At a glance: How Chile's AFPs performed in 2018

Chile's six private pension fund managers, or AFPs as they are known, saw their assets under management grow 3.7% last year to 134tn pesos (US$199bn).

In real terms, growth was 0.8%, pensions watchdog SP said in a report.

Three out of the system's five risk-based funds posted negative real returns for the year.

Each of the country's AFPs manages five funds - A, B, C, D and E - which their affiliates can choose from, with A being the highest risk and E the lowest.

Last year, funds A, B and C saw negative real returns of 5.59%, 3.70% and 0.89%, respectively. Returns on funds D and E were 1.21% and 3.07%.

SP said the performance of funds A and B could mainly be attributed to negative returns obtained from investments in foreign variable-income instruments. This was partly offset by positive returns from investments in foreign and national debt securities.

The performance of C and D was attributed mainly to positive returns on investments in foreign and national debt securities, which was partly offset by negative returns on foreign variable-income instruments.

Finally, the performance of E was attributed to positive returns on national fixed-income instruments.

AFPs today can invest in alternative assets such as non-residential real estate and concessions. Lawmakers hope the move will lead to higher long-term investment returns.

AT A GLANCE: FUND C REAL RETURNS GENERATED IN 2018, BY AFP

No. 1

AFP Capital

Fund C real returns: - 0.42%

No. 2

AFP Habitat

Fund C real returns: - 0.75%

No. 3

AFP Planvital

Fund C real returns: - 0.91%

No. 4

AFP Provida

Fund C real returns: - 1.08%

No. 5

AFP Cuprum

Fund C real returns: - 1.17%

No. 6

AFP Modelo

Fund C real returns: - 1.49%

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