Emanuel Salinas

The objective of this report is to examine: overall investment trends and perceptions of political risk especially for what regards foreign direct investment (FDI) to emerging markets; investments and risks specifically in Conflict-Affected and Fragile States; and the role political risk insurance (PRI) is playing today and its likely role in the future.

The rapid accumulation of pension funds assets in Latin America has surpassed the offer of eligible traditional corporate debt securities, contributing to a high concentration of funds' investment portfolios on public debt. Authors argue that the introduction of structured finance mechanisms can help to expand the pool of eligible investments by issuing high quality securities that are ultimately linked to loans to small borrowers, mortgage loans or proceeds of infrastructure projects.