MONTERREY, Mexico--(BUSINESS WIRE)--Link to Fitch Ratings' Report: High Growth of Equity and Balanced Funds Managers (Fund Managers Increase Assets -- 12 Out of 25 Above the Sector): http://www.fitchratings.com/creditdesk/reports/report_frame.cfm?rpt_id=717119
Fitch Ratings has published its 'High Growth of Equity and Balanced Funds Managers' report. This report addresses the favorable performance of balanced funds (SIRVs) managing institutions in Mexico over the past five years and highlights 12 managers for their relative participation in net assets under management (AuM).
The report also covers the significant growth achieved by SIRVs despite adverse economic conditions in Mexico. This is reflected in the AuM of this sector (MXN304,994 million at May 2013), which register a compound annual growth rate (CAGR) of 16.2% in the period of May 2008 - May 2013, much higher than the 10.3% registered by debt mutual funds (SIIDs). Out of 25 managers reviewed, 12 stand out for registering a CAGR above the SIRV sector.
The report also looks at the notable increase in the number of balanced funds (166 to 257) in proportion to debt funds, which passed from 0.53x to 0.85x. The difference in the number of funds between the two types of investment funds was reduced. At the end of May 2013, 10 managers offered a number of balanced funds equal to or higher than the number of debt funds.
The report also highlights the increase in the proportion of SIRV/SIID assets within the same period of time (from 0.18x to 0.24x), in which 10 institutions outstand for having a higher ratio than the sector at closing of May 2013. However, three of those institutions stood out for their higher ratios. Fitch believes that these managers have greater relative focus towards the SIRVs.
Also, thanks to the strong development of SIRVs and the inclusion of more sophisticated instruments within fund portfolios, Fitch believes that fund managers must continue to strengthen their operational infrastructure and investment process in order to maintain a good level of returns and maintain, at all times, appropriate risk control and management.
According to Fitch, balanced funds managers have played a very important role in the development of the sector and have been able to offer several investment alternatives for all types of people and risk profiles; which has been supported by a favorable macroeconomic environment. In addition, the different indicators analyzed in the report show that the relative preference of the investors for the SIRVs has increased substantially.
The special report 'High Growth of Equity and Balanced Funds Managers' (Fund Managers Increase Assets - 12 out of 25 Above the Sector)' is available at www.fitchratings.com.
Additional information is available at 'www.fitchratings.com'.