Regulatory Alerts2022-12-30 | NSP-60Added · Updated
Technical Standards for the Investments of Voluntary Previsional Savings Funds
The Committee of Standards of the Central Reserve Bank of El Salvador issued these standards to regulate investments by Voluntary Previsional Savings Funds, affecting banks, cooperative banks, investment fund managers, and pension fund administrators. The rules mandate that funds maintain at least twenty percent of resources in cash or highly liquid, low-risk securities and restrict repo operations as borrowers to twenty percent of total assets. Additionally, the standards define permitted domestic and foreign securities, require separate bank accounts for each fund, and impose specific risk classification thresholds for international investments.
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