PRESS NOTICE
Bogotá, May 9th, 2007
PERFORMANCE OF MANDATORY PENSION FUNDS, VOLUNTARY PENSION FUNDS,
UNEMPLOYMENT FUNDS, PAY AS YOU GO REGIME AND ADMINISTRATOR OF PROFESSIONAL
RISKS OF THE ISS, JANUARY 2008
1. MANDATORY PENSION FUNDS
1.1 RETURN
The accumulated return of mandatory pension funds during the last three years, period that is considered
for the calculation of the minimum return, was in average 9.92% annual effective, which equals to a real
return of 4.59% and is higher than the demanded minimum return in 2.70 percent. Individually, the funds
reached returns that go from 9.05% to 11.36% (graphics 1 and 2).
11.36%
9.80%
10.00%
9.73%
9.46%
9.92%
9.30%
9.05%
7.22%
HORIZONTE
COLFONDOS
SANTANDER
SKANDIA
PROTECCION
0.00%
PORVENIR
2.00%
4.59%
AVERAGE
(*)
3.77%
4.00%
4.16%
4.00%
4.41%
6.00%
4.48%
5.97%
8.00%
MINIMUN
2.03%
RETURN
12.00%
G R A P H 1.
M A N D A T O R Y P E N S IO N F UN D S ' R E T UR N
J A N .3 1t h/ 0 5 T O J A N .3 1t h/ 0 8
NOM INA L RETURN
REA L RETURN
(*) Weighed by the equity’s daily average balance
GRAPH 2
EVOLUTION OF THE MANADATORY PENSIONS FUNDS´ ACCUMULATED RETURNS
17.5%
17.0%
16.5%
16.0%
15.5%
15.0%
14.5%
14.0%
13.5%
13.0%
12.5%
12.0%
11.5%
11.0%
10.5%
10.0%
9.5%
9.0%
8.5%
Ene-07
Feb-07
Mar-07
PROTECCION
Abr-07
May-07
PORVENIR
Jun-07
Jul-07
HORIZONTE
Ago-07
Sep-07
SANTANDER
Oct-07
Nov-07
COLFONDOS
Dic-07
Ene-08
SKANDIA
During the last five years, mandatory pension funds obtained an average return of 12.12%, which equals
to a real return of 6.40%, whereas the average return from the beginning of operations on January the
31st, 2008 was 15.23% annual effective, which is equal, in real terms, to 4.31% (graph 3).
GRAPH 3. R E T UR N F R O M T H E B E G IN N IN G
14.77%
14.73%
14.66%
14.37%
3.89%
3.86%
3.79%
3.53%
SANTANDER
PORVENIR
HORIZONTE
SKANDIA
15.23%
14.98%
4.08%
COLFONDOS
12.12%
16.75%
O F O P E R A T IO N S ( 1) J A N .3 1t h/ 0 8
10.93%
12.00%
11.26%
14.00%
11.72%
16.00%
11.76%
18.00%
12.21%
13.99%
LA S T F IV E Y E A R S R E T UR N
J A N .3 1t h/ 0 3 T O J A N .3 1t h/ 0 8
5.27%
SANTANDER
2.00%
4.31%
5.58%
HORIZONTE
5.68%
6.02%
COLFONDOS
4.00%
6.40%
6.06%
PORVENIR
6.00%
6.48%
8.00%
SKANDIA
8.17%
10.00%
NOM INA L RETURN
AVERAGE (*)
PROTECCION
AVERAGE (*)
PROTECCION
0.00%
REA L RETURN
(*) Weighed by the equity’s daily average balance
(1) May 1994, excepting Skandia that began in March 1995
1.2 RETURN AND VOLATILITY
1.2.1 MONTHLY RETURN AND VOLATILITY
The monthly average return of Mandatory Pension Funds during the last thirty-six months was between
9.84% and 12.42% (annual effective rate), with an annualized volatility of 6.63% and 7.62%, respectively.
The return and volatility of each one of those funds are shown in graph 4.
Monthly average return (annual ffective)
GRAPH 4
MANDATORY PENSION FUNDS
MONTHLY AVERAGE RETURN AND VOLATILITY - JANUARY 31 2005 - JANUARY 31 2008
12.90%
Protección
12.60%
12.30%
12.00%
11.70%
Skandia
11.40%
11.10%
10.80%
Santander
Porvenir
10.50%
Colfondos
10.20%
9.90%
9.60%
9.30%
PORTFOLIO
OF REFERENCE
Horizonte
9.00%
8.70%
8.40%
4.50%
5.00%
5.50%
6.00%
6.50%
VOLATILITY
7.00%
7.50%
1.2.2 VOLATILITY AND ACCUMULATED RETURN
The accumulated average return of Mandatory Pension Funds during the last thirty-six months, was
between 9.05% and 11.36% (annual effective rate), with annualized volatilities of 2,74% and 3,29%,
respectively. The return and volatility of each one of those funds are shown in graph 5.
(*) It belongs to the accumulated return of the last 36 months
1.3 VALUE OF THE FUNDS
The value of mandatory pension funds reached as of January 31th, 2008 the amount of USD 25.548
millions, USD 175 millions more than the value registered as of December 31st, in other words, 0.7%.
Regarding the same month in 2007, the funds have had an increase of 33%, which is equal to 6,343 US
million dollars (graph 6 and 7, Chart 1.1).
GR A P H 6.
V A LUE O F E A C H F UN D A N D IT S P A R T IC IP A T IO N WIT H IN T H E S Y S T E M
A S O F J A N .3 1T H 2 0 0 8 - US M ILLIO N D O LLA R S
7,000
27.0%
24.8%
6,000
FUND VALUE
38
0.1%
SKANDIA
PLAN
ALTERNATIVO
1,131
4.4%
3,057
SANTANDER
P ERCENTA GE OF P A RTICIP A TION
SKANDIA
3,698
HORIZONTE
PROTECCION
0
PORVENIR
1,000
COLFONDOS
2,000
12.0%
4,368
3,000
14.5%
6,346
4,000
17.1%
6,910
5,000
3.5%
25,548
0.7%
25,372
24,507
0.1%-
3.9%
8.4%
24,536
23,610
21,775
8.5%-
2.2%
1.2%-
10,000
5,000
23,790
23,287
11.9%
21,070
5.2%
Apr-07
20,029
3.4%
19,378
0.9%
Feb-07
15,000
Mar-07
19,205
20,000
0.7%-
25,000
Jan-07
US MILLION DOLLARS
30,000
23,572
GR A P H 7.
V A LUE O F T H E F UN D S
LA S T Y E A R E V O LUT IO N
FUNDS VALUE
Jan-08
Dec-07
Nov-07
Oct-07
Sep-07
Jul-07
Jul-07
Jun-07
May-07
-
MONTHLY VARIATION
1.4 AFFILIATES
The number of affiliates with the individual savings with solidarity regime as of the 31th day of January
2008 was 7.870.830, with an increase of 0.7%, that is, 56.295 more individuals affiliated than the ones
reported as of December 31st 2007. Regarding the same month in 2007, the funds have had an increase
of 11.3%, which is equal to 796.810 affiliates (Graph 8).
GR A P H 8.
A F F ILIA T ES A N D P A R T IC IP A T ION OF EA C H F UN D WIT H IN T H E SYST EM
A S OF JA N .31T H 2008
2,700,000
29.1%
2,400,000
21.7%
2,100,000
18.9%
AFFILIATES
PERCENTAGE OF PARTICIPATION
400
0.0%
SKANDIA PLAN
ALTERNATIVO
SKANDIA
67,157
0.9%
13.8%
1,087,334
1,232,158
COLFONDOS
PROTECCION
0
PORVENIR
300,000
1,488,344
600,000
HORIZONTE
900,000
1,708,845
1,200,000
15.7%
2,286,592
1,500,000
SANTANDER
1,800,000
0.9%
0.8%
0.9%
Sep-07
Oct-07
Nov-07
7,870,830
7,814,535
0.7%
1.3%
Aug-07
0.4%
7,784,275
7,653,566
7,582,676
1.1%
Jul-07
7,487,857
0.8%
Jun-07
7,344,705
1.2%
May-07
7,258,846
0.9%
Apr-07
7,197,578
1.1%
Mar-07
7,121,325
0.7%
6,900,000
Feb-07
7,200,000
0.9%
7,500,000
Jan-07
7,074,020
7,800,000
7,406,882
8,100,000
7,714,428
N UM B E R O F A F F ILIA T E S
LA S T Y E A R E V O LUT IO N
AFFILIATES
Dec-07
Jan-08
6,600,000
MONTHLY VARIATION
11.30%
AFFILIATES' EVOLUTION IN THE LAST FIVE YEARS
8,000,000
10.30%
7,000,000
10.70%
10.30%
6,000,000
10.60%
5,000,000
4,000,000
3,000,000
7,870,830
3,269,594
4,601,236
7,074,020
2,871,505
4,202,515
6,412,386
% VARATION
TOTAL
MEN
WOMEN
Jan-08
Jan-07
Jan-06
Jan-05
Jan-04
2,619,296
3,793,090
5,792,754
2,376,708
3,416,046
0
5,252,214
1,000,000
2,155,494
3,096,720
2,000,000
55.2% of the mandatory pension funds’ total members are active, in other words, 4.343.513; and 44.8%,
which equals to 3.527.317 are inactive. Those inactive members are those who have not made any
quotations in at least the last six months (graph 9).
GR A P H 9
A C T IV E A N D IN A C T IV E A F F ILIA T E S B Y E A C H F UN D
A S O F J A N .3 1T H 2 0 0 8
1,400,000
1,200,000
A CTIVE
INA CTIVE
89
311
SKANDIA PLAN
ALTERNATIVO
21,927
45,230
SKANDIA
544,383
542,951
SANTANDER
616,947
COLFONDOS
615,211
727,427
654,278
760,917
HORIZONTE
-
PORVENIR
200,000
1,054,567
400,000
PROTECCION
600,000
962,266
800,000
1,324,326
1,000,000
55.2%
55.1%
54.9%
54.8%
54.2%
53.9%
53.6%
53.3%
52.7%
52.3%
52.1%
54.0%
51.9%
56.0%
53.6%
A C T IV E A N D IN A C T IV E A F F ILIA T E S
LA S T Y E A R E V O LUT IO N
52.0%
ACTIVE
Jan-08 44.8%
45.1%
Dec-07 44.9%
Sep-07
Aug-07
Jul-07
Apr-07
May-07
Jun-07
42.0%
Nov-07
Oct-07 45.2%
45.8%
46.1%
44.0%
46.4%
46.4%
46.7%
47.7%
Mar-07
47.3%
47.9%
Feb-07
46.0%
48.1%
48.0%
Jan-07
50.0%
INACTIVE
56.9% of the Individual Savings Regime’s total members belongs to non-quoting members, which is
equal to 4.479.753 people; and 43.1%, that is 3.391.077people, are quoting members (graph 10). The
non-quoting members are those who are affiliated but are not pensioned yet and that, for some reason,
did not make the mandatory payment for the reported moth.
G R A P H 10
Q UO T IN G A N D N O N - Q UO T IN G A F F ILIA T E S B Y F UN D A S O F
J A N .3 1T H 2 0 0 8
1,400,000
1,200,000
1,000,000
800,000
QUOTING
162
238
SKANDIA PLAN
ALTERNATIVO
SKANDIA
SANTANDER
27,494
39,663
713,758
373,576
733,535
498,623
967,060
521,284
COLFONDOS
-
HORIZONTE
200,000
901,061
807,784
400,000
PROTECCION
1,136,683
PORVENIR
1,149,909
600,000
NON-QUOTING
56.5%
56.2%
56.0%
55.1%
54.6%
54.9%
43.5%
43.8%
44.0%
44.9%
45.4%
45.1%
Jul-07
Aug-07
Sep-07
Oct-07
Nov-07
Dec-07
56.9%
56.7%
43.3%
Jun-07
56.8%
43.2%
Apr-07
56.3%
57.7%
42.3%
Mar-07
43.7%
57.5%
42.5%
Feb-07
May-07
58.5%
60.0%
41.5%
65.0%
Jan-07
Q UO T IN G A N D N O N - Q UO T IN G A F F ILIA T E S
LA S T Y E A R E V O LUT IO N
55.0%
50.0%
40.0%
35.0%
43.1%
45.0%
30.0%
NON-QUOTING
QUOTING
Jan-08
25.0%
84% of the total number of the people affiliated with the mandatory pension funds, earn an income of
less than two minimum wages, 10% earn an income between two and four minimum wages and 6% earn
more than four minimum wages.
56% of the affiliates are between 15 and 34 years old, where 55.5% of them are men and 44.5% women.
95.3% of the affiliated people with the system correspond to workers under contract and 4.7% to
independent workers.
When talking about the origin of the affiliates, it is important to say that 59.9% belongs to the people who
are affiliated to the system, 28% come from the Instituto de Seguros Sociales” (“ISS”), 11.6% from
transfers between AFPs and 0.5% come from the Government social security funds (Chart 1.2).
1.5 PENSIONERS
As of January 31th 2008, the Individual Savings with Solidarity Regime has 26.326 pensioners, 15.445 for
survival, 5.952 for invalidity and 4.929 for old age retirement (graph 11).
52.5% of the pensioners, that is 13.812, have chosen the modality of programmed retirement pension;
47.5%, 12.513 pensioners, the immediate life rent and 1 pensioner elected the programmed retirement
with deferred life rent (Chart 1.3).
SURVIVAL
17
SKANDIA P.A
SKANDIA
302
213
SANTANDER
122
45
970
583
617
COLFONDOS
HORIZONTE
PORVENIR
INVALIDITY
2,366
2,475
3,533
508
1,151
711
1,765
2,595
3,153
1,404
PROTECCION
4,000
3,500
3,000
2,500
2,000
1,500
1,000
500
0
3,795
G R A P H 11
P E N S IO N E R S B Y F UN D - A S O F J A N .3 1T H 2 0 0 8
RETIREMENT AGE
26,326
26,032
25,712
25,403
25,057
24,738
24,373
23,970
23,592
23,181
22,915
25,000
22,531
30,000
22,302
N UM B E R O F P E N S IO N E R S
LA S T Y E A R E V O LUT IO N
1.3%
1.4%
1.2%
1.2%
1.1%
Sep-07
Oct-07
Nov-07
Dec-07
Jan-08
1.7%
Jul-07
1.5%
1.6%
Jun-07
1.8%
1.7%
1.2%
10,000
1.0%
15,000
1.6%
20,000
5,000
PENSIONERS
Aug-07
May-07
Apr-07
Mar-07
Feb-07
Jan-07
-
MONTHLY VARIATION
57.5%
P E N S IO N E R S ' E V O LUT IO N IN T H E LA S T F IV E Y E A R S
30,000
25,000
26,326
22,302
18,996
20,000
16,376
14,255
15,000
PENSIONERS
18.0%
Jan-04
17.4%
-
16.0%
5,000
14.9%
10,000
Jan-05
Jan-06
Jan-07
Jan-08
VARIATION
1.6 INVESTMENT PORTFOLIO
As of January 31th 2008, the Mandatory Pension Funds portfolio’s value reached USD$25,557 thousand
millions, showing an increase of 0.7% in comparison to the end of the previous month, when it was
USD$25,370 thousand millions.
At the end as of January 2008, 70% of the above mentioned funds’ portfolio, that is USD$17,882 million
belongs to fixed income investments; 27.7%, USD$ 7,082 million, to investments in equity; 1.8%, USD$
462 million, to overnight deposits and 0.5%, USD$ 132 million, to net position in derivatives (rights minus
obligations) (Graph 12 and Chart 1.4).
GRAPH 12
PORTFOLIO DIVERSIFICATION: FIXED INCOME, CHANGEABLE INCOME, OVERNIGHT DEPOSITS AND DERIVATIVES - AS OF JAN 31th 2008
US THOUSAND DOLLARS
100%
Fixed income
69.2%
Changeable
Income
70.1%
71.4%
71.2%
68.6%
69.2%
29.8%
26.1%
64.9%
70.0%
Overnight
Deposits
Derivatives
26.6%
27.8%
28.7%
27.2%
1.1%
0.9%
25.7%
2.1%
0%
0.4%
BBVA
HORIZONTE
$4,370,088
2.6%
COLFONDOS
$3,700,022
0.5%
SANTANDER
$3,058,830
0.7%
PORVENIR
$6,911,101
2.4%
1.4%
8.5%
2.7%
0.2%
PROTECCION
$6,347,675
27.7%
SKANDIA PENSIONAR
$1,131,689
0.5%
SKANDIA - PLAN
ALTERNATIVO
$37,966
SISTEM A
$25,557,370
1.8%
FIXED INCOME, EQUITY, OVERNIGHT DEPOSITS AND DERIVATIVES NET
POSITION TOTAL PORTFOLIO'S LAST YEAR EVOLUTION - US MILLION
DOLLARS
100%
80%
60%
40%
20%
0%
JA N-07
19,147
FEB -07
19,346
M A R-07 A P R-07
19,975
21,032
Derivatives
M ay-07
23,551
Jun-07
23,259
Jul-07
23,790
A UG-07
21,768
Overnight Deposits
Sep-07
23,423
Oct-07
24,352
No v-07
24,459
dec-07
25,370
Changeable Income
Jan-08
25,557
Fixed income
Investment in public debt continues being the most significant one of these funds. As of January 31th
2008, these investments represented 45.7% of the portfolio’s total value (national debt represents the
41.4%, external national debt 2% and territorial organizations and decentralized entities 2.3%), followed
by the securities issued by institutions supervised by other regulatory authorities with 22.9%, securities
issued by the Institutions supervised by the Financial Superintendency which had a participation of
16.1% and the external investments with a participation a 11.6% (Graph 13).
GRAPH 13
PORTFOLIO'S CLASIFICATION : BY ISSUER - AS OF JAN 31th 2008 - US THOUSAND DOLLARS
100%
Internal Public Debt
19.4%
29.2%
Institutions watched by other
regulatory authority
41.4%
39.8%
41.4%
43.0%
41.4%
43.8%
14.4%
Institutions supervised by the
Financial Superintendency
External Investment
20.1%
Domestic debt securities
issued under Law 80/93 and
Decree 2681/93
18.3%
24.1%
24.7%
23.6%
13.4%
22.9%
23.7%
Overnight Deposits
22.2%
31.9%
External Public Debt
18.1%
13.8%
Securities issued, guaranteed by
Fogafin (Financial Insitution
Guarantee Fund)
13.3%
15.1%
Others (1)
0.9%
2.6%
2.4%
0%
0.4%
1.4%
4.0%
2.1% 0.7%
BBVA
HORIZONTE
$4,370,088
(1) Others: Derivatives net position
1.1%
1.3% 0.3%
0.1%
COLFONDOS
$3,700,022
16.1%
13.9%
16.3%
17.3%
11.4%
8.1%
3.5%
2.1%
12.8%
9.3%
3.3% 2.4%
1.5%
0.5%
2.8% 0.4%
2.1%
SANTANDER
$3,058,830
1.3%
0.7% 2.4%
PORVENIR
$6,911,101
1.4%
1.9%
8.6%
0.2% 2.7%
PROTECCION
$6,347,675
8.5%
10.4%
0.2%
SKANDIA PENSIONAR
$1,131,689
11.6%
1.9%
1.8%
2.3%
2.0%
0.5%
SKANDIA PLAN
ALTERNATIVO
$37,966
SISTEMA
$25,557,370
1.4%
TOTAL PORTFOLIO'S LAST YEAR EVOLUTION BY ISUUER
US MILLION DOLLARS
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
JA N-07
19,147
FEB -07
19,346
M A R-07
19,975
A P R-07
21,032
M ay-07
23,551
Jun-07
23,259
Jul-07
23,790
A UG-07
21,768
Sep-07
23,423
Oct-07
24,352
No v-07
24,459
dec-07
25,370
Jan-08
25,557
Internal Public Debt
Domestic debt securities issued under Law 80/93 and Decree 2681/93
Institutions supervised by the Financial Superintendency
External Public Debt
Institutions w atched by other regulatory authority
Securities issued, guaranteed by Fogafin (Financial Insitution Guarantee Fund)
External Investment
Others
The 74.8% of the portfolio mentioned before is denominated in Colombian pesos, 13.6% in UVR, 10.5%
in US Dollar, 0.9% in Euros and the remaining 0.1% in British Pound and Yen. (Graph 14).
G R A P H 14
P O R T F O LIO 'S C LA S IF IC A T IO N : B Y C UR R E R N C Y
A S O F J A N 3 1t h 2 0 0 8 - US T H O US A N D D O LLA R S
100%
Col Peso
(Includes
derivatives net
position)
55.3%
UVR
73.1%
71.4%
74.3%
70.0%
74.8%
76.3%
84.5%
US Dollar
10.2%
Euro
14.2%
Others (1)
13.7%
15.3%
14.6%
7.0%
11.4%
8.8%
13.3%
7.5%
0%
0.1%
1.2% 0.3%
BBVA
HORIZONTE
$4,370,088
(1) Others: British Pound and Yen
2.0%
COLFONDOS
$3,700,022
0.1%
0.9%
SANTANDER
$3,058,830
PORVENIR
$6,911,101
13.6%
32.6%
14.1%
15.4%
8.3%
1.2%
PROTECCION
$6,347,675
10.5%
0.8%
SKANDIA PENSIONAR
$1,131,689
1.9% 0.1%
SKANDIA - PLAN
ALTERNATIVO
$37,966
SISTEMA
$25,557,370
0.9%
TOTAL PORTFOLIO'S LAST YEAR EVOLUTION BY CURRENCY
US MILLION DOLLARS
78%
68%
58%
48%
38%
28%
18%
8%
-2%
JAN-07
19,147
FEB-07
19,346
MAR-07 APR-07
19,975
21,032
Others
May-07
23,551
Euro
Jun-07
23,259
Jul-07
23,790
UVR
AUG-07
21,768
Sep-07
23,423
Oct-07
24,352
US Dollar
Nov-07
24,459
dec-07
25,370
Jan-08
25,557
Col Peso
Regarding the foreign currency position, it is observed that 46.9% is covered from the exchange rate
fluctuation risk. The uncovered part represents the 6.1% of the funds’ total value (Graph 15 and Chart 4).
GRAPH 15
MANDATORY PENSION FUNDS
PERCENTAGE´S LAST YEAR EVOLUTION WITHOUT COVERAGE (MAXIMUM LIMIT 30%)
12.0%
11.0%
10.0%
9.0%
8.4%
8.0%
7.7%
7.0%
6.3%
6.0%
5.5%
6.0%
5.0%
4.0%
3.0%
2.2%
2.0%
1.0%
0.0%
Ene-07
Feb-07
Mar-07
Abr-07
May-07
Jun-07
Jul-07
Ago-07
Sep-07
Oct-07
Nov-07
Dic-07
Ene-08
PROTECCION
PORVENIR
HORIZONTE
SANTANDER
SKANDIA
COLFONDOS
On the other hand, 28.3% of the portfolio is invested in fixed income securities issued in Colombian
pesos, 20.7% of the portfolio is invested in stocks, 15.9% is linked to CPI issues, 13.6% is invested in
fixed income linked to UVR, 7% in Shares (Derived from securitization processes, Mutual Funds, Unit
trust funds and Index Fund), 6.8% is linked to the DTF, 3.9% is invested in fixed income denominated in
US Dollar, 1.8% in Overnight Deposits and the rest (1.9%) are securities linked to, Libor, British Pound,
fixed income in Euro, floating UVR and net position in derivatives. (Graph 16 and Chart 1.5).
GR A P H 16
P OR T F OLIO'S C LA SIF IC A T ION : F LA T R A T E B Y C UR R EN C Y, C H A N GEA B LE IN C OM E, OVER N IGH T D EP OSIT S - A S OF
JA N 31t h 2008 - US T H OUSA N D D OLLA R S
100%
Flat Rate - Col Peso
17.0%
27.9%
26.5%
27.5%
16.6%
28.3%
29.3%
35.9%
STOCKS
14.4%
20.0%
IPC, IPM
18.8%
17.8%
12.0%
20.1%
Flat Rate - UVR
20.7%
24.8%
19.6%
22.4%
Shares
15.4%
17.6%
DTF
14.2%
14.6%
9.0%
3.1%
Others (1)
1.7%
0%
2.6% 2.3%
BBVA
HORIZONTE
$4,370,088
4.5%
7.2%
5.5%
6.0%
2.7%
2.4%
7.0%
5.5%
5.0%
4.8%
13.6%
12.7%
8.5%
2.1%
6.8%
6.9%
6.9%
1.3%
1.1% 0.9%
COLFONDOS
$3,700,022
6.0%
7.9%
7.0%
7.2%
1.9%
14.1%
8.6%
Overnight Deposits
13.7%
15.3%
19.3%
15.9%
12.2%
13.5%
Flat Rate - US Dollar
10.2%
15.5%
1.6% 1.2%
SANTANDER
$3,058,830
PORVENIR
$6,911,101
11.6%
4.1%
1.4%
1.8%
1.9%
1.1%
PROTECCION
$6,347,675
3.9%
11.5%
SKANDIA PENSIONAR
$1,131,689
SKANDIA PLAN
ALTERNATIVO
$37,966
SISTEM A
$25,557,370
(1) Libor, British Pound, fixed income in Euro, floating UVR and net position in derivatives
FIXED INCOME BY INTEREST RATE TYPE , EQUITY, OVERNIGHT DEPOSITS AND DERIVATIVES NET
POSITION TOTAL PORTFOLIO'S LAST YEAR EVOLUTION
US MILLION DOLLARS
35%
30%
25%
20%
15%
10%
5%
0%
JAN-07
19,147
FEB-07
19,346
OTHERS
IPC
SHARES
MAR-07
19,975
APR-07
21,032
May-07
23,551
Jun-07
23,259
Jul-07
23,790
AUG-07
21,768
FIXED INCOME COL PESO
FIXED INCOME US DOLLAR
STOCKS
Sep-07
23,423
Oct-07
24,352
Nov-07
24,459
dec-07
25,370
Jan-08
25,557
FIXED INCOME UVR
DTF
Regarding the classification of the portfolio by credit risk, it is remarkable that 43.6% are securities
issued by the Nation, 29.6% are investments that do not require qualification, 19.8% are investments
with AAA qualification, 3.6% with AA+, and the rest (3.4%) belongs to securities with AA, AA-, A+, A, A-,
1+, 2, BBB+, BBB, BBB- y C, retired qualification and securities issued by Fogafin (Graph17)
GRAPH 17
PORTFOLIO'S CLASIFICATION: BY CREDIT RISK - AS OF JAN 31th 2008
100%
29.9%
NATION
43.5%
43.8%
45.8%
41.2%
39.0%
43.8%
43.6%
DO NOT
REQUIRED
25.8%
5.5%
AAA
29.4%
27.7%
AA+
31.3%
33.4%
32.8%
29.6%
35.8%
22.6%
OTHERS (1)
18.5%
0%
4.2%
3.9%
PROTECCION
18.6%
17.0%
16.4%
13.7%
11.9%
4.0%
2.3%
1.7%
4.5%
3.0%
4.0%
8.0%
7.7%
PORVENIR
HORIZONTE
1.6%
SANTANDER
SKANDIA - P.A
SKANDIA
25.9%
19.8%
1.9%
3.6%
3.4%
COLFONDOS
SYSTEM
(1) AA, AA-, A+, A, A-, 1+, 2, BBB+, BBB, BBB- y C, retired qualification and securities issued by Fogafin
Note: Not including the derivatives net position and Overnight Deposits.
Finally, it is worth to point out that 1.2% of the fixed income portfolio has a remaining maturity of 180
days, 1.4% between 181 and 360 days, 6.6% between 361 and 720 days, 18.3% between 721 and 1080
days, 8.4% between 1081 and 1440 days, 9.6% between 1441 and 1800 days, 3.1% between 1801 and
2160 days, 30.2% between 2161 and 2880 days, 4.9% between 2881 and 3600 days and 16.2% has a
maturity superior to 10 years (Graph 18 and Chart 1.6).
GRAPH 18
FIXED RATE PORTFOLIO BY REMAINING MATURITY DAYS - AS OF JAN 31th 2008
100%
8.7%
9.1 > 3600
13.1%
13.4%
14.6%
7.7%
1.7%
2.3%
42.5%
9. 2881 - 3600
7. 1801 - 2160
3.9%
2.6%
22.7%
20.9%
3.3%
1.8%
9.4%
9.5%
15.4%
7.9%
9.0%
30.2%
7.3%
3.4%
3.1%
8.3%
8.8%
8.0%
5.3%
3.3%
23.9%
8.4%
16.1%
15.5%
21.6%
8.0%
18.3%
21.9%
16.1%
8.1%
11.7%
6.9%
9.9%
1. 0 - 180
6.9%
4.6%
5.6%
0.5% 0.9%
0.9% 2.0%
0% 1.2%
PROTECCION
9.6%
4.9%
3. 361 - 720
2. 181 - 360
29.1%
6.3%
2.3%
4. 721 - 1080
4.9%
20.8%
6. 1441 - 1800
5. 1081 - 1440
5.7%
16.7%
34.9%
34.1%
16.2%
8.7%
27.1%
8. 2161 - 2880
15.4%
23.3%
PORVENIR
2.5%
1.4%
HORIZONTE
1.5%
SANTANDER
3.3%
2.9% 1.2%
SKANDIA PENSIONAR
7.6%
8.2%
1.5%
SKANDIA PLAN
ALTERNATIVO
0.8%
2.8%
COLFONDOS
6.6%
1.2%
SYSTEM
1.4%
2. VOLUNTARY PENSIONS FUNDS
2.1 VALUE OF THE FUNDS
The total value of the voluntary pension funds administrated by pension fund administrator societies,
fiduciary societies and insurance agencies, as of January 31th 2008 reached the value of USD 3.581
millions, 2.1% more than the value registered as of December 31st 2007. (Graph 19).
GRAPH 19
VALUE OF EACH FUND AND ITS PARTICIPATION WITHIN THE SYSTEM
AS OF JAN.31th 2008 - US MILLION DOLLARS
1,200
1,117
1,100
1,000
900
841
800
700
31.2%
626
600
500
23.5%
400
17.5%
300
260
185
200
171
95
74
74
38
38
31
17
10
1.1%
1.0%
0.9%
0.5%
0.3%
7.3%
5.2%
100
4.8%
2.7%
2.1%
2.1%
2
2
0.1%
0.1%
FUND VALUE
FIDUCOR
FIDUPENSIONES
FIDUCOR
MULTIPENSIONES
FIDUPOPULAR PLAN
FUTURO MULTIOPCION
FIDUPOPULAR PLAN
FUTURO
PROTECCION SMURFIT
FIDUALIANZA ABIERTO
VISION
HSBC - CARBONES DEL
CERREJON
FIDUCOLOMBIA
RENTAPENSION
COLSEGUROS
SANTANDER
HORIZONTE
COLFONDOS CLASS
FIDUDAVIVIENDA
DAFUTURO
PORVENIR
PROTECCION
SKANDIA MULTIFUND
0
PERCENTAGE OF PARTICIPATION
3,581
3,506
3,328
3,388
3,308
3,110
3,400
3,412
3,499
3,151
0.5%
Mar-07
3,269
3,135
0.6%-
3,000
2.1%
5.4%
1.8%-
2.4%
6.4%
0.3%-
8.5%-
1,000
2.5%-
1,500
7.0%
2,000
3.7%
2,500
2.2%-
500
FUNDS VALUE
MONTHLY VARIATION
Jan-08
Dec-07
Nov-07
Oct-07
Sep-07
Aug-07
Jul-07
Jun-07
May-07
Apr-07
-
Jan-07
US MILLION DOLLARS
3,500
Feb-07
4,000
3,153
V A LUE O F T H E F UN D S
LA S T Y E A R E V O LUT IO N
2.2 AFFILIATED
The number of affiliates with the voluntary pensions funds administrated by pension fund administrator
societies, fiduciary societies and insurance agencies as of January 31th 2008 was 506.678, showing an
increase of 9.693 members, compared to the number reported on the final day of the previous month
(graph 20).
GRAPH 20
AFFILIATES AND PARTICIPATION OF EACH FUND WITHIN THE SYSTEM
AS OF JAN.31th 2008
100,000
93,357
90,344
90,000
80,000
80,708
18.4%
17.8%
70,000
15.9%
60,000
56,929
50,000
11.2%
50,578
45,146
46,057
10.0%
8.9%
9.1%
40,000
30,000
17,231
20,000
3.4%
11,246
2.2%
10,000
4,938
1.0%
4,575
2,878
0.9%
0.6%
1,462
0.3%
953
0.2%
148
0.0%
128
0.0%
AFFILIATES
PERCENTAGE OF PARTICIPATION
506,678
A F F ILIA T E S LA S T Y E A R E V O LUT IO N
490,050
488,304
485,896
0.1%
Jun-07
486,511
485,434
0.2%May-07
486,449
490,000
489,045
495,000
489,219
489,900
500,000
495,130
492,521
505,000
496,985
510,000
2.0%
0.5%
Nov-07
0.4%
0.5%
Oct-07
0.4%
Aug-07
0.4%
0.1%
Jul-07
0.5%-
0.0%
475,000
0.1%-
0.1%
480,000
Sep-07
485,000
A FFILIA TES
M ONTHLY VA RIA TION
A F F ILIA T E S ' E V O LUT IO N IN T H E LA S F IV E Y E A R S
550,000
469,989
500,000
506,678
404,692
371,308
300,000
250,000
8.2%-
200,000
150,000
100,000
3.4%
13.7%
350,000
4.2%
400,000
26.6%
450,000
489,900
Jan-07
Jan-08
50,000
0
Jan-04
AFFILIATES
Jan-05
VARIATION
Jan-06
Jan-08
Dec-07
Apr-07
Mar-07
Feb-07
Jan-07
470,000
FIDUCOR
MULTIPENSIONES
FIDUCOR
FIDUPENSIONES
FIDUPOPULAR PLAN
FUTURO MULTIOPCION
PROTECCION SMURFIT
FIDUALIANZA ABIERTO
VISION
HSBC - CARBONES DEL
CERREJON
FIDUPOPULAR PLAN
FUTURO
COLSEGUROS
SANTANDER
HORIZONTE
FIDUCOLOMBIA
RENTAPENSION
SKANDIA MULTIFUND
COLFONDOS CLASS
PROTECCION
FIDUDAVIVIENDA
DAFUTURO
PORVENIR
0
49.5% of the affiliates earn an income of less than two minimum wages, 9.1% have an income between
two and four minimum wages and 41.4% earn more than four minimum wages.
66.8% of the affiliated people are between 30 and 54 years old, where, 51.4% are men and 48.6%
women.
72.7% of the affiliates with the system belongs to workers under contract and 27.3% to independent
workers.
2.3 INVESTMENT PORTFOLIO
As of January 31th 2008, the portfolio’s value of the voluntary pensions funds managed by the pensions
funds and unemployment funds managers, fiduciary entities and insurance companies reached USD$
3,604 million, showing an increase of 2.1% compared to the end of the previous month, when it was
USD$ 3,530 million.
At the end as of January 2008, 60.5% of these funds’ portfolios, USD$2,182 million belong to fixed
income investments; 21.4%, USD$ 770 million to investments in equity, 16.3%, $589 million dollars to
overnight deposits, 1.4%, $50 million dollars to net position in derivatives and 0.4%, $13 million dollars to
operations report active. (Graph 21 and Chart 2.1).
GRAPH 21
PORTFOLIO DIVERSIFICATION: FIXED INCOME, CHANGEABLE INCOME, OVERNIGHT DEPOSITS AND DERIVATIVES - AS OF JAN 31th 2008 - US
THOUSAND DOLLARS
16.3%
1.4%
21.4%
60.5%
SISTEM A $3,604,572
0.4%
3.9%
7.8%
69.3%
19.0%
SKANDIA - M ULTIFUND $1,119,500
32.5%
12.7%
54.8%
PROTECCION - ESM URfIT $31,240
0.2%
29.9%
21.5%
47.2%
1.2%
PROTECCION $850,657
19.6%
52.3%
27.5%
PORVENIR $632,128
0.6%
4.6%
5.3%
90.1%
SANTANDER $95,704
35.1%
26.2%
38.7%
FIDUCOR - M ULTIPENSIONES $2,322
59.2%
0.0%
40.8%
FIDUCOR - FIDUPENSIONES $1,858
4.9%
1.6%
93.4%
0.2%
FIDUCOLOM BIA - RENTAPENSION $74,125
18.9%
75.0%
6.2%
FIDUCIARIA DAVIVIENDA - DAFUTURO $260,440
2.2%
97.8%
46.1%
5.0%
HSBC
CARBONES DEL CERREJON$38,371
48.9%
FIDUCIAR - M ULTIOPCION $10,055
90.3%
9.7%
FIDUCIAR - PLAN FUTURO $16,611
2.3%
34.5%
63.1%
0.1%
COLSEGUROS $74,066
48.5%
29.1%
22.1%
0.3%
COLFONDOS $186,218
17.0%
76.3%
6.6%
0.1%
BBVA HORIZONTE $171,677
6.0%
7.3%
72.3%
14.4%
ALIANZA - ABIERTO VISION $39,602
-0.2%
99.8%
Active Report Operations
Derivatives
Overnight Deposits
Changeable Income
Fixed income
The securities issued by Institutions supervised by the Financial Superintendency are the most
significant investments of these funds. As of January 31th 2008, these investments represented 30.4%,
the external investments represent 22.5%, followed by the overnight deposits with 16.3%, the Institutions
watched by other regulatory authority 13.9% and Debt public investment with 14.9% (national debt
represents 10.4%, external national debt 2.3% and territorial organizations and decentralized entities
2.2%). (Graph 22 and Chart 2.1).
GRAPH 22
PORTFOLIO'S CLASIFICATION : BY ISSUER - AS OF JAN 31th 2008 - US THOUSAND DOLLARS
1.4%
2.2%
10.4%
3.9%
1.7%
22.5%
13.9%
16.3%
30.4%
2.8%
SISTEM A $3,604,572
10.1%
3.6%
33.4%
33.6%
7.8%
5.9%
SKANDIA - M ULTIFUND $1,119,500
24.3%
1.6%
35.5%
21.4%
12.7%
4.5%
PROTECCION - ESM URfIT $31,240
1.2%
17.2%
1.9%
19.7%
13.2%
21.5%
25.0%
PROTECCION $850,657
0.2%
0.2% 0.3%
0.6%
15.7%
8.0%
19.6%
39.2%
16.2%
PORVENIR $632,128
4.7%
41.0%
12.8%
4.6%
9.0%
26.5%
1.4%
SANTANDER $95,704
8.7%
31.5%
24.7%
35.1%
FIDUCOR - M ULTIPENSIONES $2,322
59.2%
40.8%
FIDUCOR - FIDUPENSIONES $1,858
6.4% 3.0%
15.2%
0.2% 1.1%
63.6%
4.9%
FIDUCOLOM BIA - RENTAPENSION $74,125
5.7%
17.3%
7.4%
7.5%
2.6%
46.3%
18.9%
FIDUCIARIA DAVIVIENDA - DAFUTURO $260,440
7.7%
23.9%
0.4% 2.2%
63.3%
HSBC
CARBONES DEL CERREJON$38,371
2.4%
3.4%
7.9%
4.6%
5.1% 1.6%
9.7%
38.0%
46.1%
FIDUCIAR - M ULTIOPCION $10,055
82.0%
1.6%
FIDUCIAR - PLAN FUTURO $16,611
0.1% 3.0% 4.5%
11.4%
0.3% 2.6% 3.7%
0.6%
29.6%
2.3%
10.6%
38.5%
COLSEGUROS $74,066
48.5%
24.5%
7.9%
11.9%
COLFONDOS $186,218
2.3%0.1% 2.8%
4.9% 3.1%
20.9%
17.0%
48.9%
BBVA HORIZONTE $171,677
10.1%
6.5% 6.3%
7.3%
62.9%
6.8%
ALIANZA - ABIERTO VISION $39,602
-2%
98%
Others (1)
Domestic debt securities issued under Law 80/93 and Decree 2681/93
Institutions w atched by other regulatory authority
Overnight Deposits
Derivatives
Internal Public Debt
External Investment
Institutions supervised by the Financial Superintendency
(1) Fogafin, external national debt and operations report active
76.3% of the above mentioned portfolio is denominated in Colombian pesos, 18.7% in US Dollars, 2.5%
in UVR, 2% in Euros and the remaining 0.6% in British pound and Yen (Graph 23).
GRAPH 23
PORTFOLIO'S CLASIFICATION: BY CURRERNCY - AS OF JAN 31th 2008 - US THOUSAND DOLLARS
18.7%
2.0% 2.5%
76.3%
SISTEMA
0.6%
3.8% 1.2%
$3,604,572
71.2%
23.8%
SKANDIA - MULTIFUND $1,119,500
0.1%
4.5%
91.6%
3.9%
2.0% 4.4%
PROTECCION - ESMURfIT $31,240
79.7%
11.8%
2.0%
PROTECCION
$850,657
59.0%
37.8%
2.0%
1.2%
PORVENIR $632,128
3.8%
0.2%
0.1%
4.6%
91.2%
SANTANDER $95,704
91.3%
8.7%
FIDUCOR - MULTIPENSIONES $2,322
100.0%
FIDUCOR - FIDUPENSIONES $1,858
7.7%
5.3%
87.0%
FIDUCOLOMBIA - RENTAPENSION $74,125
95.6%
2.5% 1.9%
FIDUCIARIA DAVIVIENDA - DAFUTURO $260,440
97.6%
2.4%
2.9%
HSBC
CARBONES DEL CERREJON$38,371
92.6%
4.6%
FIDUCIAR - MULTIOPCION $10,055
98.3%
1.7%
FIDUCIAR - PLAN FUTURO $16,611
7.3%
91.8%
0.9%
COLSEGUROS $74,066
2.1%
20.2%
76.4%
1.3%
COLFONDOS
2.0% 3.7%
1.0%
6.0%
$186,218
93.3%
BBVA HORIZONTE $171,677
89.6%
4.4%
ALIANZA - ABIERTO VISION $39,602
0%
100%
Others (1)
Euro
UVR
US Dollar
Col Peso (includes derivatives net position)
(1) British pound and Yen
Concerning to foreign currency position, it is observed that 58.3% is covered from the exchange rate
fluctuation risk. The uncovered part represents 8.7% of the funds’ total value (Chart 4).
On the one hand, 20.5% of the portfolio is invested in fixed income securities denominated in Colombian
pesos, 16.3% in overnight deposits, 13% is linked to the DTF, 10.8% invested in Stocks, 10.6% in
Shares (Derived from securitization processes, Mutual Funds, unit trust funds and Indexed Funds), 9% is
linked to CPI, 8.9% is invested in fixed income denominated in US Dollar, 2.7% in Libor, 2.5% in fixed
income investments linked to UVR, and the rest (5.8%) are fixed income securities denominated in Euro,
net position in derivatives and operations de report actives.(Graph 24 and Chart 2.2).
GRAPH 24
PORTFOLIO'S CLASIFICATION: FLAT RATE BY CURRENCY, CHANGEABLE INCOME, OVERNIGHT DEPOSITS - AS OF JAN 31th 2008 - US
THOUSAND DOLLARS
2.5% 2.7%
8.9%
9.0%
13.0%
10.6%
10.8%
20.5%
16.3%
5.8%
SISTEM A $3,604,572
1.2%
8.5%
7.4%
7.8%
8.4%
10.6%
22.7%
7.8%
9.7%
15.9%
SKANDIA - M ULTIFUND $1,119,500
18.3%
4.5% 2.4%
30.6%
1.8%
6.5%
23.1%
12.7%
PROTECCION - ESM URfIT $31,240
17.4%
4.9%
4.4% 2.7%
15.3%
12.5%
21.5%
19.9%
1.4%
PROTECCION $850,657
2.0%
5.4%
30.6%
19.6%
4.5%
15.0%
12.4%
8.5%
1.9%
PORVENIR $632,128
3.8% 2.4%
27.3%
1.6%
3.7%
4.6%
16.3%
40.0%
0.3%
SANTANDER $95,704
16.9%
13.8%
18.1%
9.3%
35.1%
6.7%
FIDUCOR - M ULTIPENSIONES $2,322
11.2%
59.2%
29.6%
FIDUCOR - FIDUPENSIONES $1,858
5.3%
15.1% 0.2%
1.5%
7.0%
4.9%
50.0%
15.9%
0.2%
FIDUCOLOM BIA - RENTAPENSION $74,125
26.8%
2.5%
30.3%
2.4% 4.2%
12.4%
2.9%
24.5%
3.4% 2.7%
5.0%
18.9%
21.2%
FIDUCIARIA DAVIVIENDA - DAFUTURO
$260,440
60.9%
2.2%
25.8%
HSBC
CARBONES DEL CERREJON$38,371
46.1%
7.8%
FIDUCIAR - M ULTIOPCION $10,055
1.7%
33.0%
9.7%
45.8%
9.7%
FIDUCIAR - PLAN FUTURO $16,611
7.0%
29.3%
7.7%
5.2%
3.5%2.3%
44.8%
0.1%
COLSEGUROS $74,066
2.1% 0.9% 6.7%
0.3%
2.0%
1.2%
21.1%
8.0%
8.5%
48.5%
3.9%
COLFONDOS $186,218
11.6%
3.7%
2.9%
16.3%
44.2%
17.0%
1.1%
BBVA HORIZONTE $171,677
6.0%
4.4%
28.0%
13.4%
1.0%
37.7%
7.3% 2.2%
ALIANZA - ABIERTO VISION $39,602
-1%
Others (1)
99%
Flat Rate - UVR
Libor
Flat Rate - US Dollar
IPC, IPM
STOCKS
Shares
DTF
Overnight Deposits
Flat Rate - Col Peso
´(1) Securitization, Mutual Funds, Index Funds and Unit Trust Funds
´(2) Fixed income Euros, Derivatives Net Position and operations report active
On the other hand, 38.4% of the fixed income securities’ portfolio has a remaining maturity of 180 days,
7.8% between 181 and 360 days, 14.4% between 361 and 720 days, 13.3% between 721 and 1080
days, 7% between 1081 and 1440 days, 7% between 1441 and 1800 days, 1.8% between 1801 and
2160 days, 4.9% between 2161 and 2880 days, 3.4% between 2881 and 3600 days and 2% has a
remaining maturity superior to 10 years (Graph 25 and Chart 2.3).
GRAPH 25
FIXED RATE PORTFOLIO BY REMAINING MATURITY DAYS - AS OF JAN 31th 2008
38.4%
7.8%
14.4%
13.3%
7.0%
7.0%
1.8% 4.9% 3.4% 2.0%
SYSTEM A
33.4%
13.2%
6.5%
9.4%
11.0%
2.5% 2.4%
10.4%
7.7%
3.6%
SKANDIA - M ULTIFUND
6.1%
13.6%
3.4%
40.7%
12.2%
10.6%
0.6%
12.9%
PROTECCION - ESM URfIT
38.9%
11.1%
12.2%
21.8%
1.9% 1.9% 1.1%
9.6%
0.9%0.3%
8.9%
6.5%
0.9% 2.0%
PROTECCION
59.0%
4.2%
6.4%
8.0%
2.9%
1.3%
PORVENIR
9.6%
17.7%
12.9%
15.9%
11.9%
2.2% 4.4%
13.3%
5.3%
6.9%
SANTANDER
49.7%
14.6%
20.7%
8.5%
6.5%
FIDUCOR - M ULTIPENSIONES
100.0%
FIDUCOR - FIDUPENSIONES
25.8%
7.9%
36.5%
39.0%
14.6%
8.2%
4.4%
12.7%
24.1%
3.4% 4.2% 1.9%0.7%
0.7%
FIDUCOLOM BIA - RENTAPENSION
9.7%
5.4%
0.9%
FIDUCIARIA DAVIVIENDA - DAFUTURO
43.3%
26.7%
45.2%
4.0% 2.2% 0.9% 3.5%
19.4%
21.1%
6.4%
HSBC
CARBONES DEL CERREJON
10.7%
16.6%
FIDUCIAR - M ULTIOPCION
68.4%
8.7%
19.2%
1.9% 1.8%
FIDUCIAR - PLAN FUTURO
48.7%
8.6%
3.8%
9.3%
10.2%
18.1%
1.2%
COLSEGUROS
5.9%
7.6%
31.6%
5.5%
29.2%
1.8% 4.7%
9.6%
3.9%
COLFONDOS
41.5%
14.8%
19.8%
4.9%
5.2%
5.8%
1.4% 5.3%
1.3%
BBVA HORIZONTE
27.1%
19.4%
21.0%
14.6%
3.2% 6.2%
4.2%
4.3%
ALIANZA - ABIERTO VISION
0%
100%
1. 0 - 180
2. 181- 360
3. 361- 720
4. 721- 1080
5. 1081- 1440
6. 1441- 1800
7. 1801- 2160
8. 2161- 2880
9. 2881- 3600
9.1> 3600
3. UNEMPLOYMENT FUNDS
3.1 RETURN
Between January 31th 2006 and January 31th 2008, the funds had an average return of -0.02% annual
effective, which equals to a real return of -5.11%. It is noteworthy to emphasize that these returns
oscillated between -0.97% and 2.30% (graph 26).
G R Á F IC O 2 6 .
F UN D S ' R E T UR N J A N .3 1t h/ 0 6 T O J A N .3 1t h/ 0 8
4.00%
2.30%
2.00%
0.99%
0.36%
0.12%-
0.00%
0.61%-2.00%
0.02%0.97%-
NOM INA L RETURN
5.67%-
6.01%-
5.11%-
COLFONDOS
HORIZONTE
PROMEDIO (*)
MINIMUM
RETURN
5.20%PROTECCION
-10.00%
4.74%-
4.15%SANTANDER
-8.00%
PORVENIR
2.90%SKANDIA
-6.00%
7.91%-
2.97%-
-4.00%
REA L RETURN
(*) Weighed by equity’s average daily balance
The mandatory minimum return certified by the Financial Superintendency for the above mentioned
period was -2.97% annual effective. In average.
EVOLUTION OF THE UNEMPLOYMENT FUNDS' ACCUMULATED RETURNS
11.00%
RETURN ACCUMULATIVE
9.00%
7.00%
5.00%
3.00%
1.00%
-1.00%
Jan-07
Feb-07
Mar-07
Apr-07
PROTECCION
May-07
PORVENIR
Jun-07
Jul-07
HORIZONTE
Aug-07
Sep-07
Oct-07
SANTANDER
Nov-07
Dec-07
COLFONDOS
Jan-08
SKANDIA
3.2. RETURN AND VOLATILITY
3.2.1 MONTHLY RETURN AND VOLATILITY
The monthly average return of the unemployment funds during the last twenty-four months, was between
-0.66% and 2,66% (annual effective), with annualized volatilities of 3,60% and 4.24% respectively. The
return and volatility for each one of those funds are shown in graph 27.
GRAPH 27
UNEMPLOYMENT FUNDS
MONTHLY AVERAGE RETURN AND VOLATILITY - JANUARY 31 2006 - JANUARY 31 2008
Monthly average return (annual ffective)
2.90%
2.60%
Skandia
2.30%
Santander
2.00%
1.70%
1.40%
Porvenir
1.10%
0.80%
0.50%
Protección
PORTFOLIO
OF REFERENCE
0.20%
-0.10%
Horizonte
-0.40%
Colfondos
-0.70%
-1.00%
3.50%
4.00%
4.50%
5.00%
VOLATILENESS
5.50%
6.00%
3.2.2 ACCUMULATED RETURN AND VOLATILITY
The accumulated average return of the unemployment funds during the last twenty-four months, was
between the -0.97% and 2,30% (annual effective), with annualized volatility of 3,63% and 5.15%,
respectively. The average return and volatility for each one of those funds are shown in graph 28.
GRAPH 28
UNEMPLOYMENT FUNDS
ACCUMULATED RETURN AVERAGE AND VOLATILITY
JANUARY 31 2006 -JANUARY 31 2008
2.60%
Skandia
ACCUMULATED RETURN AVERAGE(*)
2.30%
2.00%
1.70%
1.40%
Santander
1.10%
Porvenir
0.80%
0.50%
0.20%
Protección
-0.10%
Colfondos
-0.40%
-0.70%
-1.00%
PORTFOLIO
OF REFERENCE
Horizonte
-1.30%
3.10%
3.30%
3.50%
3.70%
3.90%
4.10%
4.30%
4.50%
4.70%
4.90%
5.10%
VOLATILITY
(*) It belongs to the accumulated return of the last 24 months
3.3 VALUE OF THE FUNDS
As of January 31th, 2008 the amount of USD 1.893 millions, USD 6 millions more than the value
registered as of December 31st, in other words, 0.3%. Regarding the same month in 2007, the funds
have had an increase of 15.1%, which is equal to 248 US million dollars (graphs 29 and 30).
GR A P H 29.
V A LUE O F E A C H F UN D A N D IT S P A R T IC IP A T IO N WIT H IN T H E
S Y S T E M - A S O F J A N .3 1T H 2 0 0 8 - US M ILLIO N D O LLA R S
30.4%
500
23.5%
20.0%
FUND VA LUE
41
2.2%
P ERCENTA GE OF P A RTICIP A TION
SKANDIA
SANTANDER
HORIZONTE
PROTECCION
PORVENIR
239
100
0
11.3%
COLFONDOS 214
200
12.6%
445
300
576
400
378
600
1,887
0.0%
1,893
1,887
3.9%-
1,964
1,964
2,151
2.9%Jul-07
1,886
2,216
6.0%Jun-07
2,358
2,211
0.3%
0.3%
4.1%
Sep-07
0.0%
12.3%Aug-07
6.7%
1.5%-
1,500
1,000
2,204
39.3%
2,000
1,645
2,500
3.8%-
2,291
GR A P H 30.
V A LUE O F T H E F UN D S ' LA S T Y E A R E V O LUT IO N
US M ILLIO N D O LLA R S
500
FUNDS VALUE
Jan-08
Dec-07
Nov-07
Oct-07
May-07
Apr-07
Mar-07
Feb-07
Jan-07
0
MONTHLY VARIATION
3.4 AFFILIATES
The number of people affiliated with the funds as of January 31th 2008 was 3.990.960, with a crease of
0.2%, that is, 7.073 less people compared to the ones that were with the funds as of December 31st
2007. (Graph 31). Taking into account the same month in 2007, the funds have had an increase of 7.8%,
in other words, 287.562 affiliates.
GR A P H 31
A F F ILIA T E S A N D P A R T IC IP A T IO N O F E A C H F UN D WIT H IN T H E
S Y S T E M - A S O F J A N .3 1T H 2 0 0 8
1,400,000
29.1%
1,200,000
21.9%
13.8%
552,159
200,000
554,462
400,000
13.9%
872,612
600,000
20.5%
29,992
0.8%
1,163,120
800,000
818,615
1,000,000
COLFONDOS
SANTANDER
PROTECCION
HORIZONTE
PORVENIR
A FFILIA TES
SKANDIA
0
P ERCENTA GE OF P A RTICIP A TION
3,990,960
3,983,887
4,017,098
4,078,045
4,129,922
4,196,664
4,264,601
4,341,806
4,427,219
4,507,429
4,037,387
4,100,000
4,578,911
4,900,000
3,703,398
A F F ILIA T E S
LA S T Y E A R E V O LUT IO N
1.8%-
1.9%-
1.8%-
1.6%-
1.6%-
1.3%-
1.0%-
0.5%-
0.8%-
0.2%
Apr-07
May-07
Jun-07
Jul-07
Aug-07
Sep-07
Oct-07
Nov-07
Dec-07
Jan-08
1.6%-
1,700,000
23.6%
2,500,000
0.2%-
3,300,000
900,000
A FFILIA TES
Mar-07
Feb-07
Jan-07
100,000
M ONTHLY VA RIA TION
95.9% of the total members are dependent workers, 2.7% are voluntary members and 1.5% are
independent workers. On the other hand, 65% of the funds’ members are men and 35% women (Chart
3.2).
3.5 INVESTMENT PORTFOLIO
As of January 31th 2008, the portfolio’s value of the unemployment funds was USD$ 1,904 million. The
79.3% of the above mentioned funds’ portfolio, that is, USD$ 1,510 million belongs to fixed income
investments; 18.1%, USD$ 345 million to investments in equity, 2.1%, USD$ 40 million to overnight
deposits and 0.5%, 9 million to net position in derivatives (right less obligations), Active Report
Operations 0.1%(Chart 3.3 and Graph31)
GRAPH 31
PORTFOLIO DIVERSIFICATION: FIXED INCOME, CHANGEABLE INCOME, OVERNIGHT DEPOSITS AND DERIVATIVES - AS OF
JAN 31th 2008 - US THOUSAND DOLLARS
100%
Fixed income
Changeable
Income
79.2%
78.2%
78.5%
18.6%
19.1%
79.3%
80.2%
79.3%
80.1%
Overnight
Deposits
Derivatives
Active Report
Operations
17.5%
17.0%
19.1%
12.7%
18.1%
2.6%
0%
1.1%
2.2%
BBVA
HORIZONTE
379,701
0.2%
3.0%
COLFONDOS
216,220
0.4%
1.6%
0.4%
SANTANDER
240,218
0.1%
1.4%
PORVENIR
579,295
0.1%
4.6%
2.7%
PROTECCION
447,314
SKANDIA
41,313
0.1%
2.1%
0.4%
SISTEMA
1,904,061
FIXED INCOME, EQUITY, OVERNIGHT DEPOSITS AND DERIVATIVES NET
POSITION TOTAL PORTFOLIO'S LAST YEAR EVOLUTION - US MILLION
DOLLARS
100%
85%
70%
55%
40%
25%
10%
-5%
JA N-07
1,646
Feb-07
2,305
M ar-07
2,222
Derivatives
A P R-07
2,221
M ay-07
2,387
Jun-07
2,243
Overnight Deposits
Jul-07
2,160
A UG-07
1,903
Sep-07
1,985
Changeable Income
Oct-07
1,968
No v-07
1,896
Dec-07
1,896
Fixed income
Jan-08
1,904
The investments in public debt are the most important ones within these funds. As of January 31th 2008,
this investments represented 51.2% of the portfolio’s total value (national debt represents 42.6%,
external national debt 2.5% and territorial organizations and their decentralized 6%), followed by the
securities issued by the institutions supervised by the Financial Superintendency with 18.8%, the
Institutions supervised by other regulatory authorities with 18.4%, and external investments with 8.9%
and overnight deposits with 2.1% (Graph 32)
GRAPH 32
99.0%
Internal Govermment
Debt
PORTFOLIO'S
CLASIFICATION : BY ISSUER - AS OF JAN 31th 2008 - US THOUSAND DOLLARS
100.0%
Institutions watched by other
authority
22.3%
Internal
Public Debt
regulatory
40.0%
39.6%
41.3%
43.3%
Institutions supervised by the
Financial
Superintendency
Institutions
watched
42.6%
by the
Financial Supervision
49.6%
20.7%
Institutions watched by other
regulatory authority
External Public Debt
External Investment
18.1%
23.4%
Domestic debt securities
issued
under Law
80/93 debt
and
Other
public
Decree 2681/93
10.4%
20.5%
17.0%
18.4%
12.1%
titles
13.1%
16.1%
Overnight Deposits
17.3%
16.0%
20.3%
7.2%
21.9%
International Investment
18.8%
2.6%
External Public Debt
13.2%
11.5%
10.0%
8.9%
7.7%
5.5%
4.2%
6.5%
19.3%
Others (1)
Overnigth Deposits
5.5%
3.0%
1.2%-1.0%
0.2%
0.0%
BBVA
HORIZONTE
379,701
Others (1)
8.8%
7.9%
6.0%
1.4%
2.2%
1.7%
1.0%
1.6%
1.4%
2.7%
4.2%
0.4%
COLFONDOS
SANTANDER
PORVENIR
216,220
240,218
579,295
COLFONDOS
HORIZONTE
$ 252,113
2.1%
$ 421,068
1.5%
4.6%
0.1%
PROTECCION
447,314
PORVENIR
$ 662,463
2.5%
SKANDIA
41,313
PROTECCION
$ 516,388
0.7%
SISTEMA
1,904,061
SANTANDER
$ 264,935
(1) FOGAFIN AND DERIVATIVES NET POSITION
TOTAL PORTFOLIO'S LAST YEAR EVOLUTION BY ISUUER
US MILLION DOLLARS
60%
50%
40%
30%
20%
10%
0%
JAN-07
1,646
Feb-07
2,305
Mar-07
2,222
APR-07 May-07
2,221
2,387
Jun-07
2,243
Jul-07
2,160
AUG-07 Sep-07
1,903
1,985
Others (1)
International Investment
Institutions w atched by other regulatory authority
Institutions w atched by the Financial Supervision
Internal Public Debt
Domestic debt securities issued under Law 80/93 and Decree 2681/93
External Public Debt
Oct-07
1,968
Nov-07
1,896
Dec-07
1,896
Jan-08
1,904
SKANDIA
$ 43,288
75% of the above mentioned portfolio is denominated in Colombian pesos, 15% in UVR, 9.1% in US
Dollar, 0.7% in euros and the rest in yen, 0.2%. (Graph 33)
GRAPH 33
PORTFOLIO'S CLASIFICATION: BY CURRERNCY
AS OF JAN 31th 2008 - US THOUSAND DOLLARS
100%
Col Peso
(includes
derivatives net
position)
UVR
59.6%
72.1%
74.5%
77.5%
75.0%
75.6%
80.1%
US Dollar
Euro
15.1%
Others (1)
15.0%
15.5%
16.8%
11.9%
8.1%
9.6%
0.3%
0%
15.9%
15.9%
12.8%
BBVA
HORIZONTE
379,701
1.2% 0.4%
COLFONDOS
216,220
0.4%
SANTANDER
240,218
9.1%
12.0%
7.2%
5.9%
0.3%
PORVENIR
579,295
9.8%
1.4%
PROTECCION
447,314
0.2%
0.7%
SKANDIA
41,313
SISTEMA
1,904,061
(1) Yen
TOTAL PORTFOLIO'S LAST YEAR EVOLUTION BY CURRENCY
US MILLION DOLLARS
80%
70%
60%
50%
40%
30%
20%
10%
0%
JA N-07
1,646
EURO
Feb-07
2,305
M ar-07 A P R-07 M ay-07
2,222
2,221
2,387
UVR
Jun-07
2,243
US DOLLAR
Jul-07
2,160
A UG-07
1,903
Sep-07
1,985
Oct-07
1,968
No v-07
1,896
Dec-07
1,896
Jan-08
1,904
COL PESO
In terms of the foreign currency position, it is observed that 56.5% is covered from the exchange rate
fluctuation risk and the uncovered part represents 4.3% of the funds’ total value (Graph 34 and Chart 4)
EVOLUTION OF THE UNEMPLOYMENT FUND'S ACCUMULATED RETURNS
11.0%
10.0%
9.0%
8.0%
7.0%
6.5%
6.0%
5.0%
4.5%
4.0%
3.6%
3.4%
3.0%
2.8%
2.0%
1.8%
1.0%
0.0%
Ene-07
Feb-07
Mar-07
Abr-07
May-07
Jun-07
Jul-07
Ago-07
Sep-07
Oct-07
Nov-07
Dic-07
PROTECCION
PORVENIR
HORIZONTE
SANTANDER
SKANDIA
COLFONDOS
Ene-08
On the other hand, 29.3% of the portfolio is invested in fixed income issues denominated in Colombian
pesos, 23.4% is linked to CPI, 15% is invested in fixed income linked to UVR, 11.2% of the portfolio is
invested in stocks, 6.9% in Shares (Derived from securitization processes, Mutual Funds, unit trust
funds, and Indexed Funds), 7.6% linked to DTF, 2.1% in Overnight deposits, 2.9% in fixed income
denominated in US Dollar and the remaining 1.6% are securities denominated Libor, fixed income issues
denominated in Euros, and net position in derivatives. (Graph 35 and Chart 3.4)
GRAPH 35
PORTFOLIO'S CLASIFICATION: FLAT RATE BY CURRENCY, CHANGEABLE INCOME, OVERNIGHT DEPOSITS - AS OF
JAN 31th 2008 - US THOUSAND DOLLARS
100.00%
13.9%
Flat Rate - Col Peso
26.8%
26.2%
26.4%
29.3%
32.9%
36.3%
IPC, IPM
14.6%
Flat Rate - UVR
15.1%
STOCKS
24.6%
25.2%
24.9%
23.4%
25.4%
Shares
19.5%
8.9%
3.9%
DTF
12.8%
15.9%
15.9%
Overnight Deposits
6.4%
11.9%
15.0%
2.6%
16.8%
4.1%
10.2%
Flat Rate - US Dollar
11.6%
10.9%
11.2%
12.7%
10.8%
7.3%
Libor
7.5%
7.6%
6.3%
8.3%
2.2%
0.00%
0.5%
2.4%
1.1%
BBVA HORIZONTE
379,701
(1)
1.0%
3.0%
1.5%
COLFONDOS
216,220
Libor, Euros and Derivatives net position
6.9%
6.2%
6.5%
11.7%
Others (1)
15.4%
7.6%
6.2%
0.6%
1.6%
0.7%
1.7%
SANTANDER
240,218
6.0%
0.3%
1.4%
5.7%
0.1%
PORVENIR
579,295
0.1%
15.2%
2.7%
1.7%
PROTECCION
447,314
0.6%
SKANDIA 41,313
SISTEMA
1,904,061
2.1%
2.9%
1.0%
FIXED INCOME BY INTEREST RATE TYPE , EQUITY, OVERNIGHT DEPOSITS AND
DERIVATIVES NET POSITION TOTAL PORTFOLIO'S LAST YEAR EVOLUTION
US MILLION DOLLARS
45%
40%
35%
30%
25%
20%
15%
10%
5%
0%
JAN-07
1,646
Feb-07
2,305
Mar-07
2,222
APR-07
2,221
May-07
2,387
Jun-07
2,243
Jul-07
2,160
AUG-07
1,903
Sep-07
1,985
Oct-07
1,968
Nov-07
1,896
Others
FIXED INCOME EURO
Flat Rate - Col Peso
IPC
Flat Rate - UVR
DTF
Flat Rate - US Dollar
Shares
STOCKS
Dec-07
1,896
Jan-08
1,904
In terms of the portfolio’s classification by credit risk, it is observed that 44.6% are securities issued by
the Nation, 24.5% of the investments have a AAA qualification, 21.3% are investments that do not
require qualification, 7.8% has a AA+ qualification and 1.7% belong to securities issued by Fogafin, with
qualification AA, AA-, A+, A, 1+, BBB, BBB- and retired qualification (Graph 36)
GRAPH 36
PORTFOLIO'S CLASIFICATION: BY CREDIT RISK - AS OF JAN 31th 2008
100%
NATION
43.7%
41.0%
24.3%
28.8%
44.3%
43.6%
40.7%
44.6%
51.2%
AAA
DO NOT
REQUIRED (1)
AA+
19.0%
25.2%
32.5%
24.5%
20.2%
OTHERS (2)
4.8%
14.3%
25.8%
23.6%
12.6%
1.8%
PROTECCION
(1)
(2)
19.5%
21.5%
6.3%
7.6%
0%
21.3%
25.0%
0.8%
PORVENIR
4.2%
1.1%
HORIZONTE
4.5%
SANTANDER
6.9%
SKANDIA
4.3%
7.8%
1.0%
1.7%
COLFONDOS
SYSTEM
Investments: Unit Trust Funds, Mutual Funds, Index Funds and Stocks
Fogafin, AA, AA-, A+, A, 1+, BBB, BBB- and retired qualification
Finally, it is important to mention that 3.7% of the fixed income portfolio has a remaining maturity of 180
days, 2.1% between 181 and 360 days, 8.1% between 361 and 720 days, 28% between 721 and 1,080
days, 8.1% between 1,081 and 1,440 days, 10.6% between 1,441 and 1800 days, 4.4% between 1801
and 2,160 days, 22.9% between 2,161 and 2,880 days, 7.3% between 2881 and 3.600 days and 4.7%
has a remaining maturity of 10 years or higher (Graph 37 and Chart 3.5).
GRAPH 37
FIXED RATE PORTFOLIO BY REMAINING MATURITY DAYS - AS OF JAN 31th 2008
100.0%
2.8%
5.0%
3.7%
4.7%
9.1 > 3600
1.9%
3.4%
8.2%
12.5%
7.3%
13.1%
3.3%
9. 2881 - 3600
15.8%
23.4%
24.9%
24.2%
14.3%
8. 2161 - 2880
25.3%
8.0%
7.8%
4.6%
9.1%
6.4%
4.0%
8.7%
22.9%
10.6%
1.4%
5.2%
7. 1801 - 2160
4.7%
6.3%
9.3%
6. 1441 - 1800
10.6%
6.0%
6.9%
5.4%
4.4%
5.4%
6.0%
17.9%
8.1%
5. 1081 - 1440
22.1%
32.8%
4. 721 - 1080
29.4%
34.0%
10.0%
34.7%
28.0%
3. 361 - 720
16.3%
17.8%
2. 181 - 360
13.3%
11.9%
7.5%
8.1%
5.3%
1. 0 - 180
3.0%
3.2%
0.0%
PROTECCION
5.8%
1.3%
2.6%
0.6%
5.1%
4.7%
7.9%
1.6%
HORIZONTE
SANTANDER
2.1%
3.7%
3.8%
1.5%
2.9%
PORVENIR
5.6%
SKANDIA
COLFONDOS
SYSTEM
4. PAY AS YOU GO REGIME
4.1 PENSION RESERVE FUND´S EQUITY
Pay as you go pension reserve fund’s equity to the closing of the month of January 2008 it reported a
balance of USD 1,388.5 million dollars, superior value in USD 71.8 million dollars related to the one
registered in December of 2007, which is equal to a increase of 5,46% (graphical 38). The total of
reserves to January 31 of 2008 is distributed thus: Retirement Age, USD 1,330.3 million dollars,
Invalidity, USD 0.0 million dollars and Survival, USD 58.2 million dollars (chart 5).
GRAPH 38
RESERVE FUNDS' EQUITY
46.92%
28.45%
1
ISS
CAPRECOM
CAXDAC
Dec-07
P. ANTIOQUIA
Jan-08
FONPRECON
Participation to January 2008
CAJANAL
63.3
68.5
64.1
4.56%
4.93%
65.1
41.1
39.4
2.96%
169.0
163.8
395.0
10
379.6
100
651.5
12.17%
604.6
Millions of Dollars
1,000
LAST YEAR EVOLUTION OF RESERVE'S FUNDS EQUITY
3.98%
5.46%
1,388.5
Oct-07
1,266.3
Sep-07
-4.43%
1,316.6
2.24%
1,324.9
Mar-07
7.23%
1,208.5
Feb-07
300.0
1,321.0
Jan-07
1,113.6
1,074.2
600.0
1,060.1
900.0
3.67%
1.33%
-8.52%
1,218.5
1.33%
0.07%
1,277.4
1,200.0
-4.61%
1,295.8
8.41%
14.71%
1,046.1
Milions of Dolars
1,500.0
0.0
Apr-07
May-07
Jun-07
Jul-07
EQUITY VALUE
Aug-07
Nov-07
Dec-07
Jan-08
MONTHLY VARIATION
Source: Supervised Entities
4.2 AFFILIATES
According to the data sent by the administrator entities of the above mentioned Regime, for November
and December 2007, the total number of affiliates was 6.116.084 and 6.122.290, respectively, which
equals to an increase of 6.206 affiliates, representing 0,10%.
GRAPH 39
AFFILIATES
98,94%
10.000.000
1.000.000
0,98%
100.000
10
0,01%
723
1.056
1.058
1.258
1.246
0,02%
719
0,02%
2.036
60.000
0,03%
2.167
100
60.000
1.000
6.057.233
6.050.878
10.000
1
ISS
CAJANAL (1 )
CAPRECOM
Nov-07
P. ANTIOQUIA
Dec-07
CAXDAC
FONPRECON (2)
Participation to December 2007
(1) “CAJANAL”´s data is included taking into account preliminary information
(2) “FONPRECON”´s data is in process of evaluation which is composed as follows: In November 2007, 114 belong to Law 4th of
1992 (Members of the “Congreso de la República”) and 609 to Law 100 of 1993 (Administrative Personal of the “Congreso de la
República” and “Fondo de Previsión Social”); in December 2007 the distribution was: 109 and 610, respectively.
LAST YEAR EVOLUTION AFFILIATES'
0,19%
0,11%
0,06%
0,01%
1,07%
0,11%
0,24%
0,07%
0,08%
0,12%
0,06%
0,07%
0,10%
Jun-07
Jul-07
Aug-07
Sep-07
6.122.290
6.108.198
May-07
6.116.084
6.103.456
Mar-07
6.096.216
6.006.601
Feb-07
2.000.000
6.092.235
6.006.159
Jan-07
3.000.000
6.077.640
6.002.842
Dec-06
4.000.000
6.070.854
5.996.177
5.000.000
6.111.816
6.000.000
Nov-07
Dec-07
1.000.000
0
Apr-07
AFFILIATES
Oct-07
MONTHLY VARIATION
Source: Supervised Entities
AFFILIATES EVOLUTION'S TO THE "ISS", LAST FIVE YEARS,
BY THE GENDER
7.000.000
6.057.233
2.412.629
3.644.604
5.927.957
2.387.630
3.540.327
5.790.802
2.369.589
3.421.213
5.629.088
3.287.819
2.341.269
3.000.000
5.667.429
4.000.000
2.345.619
5.000.000
3.321.810
AFFILIATES
6.000.000
2.000.000
1.000.000
0
Dec-03
Dec-04
Dec-05
MEN
Source: Supervised Entities
WOMEN
Dec-06
TOTAL
Dec-07
The total amounts who quote in December 2007 were USD 119,320 thousand dollars. The variations by
gender of the total of affiliates, between the months of November and December in 2007, are these
ones: (See the details by each Administrator as it’s shown in chart 6).
Affiliated Men
Quoting
Affiliated Women
Non Quoting
Quoting
TOTALES
Non Quoting
Quoting
Non Quoting
Great Total
TOTALS NOVEMBER/07
TOTALS DECEMBER/07
1.214.039
1.200.782
2.487.927
2.506.511
705.558
705.381
1.708.560
1.709.616
1.919.597
1.906.163
4.196.487
4.216.127
6.116.084
6.122.290
VARIATIONS:
ABSOLUTE VARIATION
PERCENTAGE VARIATION
-13.257
-1,09%
18.584
0,75%
-177
-0,03%
1.056
0,06%
-13.434
-0,70%
19.640
0,47%
6.206
0,10%
In December of 2007, 36,6% of the total of affiliates with the “ISS”, are active, that represents, 2.219.466
and 63,4%, which is equal to, 3.837.767 are inactive. Inactive affiliates are those ones who did not make
the obligatory payment in at least the last six months.
30% of the total of affiliates for each of the administrators of the Pay As You Go Regime in December
2007, without including “CAJANAL” and “FONPRECON”, belongs to people who quote, representing
1.845.444; and 70% belongs to people who do not quote, representing 4.216.127. It is noteworthy to
clarify that people who do not quote are those affiliates and not-pensioners, who for some reason did not
do the mandatory payment during the reported month (graph 40).
1.842.270
10.000.000
GRAPH 40
AFFILIATES CLASIFICATION
4.214.963
1.000.000
100.000
1.925
10.000
1.000
1.015
822
231
111
234
100
10
1
ISS
CAPRECOM
P. ANTIOQUIA
QUOTING MEMBERS
CAXDAC
NON-QUOTING MEMBERS
LAST YEAR QUOTING AND NON QUOTING AFFILIATES' EVOLUTION
100%
90%
80%
70%
67%
68%
67%
32%
33%
68%
69%
68%
31%
32%
Apr-07
May-07
69%
69%
69%
69%
70%
69%
70%
60%
50%
40%
30%
20%
33%
32%
31%
31%
Jun-07
Jul-07
31%
31%
30%
31%
30%
Nov-07
Dec-07
10%
0%
Dec-06
Jan-07
Feb-07
Mar-07
NON-QUOTING MEMBERS
Aug-07
Sep-07
Oct-07
QUOTING MEMBERS
Source: Supervised Entities
4.3 PENSIONERS
The number of pensioners that were reported by each administrator in December 2007 was 999.624,
which represents an increase of 5.937 pensioners in comparison to October 2007, representing 0,60%
(graph 41). 736.395 of this total belong to Old Age Pension, 39.006 to Invalidity and 224.223 to Survival
(chart 7). Regarding the number of pensioners by gender, 586.771 are men and 412.853 are women
(graph 42).
According to the article 33 of the Law 100/93, which was modified by the article 9° of Law 797 of 2003, in
the Pay As You Go Regime, the age of the retirement for the men is 60 years and they must have 1.125
weeks of contribution at the desired retirement time, whereas for the women, their mandatory age of the
retirement is 55 years but the time of contribution continues being equal, meaning 1.125 weeks for them,
as well.
10.000.000
GRAPH 41
PENSIONERS
74,71%
22,53%
1.000.000
2,26%
0,21%
689
0,07%
689
2.065
2.241
10
22.639
22.619
225.201
224.190
100
746.772
741.883
1.000
2.251
0,23%
10.000
2.072
100.000
1
ISS
CAJANAL
CAPRECOM (1)
Nov-07
P. ANTIOQUIA
Dec-07
FONPRECON (2)
CAXDAC
Participation to December 2007
(1) 22.639 of the pensioners in “CAPRECOM” in month 31 December 2007: 13.636 are pensioners prior to the entrance in use of
the Law 100/93; 8.853 are pensioners in use of Law 100/93, concurs the Organization, “FONCAP” and others; 150 in the Advance
Plan of Pensions (PAP),under an employer’s responsibility. (Numbers in evaluation)
(2) 2.072 of the pensioners reported by “FONPRECON”, 808 are under the Law 4th of 1992 (Ex-members of the “Congreso de la
República”) and 1.264 are under the Law 100 of 1993 (Administrative Personal of the “Congreso de la República” and of the
“Fondo de Previsión Social”). (Figures in verification)
GRAPH 42
NUMBER OF PENSIONERS BY THE GENDER
2.8
5
41
5
14
70%
4.0
8
10
1.0
95
.77
4
6
88
25
80%
3
5.8
8
4
90%
12
9
100%
60%
6.7
7
58
81
20%
.11
6
11
1.1
56
.86
5
86
1.1
49
30%
1
0.8
8
8
40%
56
0
50%
10%
0%
IS S
CAXDAC
FONPRECON
CAPRECOM
MEN
P.ANTIOQUIA
CAJANAL
TOTAL
WOMEN
LAST YEAR PENSIONERS' EVOLUTION
0,72%
1.000.000
0,40%
0,50%
0,58%
0,40%
0,56%
0,55%
0,57%
0,60%
0,53%
0,67%
0,74%
0,60%
Aug-07
Oct-07
Nov-07
999.624
974.632
Jul-07
993.687
968.808
Jun-07
986.431
963.362
May-07
979.825
958.077
952.761
200.000
948.979
400.000
938.753
935.055
600.000
943.470
800.000
0
Dec-06
Jan-07
Feb-07
Mar-07
Apr-07
TOTAL PENSIONERS
Sep-07
Dec-07
VARIATION
"ISS" PENSIONERS' EVOLUTION LAST FIVE YEARS,
BY THE GENDER
800.000
255.884
746.772
490.888
691.015
459.947
427.419
631.974
231.068
Dec-04
200.000
204.555
Dec-03
300.000
590.233
184.483
544.598
400.000
164.962
500.000
405.750
600.000
379.636
PENSIONERS
700.000
100.000
Dec-05
MEN
WOMEN
Dec-06
Dec-07
TOTAL
Source: Supervised Entities
According to the administrator’s report, the monthly salary value of pensioners for December 2007, was
USD 490.404,3 thousand dollars (graph 43). USD$422.384,8 thousand of this total belong to Old Age
Pension, USD$16.324,5 thousand to Invalidity and USD$51.695,0 to Survival (chart 7).
GRAPH 43
PENSION PAYMENTS
64,54%
27,47%
4,44%
100.000,0
0,26%
2.508,4
3.167,1
13.009,5
1.628,9
10,0
6.401,5
21.767,4
42.581,7
131.635,6
100,0
316.487,8
1.000,0
0,65%
1.280,1
134.692,5
2,65%
10.000,0
582.881,0
Thousands of Dollar
1.000.000,0
1,0
ISS
CAJANAL
CAPRECOM (1)
Nov/07 (**)
FONPRECON (2)
Dec-07
CAXDAC
P. ANTIOQUIA
Participation to December 2007
(1) In December 2007 "CAPRECOM" reported USD 21.767,4 thousand dollars as it follows: (a) USD 11.483,3 thousand dollars –
It’s the value of the participation of the organization in which the pensioners were affiliated, the participation that is in charge of the
communications sector and the participation that does not belong to the sector, by pensions recognized before the Law 100 of
1993 came into force, in comparison to the payments that were not made;
(b) USD 10.128,7 thousand dollars – It’s the value of the organization’s participation in which the pensioners were affiliated, the
participation that is in charge of the communications sector, the participation in charge of the FONCAP and the participation that
does not belong to the sector, by pensions recognized after the Law 100 of 1993 came into force, in comparison to the payments
that were made;
(c) USD 155,4 thousand dollars – It’s the value of the pension that according to the Advance Plans of Pensions (PAP) is totally
paid by the employer, until the affiliate fulfills the general requirements established in the current norms which determine that the
employer continues quoting to the FONCAP. (Numbers in evaluation)
(2) USD 13.009,5 thousand dollars reported by “FONPRECON” are distributed as it follows: USD 10.571,0 thousand dollars belong
to the pensioners covered under the Law 4th of 1992 (Ex-members of the “Congreso de la República”) and USD 2.438,5 thousand
dollars belong to the pensioners covered under the Law 100 of 1993 (Administrative Personal of the “Congreso de la República”
and of the “Fondo de Previsión Social”). (Figures in verification)
** "Fonprecon" and "Caxdac", they include the additional monthly pay of December/07.
LAST YEAR EVOLUTION OF THE PENSION PAYMENTS
57,5%
58,2%
-9,0%
410.030,7
421.253,7
436.002,1
200.000
100.000
480.476,3
385.801,5
Jan-07
Feb-07
Mar-07
Apr-07
300.000
760.065,1
400.000
8,4%
-36,1%
3,3%
Aug-07
Sep-07
Oct-07
490.404,3
-37,0%
10,2%
3,5%
2,7%
487.412,5
6,3%
471.960,6
-2,5%
760.065,1|
-34,1%
478.523,5
500.000
767.637,1
600.000
395.759,8
Thousand of dollars
700.000
0
Dec-06
May-07
Jun/07
Pension Pay Value(**)
Jul-07
Monthly variation
Nov/07
(**)
Dec-07
Source: Supervised Entities
** They include the additional monthly pay
The arithmetic average for this Regime’s payment of the pension in December 2007 was USD 490,6
dollars, value inferior in -36,49% compared to last month’s pension payment (graph 44).
GRAPH 44
AVERAGE PENSION PAYMENTS
6.000
490,6
772,5
423,8
785,7
598,1
587,2
1.119,3
568,7
1.000
961,5
2.000
2.364,1
3.000
1.882,6
4.596,7
6.278,7
4.000
3.100,0
Dollars
5.000
0
FONPRECON
CAXDAC
CAPRECOM
P. ANTIOQUIA
Nov-07 (**)
CAJANAL
Dec-07
** "Fonprecon" and "Caxdac", they include the additional monthly pay of December/07.
ISS
SYSTEM´S
AVERAGE
LAST YEAR EVOLUTION OF THE AVERAGE PENSION PAYMENTS
57.32%
56.34%
772.5
-36.49%
490.6
494.1
May-07
2.58%
481.7
Apr-07
7.83%
Sep-07
Oct-07
446.7
Mar-07
-9.56%
493.9
-37.40%
789.0
Feb-07
501.5
Jan-07
9.59%
457.6
434.6
250
3.09%
2.14%
5.75%
-2.90%
443.9
-34.58%
411.0
500
423.2
Dollars
750
0
Dec-06
Jun/07
(**)
Jul-07
SYSTEM´S AVERAGE
Aug-07
Nov-07
(**)
Dec-07
MONTHLY VARIATION
Source: Supervised Entities
** They include the additional monthly pay
4.4 INVESTMENT PORTFOLIO
The balances of the pensional reserve funds’ investment portfolios in January 2008 (having in mind what
is established in Law 490/1998 and in the statutory Decree 1404/1999 (July 28th 1999), “CAJANAL”
transferred its reserves to “FOPEP” and therefore does not present a balance; and in the case of the
“Instituto de Seguros Sociales” – “ISS” – the resources which are part of the Subsidiary Regime) are
included, representing a value of USD 1,174.8 million dollars compared to USD 1,131.6 million dollars in
December 2007, showing a increase of USD 43,3 million dollars which is equal to 3.83% (graph 45).
The total of investments in January of 2008 is distributed for each pensional modality as follows:
Retirement age USD 1,089.7 million dollars, Invalidity USD 12,6
million dollars and Survival USD 72,5 million dollars (chart 8).
GRAPH 45
INVESTMENT PORTFOLIO
42.79%
1,000
33.60%
5.80%
68.2
64.5
40.0
169.3
3.40%
38.6
394.8
379.2
502.7
10
164.0
100
485.2
Millions of dollars
14.41%
1
ISS
CAPRECOM
CAXDAC
Dec-07
Jan-08
P.ANTIOQUIA
FONPRECON
Participation to January 2008
LAST YEAR INVESTMENT PORTFOLIOS´ EVOLUTION
Jun-07
Jul-07
Sep-07
Oct-07
Nov-07
3.83%
1,174.8
Mar-07
5.54%
1,131.6
Feb-07
945.5
Jan-07
-2.67%
1,072.2
200
904.5
400
876.3
600
1,078.7
800
-8.39%
3.04%
1,101.6
4.53%
7.65%
1,069.0
3.22%
1,084.0
0.18%
1,071.2
-0.02%
874.7
Millions of Dollars
1,000
993.0
14.09% -0.69% 1.19%
1,200
Dec-07
Jan-08
0
Apr-07
May-07
PORTFOLIO VALUE
Aug-07
MONTHLY VARIATION
Source: Supervised Entities
In January 2008, 91,8% of the portfolios were invested in TES, the remaining 8,2% were represented in
other bonds different to Nation bonds contained in the funds administrated by “CAXDAC”.
“CAXDAC”’s investment portfolio is different to other pay as you go reserve funds, due to the fact that
this entity, in investment matters, is ruled by the norms issued by the Financial Superintendency for
Private Pension Fund Administrators and its classification is the following one:
The investments’ portfolio value of Retirement age’s reserves, Invalidity and Survival of CAXDAC on the
31th day of January 2007 was USD 169,3 million dollars, increasing the value registered in 3,2% at the
end of the previous month, date in which it was USD 164,0 million dollars.
At the end the month of January 2008, 83,02% of the above mentioned reserves, that is, USD 140.525
thousand dollars belong to investments in fixed income; 13,66%, USD 23.128 thousand dollars belong to
changeable income investments; 2,51%, USD 4.247 thousand dollars to deposits at sight; and 0,81%,
USD 1.369 thousand dollars, to net position in derivatives (rights minus obligations) (graph 46).
GRAFICO 46
CAXDAC - PORTFOLIO CLASIFICATION IN: FIXED AND VARIABLE INCOM E, DEPOSITS AT SIGHT AND
DERIVATIVES NET POSITION
AS OF DECEM BER 31, 2007 - US THOUSAND DOLLARS
100%
INVESTMENTS IN FIXED
INCOME
83,02%
81,99%
CHANGEABLE INCOME
INVESTMENTS
DEPOSITS AT SIGHT
99,61%
99,67%
NET POSITION IN
DERIVATIVES
14,51%
0,12%
0,15%
0,21%
0%
INVALIDITY
USD$4.977
13,66%
0,25%
SURVIVAL
USD$4.971
2,64%
0,86%
OLDNESS
USD$159,321
0,81%
2,51%
TOTAL
USD$169,270
SOURCE: Caxdac
In January 2008, the most significant investments were represented in 28,03% of the portfolio’s total
value by securities issued by institutions supervised by other regulatory authorities; then come the
securities issued by the nation (internal national debt) with a representation of 25.16%; securities issued
by entities supervised by the Financial Superintendency of Colombia with 13,89%; External public debt
with 11,85%; securities issued by external entities with 10,28%; securities issued by territorial
organizations and decentralized entities had a participation of 7,48%, and other investments had a
participation of 3,31% (graph 47).
GRAPH 47
CAXDAC - PORTFOLIO CLASSIFICATION IN TYPE OF ISSUER
AS OF JANUARY 31, 2008 - US THOUSAND DOLLARS
100%
INSTITUTIONS WATCHED
BY OTHER REGULATORY
AUTHORITY
18,90%
20,50%
28,03%
28,55%
NATION - INTERNAL PUBLIC
DEBT
INSTITUTIONS WATCHED
BY “SUPERINTENDENCIA
FINANCIERA DE COLOMBIA”
25,15%
28,52%
25,16%
25,06%
NATION -PUBLIC DEBT OF
OUTSIDE
12,60%
13,89%
INVESTMENTS OF OUTSIDE
34,87%
34,27%
12,59%
11,85%
TERRITORIAL
ORGANIZATIONS AND
DECENTRALIZED ENTITIES
12,12%
9,90%
7,16%
8,26%
10,23%
10,28%
7,47%
7,48%
OTHER INVESTMENTS (1)
3,31%
3,50%
0,15%
0,21%
0%
INVALIDITY
USD$4.977
SURVIVAL
USD$4.971
OLDNESS
USD$159,321
TOTAL
USD$169,270
SOURCE: Caxdac
(1) Overnight deposits and net position in derivatives (rights minus obligations)
5. ISS´s PROFFESIONAL RISKS ADMINISTRATOR
5.1 RESERVES FOR PROFESSIONAL RISKS
With the Law 776 of 2002 coming into force, in the 1° article, and according to the instruction of External
Circular 044 of the Financial Superintendency, the “Instituto de Seguros Sociales” (“ISS”) adopted the
technical reserves regime for the life insurance companies that administrate the professional risks sector;
and as a result, during the last semester, the “ISS” presents in its financial statements the amount of
each of the following reserves: (Graph 48).
31.6
22.0
101.9
30.2
1,351.9
1,537.6
30.3
21.0
29.0
96.6
1,308.9
1,485.8
29.2
20.4
94.0
27.9
1,294.7
1,466.2
29.8
20.8
97.7
28.6
1,503.5
20.2
29.2
94.3
28.0
18.7
26.5
1,326.5
1,461.9
1,290.1
1,198.8
27.3
100.0
90.4
Millions of dollars
1,000.0
1,361.8
GRAPH 48 - PROFESSIONAL RISKS RESERVES
10,000.0
10.0
1.0
Aug-07
TOTAL RESERVES
4-NOT WARNED SINISTER
Sep-07
Oct-07
1-MATHEMATICAL RESERVE
5-PROFESSIONAL ILLNESS
Nov-07
2-DEVIATION OF SINISTER
Dec-07
Jan-08
3-WARNED SINISTER
SOURCE: ARP-ISS/ FINANCIAL STATEMENTS IN VERIFYING PROCESS
5.2 EMPLOYERS AND AFFILIATE EMPLOYEES
The employees affiliated with the ISS´s professional risk insurance company (ARP) during last year
(between December 2006 and December 2007) report an increase of 4,40%, being in the first period
290.030 affiliates and in December 2007 being 302.791. The affiliated workers during the same period
increased in 6,84%, being 1.608.836 in December 2006 and 1.718.843 in the above mentioned period.
For the months of November and December 2007, the number of affiliated employers increased 1.782,
which equals to 0,59%, and the affiliated workers increased in 668, which is equal to 0,04% (graph 49).
The ARP quotations in December 2007 was USD 12,5 million dollars.
Graph 49
EMPLOYEES AND WORKERS AFFILIATED
1,718,175
Aug-07
Sep-07
Oct-07
302,791
301,009
Jul-07
297,997
1,683,855
Jun-07
297,718
1,679,640
296,508
May-07
296,626
1,678,129
295,004
1,667,270
1,677,271
294,025
1,634,008
Mar-07
1,633,168
Feb-07
294,008
500,000
294,050
1,613,728
700,000
294,153
1,616,281
290,030
900,000
293,073
1,100,000
1,608,836
1,300,000
1,610,226
1,500,000
1,718,843
1,700,000
300,000
100,000
-100,000
Dec-06
Jan-07
Apr-07
EMPLOYEES
Nov-07
Dec-07
WORKERS
SOURCE: ARP-ISS
5.3 PENSIONERS
In December 2007, 10.944 from the total of the 22.941 pensioners who presented by the ISS´s ARP
belong to survival pension and 11.997 to invalidity pension. During the last year, the number of
pensioners for survival displayed an increase of 1,86%, regarding invalidity a decrease of -0,38% and
taking into account the total of pensioners an increase of 0,68%. For the months of November and
December 2007 the data of pensioners regarding survival, invalidity and the total system displayed a
decrease of -90, -95 and -185 people respectively, which represents -0,82%, -0,79% and -0,80% (graph
50). The monthly salary value of ARP’s pensioners in December 2007, was USD 5,6 million dollars and
USD 2,9 million dollars of this total belong to survival and USD 2,7 million dollars to invalidity.
GRAPH 50
PENSIONERS
11.034
12.092
22.941
10.944
11.997
23.126
23.119
23.034
22.974
23.006
11.015
12.104
Jun-07
10.964
12.070
May-07
12.073
10.869
12.056
Apr-07
10.933
10.840
12.048
Mar-07
12.073
10.845
12.063
Feb-07
10.901
10.818
12.060
22.925
22.888
22.908
22.842
10.791
12.051
22.810
10.761
12.049
22.787
12.043
10.744
10.000
22.878
20.000
Sep-07
Oct-07
Nov-07
0
Dec-06
Jan-07
SURVIVAL
Jul-07
INVALIDITY
Aug-07
Dec-07
TOTAL
SOURCE: ARP-ISS
5.4 MANDATORY QUOTATIONS AND PENSION PAYMENTS
Between the months of January 2007 and January 2008, ISS´s ARP received USD 126,2 million dollars
in quotations from affiliated employers, for a monthly average of USD 9,7 million dollars. The amount
paid during the same period on pension payments was USD 86,7 million dollars, for a monthly average
of USD 5,8 million dollars, taking into account that the law establishes 14 annual pension payments.
Financial statements and statistical reports are being evaluated and are also in depuration process in
order to be adjusted according to the instructions of External Circular 044/2003 (graph 51).
Jun/07
(**)
MANDATORY QUOTATIONS
SOURCE: ARP-ISS
** They include the additional monthly payment
Jul-07
Oct-07
MONTHLY TOTAL PENSION PAY
Nov-07
(**)
10.4
12.5
Dec-07
6.6
Sep-07
5.6
Aug-07
11.2
10.1
10.0
10.0
12.3
9.3
7.9
11.6
May-07
6.1
Apr-07
5.9
Mar-07
5.6
5.6
Feb-07
6.3
5.4
Jan-07
6.3
9.9
9.3
8.0
5.3
7.6
5.3
14.0
12.0
10.0
8.0
6.0
4.0
2.0
0.0
8.8
Millions of Dollars
GRAPH 51 - MANDATORY QUOTATIONS AND PENSION PAYS
Jan-08