Pension savings in private funds reached $491 billion

The pension reform was supposed to go into effect on July 1.

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Mandatory pension savings for the 19,226,563 members of private pension funds in Colombia reached $491 billion last June, according to a report by the Colombian Association of Pension and Severance Fund Administrators (Asofondos). In June, there were 940,185 members in voluntary pensions, with savings of $35 billion. Meanwhile, in terms of severance pay, there were 11,232,176 members with savings of $29 billion.

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In June 2024, workers' pension savings in Colombian private funds reached $437 billion, according to Asofondos, which meant that at the end of the sixth month of this year, there was an increase of $54 billion compared to the previous year's figure. This growth was attributed to the returns generated.

According to the Asofondos report, between January and June, the pension savings of Colombian workers managed by private funds grew by $27 billion.

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The historic returns or gains on the savings owned by more than 19 million workers have been possible thanks to diversified investment strategies, both domestically and internationally, in equity, fixed-income, and other high-yield asset markets.