS, amending Title V of the Compendium of Superintendency Regulatory Norms of the SPP. However, for the purposes of the operational procedure of communication destination AFP – SBS – originating AFP, they shall be subject to the same timeframes and conditions as the requests submitted from the date of entry into force of this resolution.

Transfer Request

Second.- Replace Annex II of Title V of the Compendium of Superintendency Regulatory Norms of the SPP, with the one attached in this resolution.

Other remote means

Third.- The Superintendency, based on the growth standards shown by the pension market, may authorize the use of other remote electronic communication means for carrying out transfers of individual capitalization accounts from one AFP to another.

Repeal

Fourth.- Repeal the Fourth Final and Transitional Provision of Resolution SBS No. 589-2001 and any other provision that opposes this resolution.

Validity

Fifth.- This resolution shall enter into force as of 1 January 2005, with the exception of the provisions set forth in article 28A, which shall enter into force on 1 March 2005.

Register, communicate and publish.

JUAN JOSÉ MARTHANS LEÓN
Superintendent of Banking and Insurance