The latest CPI figure of 0.8% speaks volumes. Liquidity continues to rise amid the vote on a fourth pension withdrawal (according to the Superintendency of Pensions, these withdrawals have already totaled nearly US$50,000 million), rising inflation is beginning to take center stage (the latest IPOM projection forecasts inflation of 5.7% by year-end), long-term rates are rising following the latest TPM hike of 1.5% (+75 bp), and borrowing costs are increasing, as are those for long-term investment.

Given these scenarios, investment opportunities arise in assets that investors tend to refer to as “safe havens” during turbulent times. We see this a great deal in private debt—particularly private loans—which have remained resilient and have been the major positive driver in alternative asset portfolios in the local market, especially when it comes to instruments backed by real estate.

Therefore, we believe this is a good time to invest in UF—for the short term and with good liquidity—all of which you’ll find in the FYNSA Real Estate Debt Fund. This fund seeks out opportunities in the market arising from real estate companies that are struggling to cover operational cost overruns due to banking restrictions, rising construction costs, or delays caused by difficulties obtaining permits from building authorities.

We expect to begin returning funds to investors starting in the 13th month, with returns of around UF + 7.5% and a secure investment given the guarantees in place.