Peruvians have already invested more than S/8,000 million in unregulated private funds, raising concerns about the risks involved in these alternative investment vehicles.
According to data from the Central Reserve Bank of Peru, total assets managed by both public and private investment funds reached S/14,000 million by the conclude of 2024. Of this amount, 57% corresponds to private funds that operate outside the supervision of the Superintendency of the Securities Market (SMV).
The growth of alternative assets has accelerated since 2020, driven by investor demand for higher returns. These funds primarily allocate capital to private debt—such as corporate loans, invoices, and leasing agreements—and real estate investments, which fall under the broader category of alternative assets.
Although some of these funds are offered through authorized financial institutions known as SAFIs, they are not subject to SMV regulation, which means investors do not benefit from the same protections available in regulated markets.
Financial experts warn that the lack of oversight increases exposure to liquidity risks, valuation challenges, and potential fraud, particularly as retail participation in these products continues to grow.
The expansion of unregulated private funds underscores a broader trend in Peru’s financial landscape, where investors are increasingly seeking yield beyond traditional banking and public market offerings.
