This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Scotiabank Signs Agreement To Acquire A Majority Stake In Colombian Pension Fund Company Colfondos AFP

Stocks in this article: BNS

TORONTO AND BOGOTA, Aug. 14, 2012 /CNW/ - Scotiabank today announced that it has reached an agreement to acquire a 51 percent stake in Colfondos AFP, Colombia's fourth largest pension fund company, pending regulatory approval. The terms of the transaction are not financially material and were not disclosed. After completion of the transaction, Mercantil Colpatria will retain 49 per cent ownership in the firm.

"Expanding Global Wealth Management's footprint in Latin America is a strategic priority for Scotiabank and the acquisition of a majority stake in Colfondos will increase our regional presence in this segment," said Chris Hodgson, Group Head of Global Wealth Management at Scotiabank. "Colfondos has achieved a great deal of success and, with our partners at Mercantil Colpatria, we look to continue the growth and expansion of this business."

Scotiabank also operates pension fund company Profuturo AFP in Peru, which it acquired in 2008, and Scotia Crecer AFP in the Dominican Republic, which it acquired in 2007.

Colfondos, with US$9.25 billion in Assets Under Management, has grown its presence to 27 offices in 20 cities across Colombia and 1,200 employees since it was founded in 1991. In 2009, Mercantil Colpatria acquired a majority stake in Colfondos.  Anchor Fund and Linzor Capital Partners currently hold minority stakes in Colfondos and have agreed to sell these stakes to Scotiabank as part of the transaction.

"We are very pleased to work with Scotiabank, with their proven experience and success in wealth management," said Alcides Vargas Manotas, President of Colfondos AFP. "We are certain that Scotiabank's global capabilities will contribute to Colfondos' current investment portfolios resulting in innovative and value added alternatives for our clients." 

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 18,030.21 +6.04 0.03%
S&P 500 2,081.88 -0.29 -0.01%
NASDAQ 4,773.4720 +8.0480 0.17%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs