Press Release
The Fondo de Ahorro de Panamá begins the implementation of its Private Equity portfolio through The Carlyle Group / AlpInvest Partners
Panama | September 28, 2020
This new asset class improves the expected risk/return ratio of our global Strategic Portfolio
The selection process was supported by the opinion of an independent Evaluation Commission
The Fondo de Ahorro de Panama (“FAP” or “Fund”) is pleased to announce that it has begun the implementation of a Private Equity portfolio as part of its Strategic Portfolio diversification process. To this end, the Board of Directors of the Fund selected The Carlyle Group/AlpInvest Partners (hereinafter, “AlpInvest”) – based in Washington D.C., USA – after a rigorous selection process. AlpInvest will be responsible for the structuring and management of this new asset class, which will be focused on the Secondary Funds segment of Private Equity.
The implementation of this Private Equity portfolio is part of the Fund’s 2020/2021 Annual Investment Plan, which establishes a strategic allocation in Alternative Investments, such as is Private Equity, of up to 5% of the Strategic Portfolio of the Fund. The execution of this investment involves committing funds gradually to this Private Equity portfolio for 4 to 5 years. The total term of this investment, including the expected cash flows from this Private Equity portfolio, will be approximately 10 years and subject to a one (1) of extension.
The selection of AlpInvest was made in strict accordance with the Fund’s competitive guidelines and processes, and executed by an independent Evaluation Commission, which was composed of Panamanian financial and asset management experts. The Evaluation Commission focused on the following technical pillars: 1) the issuer’s credit rating; 2) proven experience in the Private Equity industry; 3) experience in Secondary Private Equity Funds; 4) experience with institutional clients such as, for example, Sovereign Wealth Funds, Endowment Funds and Pension Funds; and 5) assets under management.
“The Board of Directors, following the best global sovereign wealth fund practices and based strictly on economic and financial considerations, takes further steps towards the long-term strengthening of the Fund’s Strategic Portfolio through the implementation of this Private Equity program,” said Anamae Maduro de Ardito Barletta, chair of the Board of Directors of the Fund.
Abdiel A. Santiago M., Chief Executive of Fund, stated that “the integration of Private Equity assets to a portfolio such as that of the Fund’s has not only the strategic objective to diversify risk, but also to generate returns that are expected to be higher than those offered in public markets over the long term.”
About The Carlyle Group/AlpInvest Partners
AlpInvest Partners, a subsidiary company of The Carlyle Group, is one of the largest Private Equity investors in the world, with more than US$ 70 billion in assets under management (represented by more than 13 thousand underlying companies), 175 professionals, 5 global offices, 300 relationships with General Partners and 180 investors (Limited Partners). AlpInvest Partners is a financial institution with extensive global experience in managing Primary, Secondary and Co-Investment Funds, and its parent company is backed by investment grade credit ratings from Fitch (BBB+) and Standard & Poor’s (BBB+). For additional information visit: www.alpinvest.com or www.carlyle.com.
About the Fondo de Ahorro de Panama
The Fund was created by Law 38 of June 5, 2012, whose main objectives are:
Establish a long-term savings mechanism for the Panamanian State; and
Establish a stabilization mechanism in case of a state of emergency (declared by the Cabinet’s Council) and economic slowdowns.
Contact: Administration, +507-394-5776/5706, administrador@fondoahorropanama.com
For additional information visit www.fondoahorropanama.com
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