he Withdrawal of the Armed Forces of the Philippines VIII It has been approved and enacted and will take until 2026 for companies to be able to deposit up to the last UIT for members requesting the largest amounts from their pension accounts.
As mentioned, before agreeing to the AFP’s withdrawal, pension management companies had warned of the impact of the new free access to… Up to 4 ITU (S/21,400), but now, the agency with the largest number of members, AFP Integra, reveals that it is not expected to have much impact.
Daniel Jordan Castillo, Director of Investments and Private Markets, revealed in a presentation: “As is clear (…), after seven withdrawals, we estimate that no relevant effect should be created. We have plotted how three types of domestic assets behave: domestic income, exchange rate, and Peruvian government bonds, from the moment the seventh withdrawal was announced until its end. (…) As can be seen from the three cases, there was a temporary effect (…), which later ended up declining.” Audience from AFP Integra.
As Jordan Castillo pointed out, there are many of them Affiliates have noticed a decline in the profitability of their AFP funds; Not just those who opted out, but those who didn’t quit as well.
As I remembered and mentioned Peru informationDays before the start of registration of applications last Tuesday, October 21, members were alerted and informed on social media about this The amounts in their individual accounts were declining. This means that although a few days ago they saw that they had 19,000 soles, now they saw that they had 18,800 soles, 200 fewer (the exact common cases were reported in the comments on the posts of the four AFP companies).
Given this, the Armed Forces of the Philippines has the largest number of members (AFP Integra) explained at the time what would have happened to shareholders’ money: “We want you to know that our members’ money is always theirs. We understand your concern about the temporary dilution of the value of the funds; however, it is important to remember that these funds are invested long-term to maximize profitability at the time of retirement.”
But these concerns arose throughout the process, from the moment members requested their payments, until shortly after payment was disbursed. ITU I (S/5,350). This will be the same, temporary effect. However, after withdrawing amounts from their pension, their profitability will now not rise as “quickly” as if they had left their money.
On the other hand, given that this effect, according to Daniel Jordan Castillo, will not be of great importance, affiliates that have kept their money within their AFP will still profit with the largest amount they have saved. Although the temporary withdrawal will also affect his funds, in the future, the specialist revealed that this will stabilize.
According to data from The Banking and Insurance Supervision Authority and Agence France-Presse (SBS) As of August, the most profitable AFP, across all investment fund types, was AFP Habitat. Comparing the annual nominal return as of August 2025 reveals the fund growth data for its members in each fund (as they are known, they range from safest to riskiest).
- Fund Type 0: Habitat’s profitability was 5.12%
- Fund Type 1: Habitat’s profitability was 4.40%
- Fund Type 2: Habitat’s profitability was 5.74%
- Fund Type 3: Habitat’s profitability was 8.61%.