Labor Assistance Fund Collective Investment Products Regime

General Resolution 1161 of the Argentine Securities Commission (CNV), issued on August 12, 2026, submits to public consultation the regulatory framework for Labor Assistance Fund Collective Investment Products (PIC FALs), created under Law 27802 and Decree 408/2026.
 

The main aspects of the proposal include:

1. Investment vehicles. PIC FALs may be structured as open-end mutual funds (FCIA FALs) or financial trusts (FF FALs), for either one or multiple employers, and must be funded exclusively through contributions made under the Labor Assistance Fund Regime.
2. FF FALs. These vehicles may issue only participation certificates and will not be required to establish a maximum issuance amount or prepare a prospectus or prospectus supplement. They will also be exempt from the general primary placement regime and from listing and trading requirements on authorized markets.
3. Management and authorization. PIC FALs must be managed by authorized entities and will benefit from automatic public offering authorization. Financial trustees and mutual fund management companies meeting the requirements established in the proposal may act as authorized entities.
4. Use of funds. Except in expressly contemplated circumstances, redemptions of fund units or participation certificates will not be permitted, and accumulated assets may only be used to satisfy labor-related obligations covered by the regime.
5. Investment policy. PIC FALs may invest only in the assets permitted in Resolution 1276/2026 of the Ministry of Economy, subject to the limits and conditions established in it. These assets include, among others, public debt securities, deposits with financial institutions, and corporate bonds issued in Argentina.
6. Default assignment. The CNV may assign an eligible PIC FAL to employers that fail to provide a valid FAL ID, based on information supplied by the Argentine Tax Authority.
7. Fees and expenses. The annual maximum limit of 1% applicable to fees, commissions, and expenses will operate as a single, comprehensive cap covering, under the terms established in the proposal, compensation and expenditures related to the ordinary administration, and operation of the PIC FAL.
    

The proposal has been submitted through the Participatory Rulemaking Procedure, which provides for a 15-business-day period for interested parties to submit comments and proposals.