Regulator Wants Chileans to Stop Playing With Their Pension Funds for Quick Profit
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Chilean regulators suspended a local financial services firm that was using a market timing strategy to make quick profits by moving money in and out of pension saving accounts.
The South American nation’s Superintendent of Pensions ordered Aridum Asesorias e Inversiones SpA to immediately halt the practice as it doesn’t have a license to operate as a pension adviser, according to an emailed statement from the regulator. Aridum’s strategy, which it claimed to to have discovered, involved moving money into and out of voluntary accounts known as Cuenta 2.