Accounts Separation (Separación de Cuentas)
Process under which two or more workers regularize the contributions they received under a sole social security number (NSS), by firstly attending the IMSS to request for the regularization of their personal data. The Institute shall issue the definitive NSS for each worker and the rights and resources corresponding to each of them will be transferred. The workers can share their NSS with another person for any of the following reasons: 1. Homonymity (when their paternal and maternal surnames and their own individual names are identical and the IMSS grants the same NSS to both of them), 2. Invasion by a third party (when, mistakenly, two workers use the same NSS), or 3. Invasion by beneficiary (when, mistakenly, two relatives quote with the IMSS with the same NSS).

Accrued Transfers (Traspasos Acumulados)
Net of transfers assigned (ordered) and received (earned) in the system for a certain period of time.

AFORE Account (Cuenta AFORE)
It is the only and personal account of each worker, managed by an AFORE. Such account, during the service life of the worker, accrues the tripartite contributions. The individual account is made up by 3 large subaccounts, namely: Retirement, Severance in old age and Old Age, Housing and Voluntary Saving. The individual account forms a part of the property of each worker and can be inherited.

AFORE Pension Funds Manager (Administradora de Fondos para el Retiro)
Financial institutions in charge of managing the funds of the workers’ pension saving accounts. All such financial institutions belong to the private sector, except for PENSIONISSSTE which belongs to the pubic sector. Whether pubic or private, all of them are subject to the regulations of the pension saving system.

AFORE Services (Servicios de las AFORE)
Services offered to the workers such as the custody, management, investment of the resources, delivery of statement of account and other additional services such as information delivery through internet, telephone assistance, number of branches, balance consultation by means of an electric card, among others.

AFORES Merger (Fusión de AFORES)
Process under which an AFORE absorbs another one. Exceptionally, those workers affiliated to the merged AFORE are entitled to stay in the merging AFORE or to move to the AFORE of their preference.

AIOS International Association of Entities Supervising Pension Funds (Asociación Internacional de Organismos de Supervisión de Fondos de Pensiones)
Its members are the supervisory bodies of the systems of: Chile, Colombia, Costa Rica, El Salvador, Mexico, Panama, Peru, Dominican Republic and Uruguay.

Application for regularizing the insured’s personal data (Solicitud de regularización de datos personales del asegurado)
Document by means of which the worker asks the IMSS to regularize the personal data entered on his/her name with such Institute.

Assignment (Asignación)
Process that allows to assign the accounts of workers who, after a year of having quoted, failed to chose an AFORE. CONSAR assigns an AFORE having one of the highest Net Yield indexes.

Assignment of Pension (Concesión de Pensión)
Document issued by the ISSSTE certifying that the worker is entitled to receive a pension, the document of which is essential to make the respective withdrawal of the individual account resources.

Average Net Yield Weighted (Rendimiento Neto Promedio Ponderado)
Net Yield weighted by the net assets of the 4 SIEFORES.

Average Weighted Term (Plazo Promedio Ponderado)
Investment terms average considering the positions invested in each instrument.

BANSEFI  National Saving and Financial Services Bank (Banco de Ahorro Nacional y Servicios Financieros)
The branches of BANSEFI are PENSIONISSSTE windows through which those workers having an account in that public AFORE will be able to make partial and/or total withdrawals, accounts unification, application for statement of account and appointment or updating of payees.

Banxico Bank of Mexico (Banco de México)
Central bank of the United Mexican States, independently operating as concerns its duties and administration in accordance with the Political Constitution and whose aim is to provide the country’s economy with national currency.

CANASA National Catalogue of Insured of the Mexican Institute of Social Security (Catálogo Nacional de Asegurados del Instituto Mexicano del Seguro Social)
It is the electronic file managed by the Mexican Institute of Social Security (IMSS) and containing, accordingly, the complete information of the Social Security Numbers of all of the IMSS-affiliated workers.

Certificate of Personal Data Regularization of the Insured (Certificado de la Regularización de Datos Personales del Asegurado)
Document whereby the IMSS certifies the regularization of the worker’s personal data registered with such institute.

Commission (Comisión)
Amount charged by the AFORES to the worker as a payment for the service of management, custody and investment of the individual account resources.

Concentrating Account (Cuenta Concentradora)
Account operated by the Bank of Mexico, for the deposit of the resources corresponding to the insurance for Retirement, Severance in old age and Old Age, provided for in the Social Security Laws, as well as the Voluntary Contributions and the Retirement Supplementary Contributions, while the individualization processes are carried out to transfer them to the managers chosen by the workers, and in order to keep the resources of the workers that fail to chose a Manager.

CONDUSEF National Commission for the Protection and Defense of the Financial Services Users (Comisión Nacional para la Protección y Defensa de los Usuarios de Servicios Financieros)
Public body in charge of guiding, informing, promoting the financial education and handling and solving complaints and claims filed by the users of financial services and products.

CONSAR National Commission of the Retirement Savings System (Comisión Nacional del Sistema de Ahorro para el Retiro)
It is the authority that regulates and supervises the Pension Saving System (SAR) and, particularly the AFORE.

Constitutive Amount (Monto Constitutivo)
The amount of money required to take out Lifetime Income and Survival insurance policies, with an Insurance company.

Contributions (Aportaciones)
Resources deposited in the individual account of each worker and which are compulsory. These are tripartite contributions since they are provided by: the employer, the Federal Government and the worker himself/herself.

Credit Risk (Riesgo de Crédito)
Potential loss resulting from the failure by the counterparty to comply with an operation in which a payment commitment is involved.

CURP Population Register Sole Key (Clave Única de Registro de Población)
It is a registry instrument assigned to all the people living in the national territory, as well as to the Mexicans living abroad. The National Population Registry (RENAPO) is the entity in charge of assigning the CURP and issuing the respective evidence.

Custody (Custodio)
Institution in charge of safekeeping the physical certificates of the Debt issues at National and International level.

Defined Benefit Pension System (Sistema de Pensión de Beneficio Definido)
System under which both the workers and the employers contribute to a “global fund” of the Federal Government used to finance the pensions of those who chose this system. Regardless of the contributions on their behalf, if the workers meet the requirements contained in the applicable law (for instance: service years), they receive a pension according to the formula provided for by the Law of the competent Institute; that is why it is called “defined benefit”.

Defined Contribution Pension System (Sistema de Pensión de Contribución Definida)
Pensions system characterized by the existence of an individual account whose accountholder is the worker, and in which account the contributions made by the worker, by the employer and by the Federal Government in respect of pension saving are deposited. Such resources integrate the individual account amount which may be used to take out a pension.

Derivative (Derivado)
Financial instrument linked to an underlying or reference value.

Disability and Life Insurance (Seguro de Invalidez y Vida)
Insurance contributed by the employer on behalf of the worker in order to protect the latter from and against physical or mental risks, or to protect the worker’s beneficiaries in the event of death, for causes beyond the performance of his/her duties.

Distribution Pensions System (Régimen de Pensiones de Reparto)
It is the system under which the resources generated by the active workers and the State are deposited into a joint fund that finances the benefits of all the workers.

Domestic Securities (Valores Nacionales)
Investment alternatives with high security levels made in debt issued by the Federal Government in Mexico. The bonds issued by the Bank of Mexico are an example of these securities.

Enrolled Workers (Trabajadores Afiliados)
Workers quoting to the IMSS who voluntarily joined an AFORE.

FIBRAS (FIBRAS)
Certificates or securities issued by trusts devoted to the acquisition or construction of real estate in the national territory, channeled to the leasing or obtainment of the right to perceive income derived from the leasing of such property, as well as to grant financing for such purposes.

Fixed Interest Instruments (Instrumentos de Renta Fija)
Debt financial instruments that pay a pre-established interest during a certain period of time.  An example of this type of instrument is a Federal Government bond.

Foreign Currencies (Divisas)
United States Dollars, euros and yens, as well as the other foreign currencies provided for by the general provisions related to the investment system.

Foreign Issuers (Emisores Extranjeros)
Governments, Central Banks and Governmental Agencies of member countries of the Technical Committee of the International Organization of Stock Exchange Commissions and the European Union and the entities that issue securities under the regulation and supervision of such bodies, as well as to the multilateral organisms.

FOVISSSTE Housing Fund of the Institute of Security and Social Services of the Governmental Workers (FOVISSSTE Fondo de Vivienda del Instituto de Seguridad y Servicios Sociales de los Trabajadores del Estado)
Organism in charge of granting housing credits to the workers at the service of the State.

Funds Management Contract (Contrato de Administración de Fondos)
A contract under which an AFORE binds itself to render the funds management services of the individual account, as well as to buy on behalf and in representation of, and on account and according to the worker’s instructions, shares of stock of a mutual fund (SIEFORE).

Futures (Futuros)
Contract under which the parties are bound to purchase or sell a number of goods or securities in the future at a previously established price.

Government Securities (Valores Gubernamentales)
Credit instruments issued by the Federal Government. The Government sells the instruments at determined terms and binds itself to pay a premium (interest) upon the expiration of the same.

Gross Yield (Rendimiento Bruto)
The yield obtained by the SIEFORES assets before the fees collection.

Guaranteed Pension (Pensión Garantizada)
Minimum pension an IMSS or ISSSTE-affiliated worker is entitled to, after meeting the requirements provided for by the Social Security Laws.

Housing Subaccount (Subcuenta de Vivienda)
Subaccount to which only the employer makes contributions equivalent to 5% calculated upon the quotation base wage. The INFONAVIT, in the case of IMSS workers, and the FOVISSSTE, for the ISSSTE workers, are the entities that collect and manage the contributions made in this respect. The AFORES only inform the balance reported by such Institutes through the statement of account.

ICEFA Credit Institution or Authorized Financial Entity (ICEFA Institución de Crédito o Entidad Financiera Autorizada)
Banks formerly in charge of managing the SAR workers’ resources.

IMSS Accounts Unification (Unificación de Cuentas del IMSS)
Process that regularizes the individual account of a worker when the latter has two or more accounts as a result of having quoted with different social security numbers (NSS). The procedure allows the worker to have his/her resources in a sole individual account identified with the definitive NSS. In order to solve the anomaly, the worker shall attend the IMSS and submit the Application for Regularizing the Insured’s Personal Data for such Institute to certify the worker’s NSS that is the definitive or “unifying” number. Once that number is assigned, the other NSS of the worker will be cancelled and all of his/her resources will be transferred to the unifying NSS.

IMSS Calculator of Voluntary Saving Pension (Calculadora de Pensión con Ahorro Voluntario IMSS)
Tool included in the CONSAR webpage for IMSS-affiliated workers, which allows the possibility to calculate the effect upon the pension by making voluntary contributions to the pension saving fund.

IMSS Certificate of Deletion (Certificado de Baja del IMSS)
Document issued by the IMSS in order to evidence that the worker is no longer working and that, accordingly, the worker has stopped to quote with the Institute. This document is necessary to make the partial withdrawal of funds from the individual account in respect of unemployment.

IMSS Document of Choice System 73 or 97 (Documento de Elección de Régimen 73 o 97 del IMSS)
The workers who quoted before and after the 1st of July, 199t to the IMSS, are entitled to chose, upon their retirement, pension under the 73 IMSS Law or 97 Law. Upon applying for their pension, the IMSS will deliver them a document whereby they will chose the Law under which the pension is to be granted.

IMSS Mexican Institute of Social Security (IMSS Instituto Mexicano del Seguro Social)
Social security institution founded as a public service for the workers affiliated to it, as well as the workers’ relatives.

IMSS Quotation Base Wage (Salario Base de Cotización del IMSS)
The worker’s integrated daily wage registered with the IMSS and which is used to calculate payable by the employer to the Institute, as well as the benefits the worker is entitled to, among which are the contributions to the individual account.

IMSS Resolution of Marriage Expenses Aid (Resolución de Ayuda de Gastos de Matrimonio del IMSS)
Document issued by the IMSS and which certifies that the worker complies with the requirements to become entitled to the partial withdrawal of resources from his/her individual account in respect of aid for marriage.

IMSS Resolution of Pension (Resolución de Pensión del IMSS)
Document issued by the IMSS granting the worker or his/her beneficiaries the right to receive a pension.

IMSS Resolution of Refusal of Pension (Resolución de Negativa de Pensión del IMSS)
Document issued by the IMSS informing a failure to comply with the minimum requirements to obtain the payment of a pension. In this case, the individual account resources may be withdrawn in full and in a single installment by the workers or his/her beneficiaries.

IMSS Social Fee (Cuenta Social IMSS)
It is the contribution of the Federal Government to the individual saving account for the workers’ retirement, according to article 168, section IV of the Social Insurance Law.

IMSS Wage Modification (Modificación de Salario del IMSS)
Notice sent to the IMSS by the employer within the first 5 days of January, March, May, July, September and November when the worker receives a wage increase or a change in the remunerations received for the work performed.

IMSS Workers (Trabajadores IMSS)
Workers who, upon joining an AFORE, were quoting to the IMSS.

IMSS/ISSSTE assurance branches (Ramos de aseguramiento IMSS/ISSSTE)
Each Social Security Institute has different assurance branches, which protect the workers and their beneficiaries from several situations.

IMSS (IMSS)

  • Labor risks
  • Sickness and maternity
  • Disability and life
  • Retirement, Severance in old age and Old Age
  • Nurseries and social benefits

ISSSTE (ISSSTE)

  • Health
  • Labor risks
  • Retirement, Severance in old age and Old Age
  • Disability and life

IMSS/ISSSTE Rightholder (Derechohabiente IMSS/ISSSTE)
Workers who contribute, pensioners, and/or beneficiaries of the same, of one of these social security institutes and who receive the benefits under the IMSS Law or the ISSSTE Law, as the case may be.

Independent Workers (Trabajadores Independientes)
Workers who neither quote to the IMSS nor to the ISSSTE but have the possibility to voluntarily open a pension saving account with an AFORE.

Individual Capitalization Pensions System (Régimen de Pensiones de Capitalización Individual)
It is the scheme under which the contributions channeled to the pension are credited to an account on behalf of each worker.

INFONAVIT Institute of the Workers’ Housing National Fund (INFONAVIT Instituto del Fondo Nacional de la Vivienda para los Trabajadores)
Institute in charge of providing financing in order to meet the housing needs of the entitled workers.

Instruments linked to stock indexes (Instrumentos ligados a indices accionarios)
The AFORES investment system allows the purchase of stock indexes and not direct stock in order to reduce even more the risk implied by these variable interest instruments.

Insurance company (Aseguradora)
Company hired by the worker if the option of lifetime income is chosen, which will guarantee the payment of a monthly pension on a lifelong basis.

International Equity Investments (Renta Variable Internacional)
Investments in assets (stock indexes) of international issuers. These investments are made in highly stable markets such as the United States, France, England, Germany or Japan.

Investment Committee (Comité de Inversión)
Committee aimed at determining the investment policy and strategy and the integration of the company’s assets, as well as appointing the operators in charge of the investment policy.

Investment System (Régimen de Inversión)
Set of instruments and limits established by the CONSAR in respect of the AFORES in order to invest the workers’ resources based on the same.

IPC National Index of Consumer’s Prices (IPC Índice Nacional de Precios al Consumidor)
Indicator that reports the evolution of the price level of consumption goods and services in Mexico, and which constitutes the official inflation reference in the country.

ISSSTE Basic Salary (Sueldo Básico -del ISSSTE-)
Worker’s monthly wage registered with the ISSSTE and which is used to calculate the fees, contributions and benefits specified by the ISSSTE Law.

ISSSTE Institute of Security and Social Services of the Governmental Workers (ISSSTE Instituto de Seguridad y Servicios Sociales de los Trabajadores del Estado)
Social security institution for the workers at the service of the State and their relatives.

ISSSTE Law (Ley del ISSSTE)
Set of laws effective as from the 1st of April, 2007, which amended the social security system of the workers at the service of the State and whose main reform is the implementation of the Defined Contribution Pension System instead of the Defined Benefit, considering an exception included in Transitory Article Ten.

ISSSTE Loans (Préstamos ISSSTE)
Credits coming from the loans fund of this Institute, in two types: mortgage and personal credits. These loans can not exceed 50% of the total monetary income of the worker, and must be paid by means of a biweekly discount in payroll.

ISSSTE Notice of Deletion (Aviso de Baja del ISSSTE)
Document issued by the ISSSTE and used to evidence that the worker is no longer working and has, therefore, stopped quoting in the Institute.

ISSSTE Social Fee (Cuenta Social ISSSTE)
It is the contribution by the Federal Government to the individual saving account for the workers’ retirement, according to article 102, section III, of the ISSSTE Law.

ISSSTE Solidarity Saving (Ahorro Solidario del ISSSTE)
Type of saving by the ISSSTE-affiliated worker with aid from the Federal Government; this solidarity saving is additionally deposited to the worker’s individual account for purposes of increasing the pension. For each peso contributed by the worker, the Entity/employer is subject to contribute $3.25 pesos. The worker may assign up to 2% of his/her Base Wage to this saving.

ISSSTE Workers (Trabajadores ISSSTE)
Workers who, upon joining an AFORE, were quoting to the ISSSTE.

ISSSTE Years of service (Años de servicio del ISSSTE)
Period of time during which a worker has worked in an Agency or Entity, having accrued rights considered to determine whether the worker is eligible to receive a pension.

ISSSTE-TEL (ISSSTE-TEL)
ISSSTE Telephone Assistance Center (5448 8903 and 01 800 71 04 666, free of charge lada). It is a telephone guidance and information service that solves doubts related to insurance, services and benefits of the workers at the service of the State.

Labor Risks Insurance (Seguro de Riesgos de Trabajo)
Insurance that protects the worker from and against likely accidents, sickness or death during the labor life or as a result of the duties performed. Such insurance policy provides medical care and, if applicable, the payment of a pension for disability to perform the duties, or, it also grants a pension to the beneficiaries in case the worker dies.

Laudo (Award)
It is the resolution issued by a judicial arbitrator in order to solve a conflict between two or more parties.

Legal Payees (Beneficiarios Legales)
The Law of Social Security states that the legal payees are: the wife or husband of the insured (in this latter case, if the husband is economic dependent on the wife) or, in absence, the couple that had lived during the last five years with the insured or that proves to have children with him; provided, however, that both of them had remained free from marriage during the concubinage; children under 16 or no older than 25 if registered as students under the National Educational System or, if the children are unable to live on themselves as a consequence of illness; the ancestors (parents), only if they are economic dependents of the worker. According to the ISSSTE Law, the legal payees are: the spouse and/or children under 18 (or older than 18 if they are unable to work, and up to 25 years old if they study high school or college at official schools, are single and do not work), and the ancestors if they are economic dependents on the worker.

Lifelong Income (Renta Vitalicia)
Contract under which an Insurance Company will pay a monthly pension on a lifetime basis, it is to say, forever. Such pension is taken out with the resources accrued in the worker’s individual account.

Liquidity Risk (Riesgo de Liquidez)
Related to the incapacity to convert assets or portfolios into cash. It refers also to the losses an institution may face in respect of the cost of the resources necessary to finance its assets.

Long-term voluntary contributions (Aportaciones voluntarias a largo plazo)
Additional contributions that can be made by the employer or the worker through the payroll, directly in window, by internet, or by means of a bank card, to the worker’s individual account; these contributions can be withdrawn as from the fifth year following the first deposit. Those workers making these contributions can have access to the tax benefits.

Managed Accounts (Cuentas Administradas)
Total number of accounts managed by the AFOREs.

Management Price (Precio de Gestión)The result of dividing the Net Asset of an Investment Fund, without considering the accounting provision of the commissions nor the historically charged commissions, by the number of shares of stock underwritten and paid.

Market Risk (Riesgo de Mercado)
Loss an investment may suffer due to the price difference existing in the markets or in risk factors such as interest rates, exchange rates, etc.

Modified Previous System (Régimen Anterior Modificado)
Contained in Transitory Article Ten of the ISSSTE Law, and which provides for the conditions for the retirement of the workers at the service of the State who did not chose the Defined Contribution Pension System. Such article provides for gradual modifications of the requirements that would have become effective before the 1st of April, 2007 as concerns retirement (for example, minimum retirement age and service years).

MPT Transactional Procedures Manual (MPT Manual de Procedimientos Transaccionales)
The manual prepared by the Company Operating the SAR National Database and which is approved by the CONSAR, the manual of which specifies the forms and characteristics of the electronic files, transfer procedures of the informatics transactions that constitute the information flow among the entities participating in the pension systems.

National Issuers (Emisores Nacionales)
The Federal Government, Bank of Mexico, Private Enterprises, States, Municipalities, Government of the Federal District and Semi-State Entities, issuing Instruments, as well as the Financial Entities that issue, accept or endorse such Instruments.

Negative Goodwill (Minusvalía)
Decrease of an asset value according to the market conditions, which does not necessarily mean a loss in the resources value since it is about a valuation at a timely moment and in a completely conjunctural manner. As concerns the pension funds, it is a value reduction in the investments made by the SIEFORE. A negative goodwill does not imply the existence of a loss.

Net Assets (Activos Netos)
Resources managed by the AFORES and made up by the funds of the workers’ individual accounts plus the own capital of the Managers.

Net Assets of the System (Activos Netos del Régimen)
Corresponds to the Net Asset plus the accounting provisions of the commissions; it is used to establish the limits of the SIEFORES investment system.

Net Yield (Rendimiento Neto)
Simple subtraction of the gross yield granted by the AFORE minus the fee charged. It is an indicator that allows compare the AFORE versus each other.

NSS Social Security Number (NSS Número de Seguridad Social)
11-digit number for identification purposes before the Mexican Social Security Institute and, accordingly, is used to access the service provided by the Institute. This number remains the same during the worker’s whole labor life and cannot be transferred. Any worker having more than one NSS shall attend the IMSS to make the respective certification procedure in order to correct this situation.

Operating Enterprises (Empresas Operadoras)
The enterprises authorized to operate the SAR National Database.

Partial Withdrawals (Retiros Parciales)
Withdrawals from the individual account that are available in two exceptional situations, namely: in the event of marriage (only once in life) and unemployment (once every five years).

Participants in the Pension Saving Systems (Participantes en los Sistemas de Ahorro para el Retiro)
The credit institutions, pension managers, investment companies specialized on pension funds, funds managing companies, enterprises rendering supplementary or assistance services directly related to the pension funds and the receiving entities.

Payees (Beneficiarios)
Individual or individuals entitled to receive the pension and/or the pension funds of a worker in the event the worker dies. There exist two types of payees, namely: the legal payees and the alternate payees.

Pension (Pensión)
Amount or periodical consideration that substitutes the income of a person upon the retirement or in evens of disability, incapacity or death (this latter case for the beneficiaries).

Pension Insurance (Seguro de Retiro)
Related to the contributions of the pension subaccount, corresponding to the period from the second bimonthly term of 1992, to the third bimonthly term of 1997 and the yields produced by them.

PENSIONISSSTE National Fund of Pensions of the Governmental Workers (PENSIONISSSTE Fondo Nacional de Pensiones de los Trabajadores al Servicio del Estado)
A public sector party in charge of managing individual accounts of the workers and investing and resources of such accounts, as any other AFORE. PENSIONISSSTE is subject to all the regulations of the pension saving systems and transparency rules, in such a way that its performance is subject to a careful supervision by the public in general.

Pensions Private Plan (Plan Privado de Pensiones)
Voluntary scheme set up by the employer or derived from a joint hiring whose purpose of to grant a retirement to the workers registered with the entity that designed the Private Pensions Plan.

Prices Provider (Proveedor de Precios)
Institution in charge of evaluating the instruments that quote in the different national and international markets.

Promoting Agent (Agente Promotor)
A person who has a labor relationship with an AFORE and who is authorized by the CONSAR to carry out the activities related to the guidance, registration of individual accounts, commercialization, promotion and handling of applications for transfers. All promoting agents must be authorized by the CONSAR by means of approval of exams and the assignment of a Promoting Agent number.

Qualification Institutions (Instituciones Calificadoras)
Institutions devoted to quantify the credit risk or an institution or a specific debt issue through a qualification.

Quotation (Cotización)
Fee paid to IMSS or ISSSTE in order to receive the benefits provided for by the Law of the Institute the worker is registered with.

Quoted Weeks (Semanas cotizadas)
Period of time quoted by the worker with the IMSS; such weeks are rights accrued by the worker in order to become entitled to a pension from that Institute. The number of weeks quoted on behalf of each worker can be only certified by the IMSS.

RCV Subaccount of Pension, Severance in elderly and Old Age (RCV Subcuenta de Retiro, Cesantía en edad avanzada y Vejez)
One of the three subaccounts of the Individual Account (or AFORE account). The pension fees and contributions by the employer, the federal government and the worker are deposited in such account.

RCV Subaccount of Pension, Severance in elderly and Old Age (RCV Subcuenta de Retiro, Cesantía en edad avanzada y Vejez)
One of the three subaccounts of the Individual Account (or AFORE Account). The fees and contributions made by the employer, the federal government and the worker for the pension are deposited in such account.

Receiving AFORE (AFORE Receptora)
AFORE in charge of managing the individual account subject matter of a transfer.

RENAPO National Registry of Population and Personal Identification (Registro Nacional de Población e Identificación Personal)
Entity in charge of issuing the Population Register Sole Key (CURP).

Resources Managed (Recursos Administrados)
Resources managed by the AFORES and which derive from the workers’ contributions and resources as well as from the AFORES own capital. They are also called total net assets.

RFC Taxpayers’ Federal Code (RFC Registro Federal de Contribuyentes)
13-position alphanumeric key, issued by the SAT, to all individual or company registered as taxpayer.

Risks Committee (Comité de Riesgos)
Committee whose purpose is to manage the existing risks, and supervise that the performance of the operations is in accordance with the limits, policies and procedures for the management of risks approved by the board of directors.

SAR 92-97    (SAR 92-97)
Period of contributions accrued by the IMSS workers from the 1st of March, 1992 and June 30, 1997. The resources for such period were deposited with the bank chosen by each employer and regulated by the IMSS and INFONAVIT Laws. The resources for this period can be transferred to the individual account only if the respective bank receipt is obtained.

SAR ISSSTE (SAR ISSSTE)
The accrued contribution to quote in ISSSTE from the 1st of March, 1992 and December 31, 2007 are known as SAR ISSSTE 1992 and constitute a supplement to the pension. These resources are regulated by the ISSSTE Law and may be withdrawn in an AFORE or in PENSIONISSSTE, according to the Pension Saving System used by each worker.

SAR National Database (Base de Datos Nacional SAR)
Database integrated by the information derived from the Pension Saving System, containing the individual data of each worker and the registration of the funds manager in charge of handling the pension funds.

SAR Pension Saving System (SAR Sistema de Ahorro para el Retiro)
It is based on individual accounts to which the worker, the employer and the Federal Government contribute. The workers become entitled to a pension at the end of their working life proportionate to the amount accrued in their individual account.

SARTEL (SARTEL)
Telephone Assistance Center 13-28-5000 (charge free at national level), that assists the workers on a personal basis as concerns topics related to the Pension Saving System.

SAT Tax Administration Service (Servicio de Administración Tributaria)
Decentralized body of the Ministry of Treasury and Public Credit in charge of enforcing the tax and customs laws, as well as collecting the federal taxes and controlling the import and export of merchandise in the national territory.

Scheduled Withdrawal (Retiro Programado)
Contract whereby the AFORE takes the balance from the individual account and calculates the worker’s life expectancy, determining in this way the monthly payment the worker will be entitled to during the analyzed years. The worker entitled to a pension under the 1997 Social Security Law shall chose between this benefit and the lifetime income.

Securitized Instruments (Instrumentos Bursatilizados)
Titles or securities that represent credit rights issued through Vehicles and whose underlying assets are such credit rights.

Services Provider (Prestadora de Servicios)
AFORE that provides the management services of Individual Accounts to the newly joined workers and whose resources corresponding to the insurance for Retirement, Severance in old age and Old Age, are in the Concentrating Account.

SHF Federal Mortgage Society (SHF Sociedad Hipotecaria Federal)
Financial institution pertaining to the Development Banking aimed at assisting the Mexicans to access a housing by means of mortgage credits operated by the SOFOLES (Limited Purpose Financial Institutions).

SIAP Promoting Agents Information System (Sistema de Información de Agentes Promotores)
System made available by the CONSAR to the pubic in general for consulting and verifying the registry and data related to the Agents.

SIEFORE Mutual Fund Specialized on Pension Funds (SIEFORE Mutual Fund Specialized on Pension Funds)
These are the mutual funds where the AFORES invest the worker’s resources in order to generate yields. There exist 4 different SIEFORES according to the age of each worker, namely: SBI for 60 and older workers, SB2 for workers from 46 to 59 years old, SB3 for workers from 37 to 45 years old and SB4 for workers 36 years old and younger.

SIEFORE Price (Precio de SIEFORE)
Price per share of stock of an Investment Company.

SIEFORE Transfer (Traspaso de SIEFORE)
When a worker reaches the limit of age established for the 4 different groups of SIEFORES, a resources transfer will be made to the SIEFORE corresponding to the worker’s new age.

Simple Average Net Yield (Rendimiento Neto Promedio Simple)
Simple sum of the net yield granted by each of the AFORES, divided by the number of AFORES.

SIRI Information Reception System (SIRI Sistema de Información de Recepción)
System managed by the human resources departments of the Agencies or Entities integrated to the Mandatory System of the ISSSTE Law, through which the contributions are made and the worker’s data are updated or modified.

Social Security Institutes (Institutos de Seguridad Social)
Mexican Social Security Institute, Institute of the Workers’ Housing National Fund, Institute of Security and Social Services of the Governmental Workers and similar institutions.

Social Welfare Funds (Fondos de Previsión Social)
Pension funds or retirements of personnel, seniority premiums, as well as saving funds set up by private enterprises, agencies or federal, state or municipal public entities or by any other person, as a labor benefit in favor of the workers.

Statement of Account (Estado de Cuenta)
Document issued by the AFORES and which contains information related to the balance of the individual account as well as a summary of the account movements, the resources balance of each subaccount: Retirement, Severance in old age and Old Age, Voluntary Saving and Housing (not managed by the AFORE but by the INFONAVIT) and the comparative table of AFORES or Net Yield Indicator (NYI).

Stock Exchange Certificates (Certificados Bursátiles)
Credit instruments provided for in the Stock Market Law, and which represent the individual stockholding of the holders under a joint credit managed by corporations, or under a trust capital.

Structured Instruments (Instrumentos Estructurados)
Securities that guarantee their face value upon maturity, and whose partial or total yield is linked to underlying assets placed under trust, granting rights upon their proceeds and/or products.

Substitute Beneficiaries (Beneficiarios Sustitutos)
Individuals entitled to receive, in the event the worker dies, the funds of the individual account only and exclusively in absence of the legal beneficiaries. Any beneficiary other than the legal beneficiaries can be considered as alternate beneficiary. Bond of Acknowledgment or pension bond (ISSSTE) Instrument that acknowledges the number of years worked by the ISSSTE workers that chose the Defined Contribution Pension System and which is equivalent to the pension fund that would have accrued for services rendered before the 1st of January, 2008. The factors used to calculate the bond are: basic quotation wage, quoted years and the worker’s age. Such instrument shall be deemed as a part of the individual account and added to the amount of the same as from January 2008, and that amount shall be taken into account for calculating the pension. The bond is issued in investment units (UDIS) and entered on the statement of account both in UDIS and pesos.

Survival Insurance (Seguro de Sobrevivencia)
Taken out by the pensioners from Insurance Company with the purpose of providing their beneficiaries with a pension, social welfare aids and other benefits in money provided for by the different insurance policies, by means of the income to be assigned after the pensioner’s death, until the legal expiration of the pensions.

Total Withdrawal (Total Withdrawal)
Upon the total withdrawal of the AFORE individual account resources, whether due to a refusal of pension (in which case the money shall be delivered in a single installment) or in respect of pension.

Transfer (Traspaso)
Change from one to another AFORE by the worker. The transfers lead to a healthy competition in the Pension Saving System since the AFORES compete among themselves by trying to charge a lower commission, and offering better yields and services. The workers can change from one to another AFORE once a year, to the AFORE of their preference and once again (it is to say, no more than twice a year), if it is about an AFORE that, over the years and on a consistent basis, has generated higher yields. After the second change, the worker must wait for at least a year in order to make another change.

Transferring AFORE (AFORE Transferente)
AFORE that stops managing the individual account of a transfer.

Transfers Assigned (Traspasos Cedidos)
Accounts lost by an AFORE in a certain period of time.

Transfers Received (Traspasos Recibidos)
Workers’ accounts obtained by an AFORE in a certain period of time.

UEAP Specialized Public Service Unit (UEAP Unidad Especializada de Atención al Público)
AFORES Centers that assist the workers who request for information about their individual account or any procedure related to the same.

Undue Transfer (Traspaso Indebido)
Transfer from the worker’s individual account made by an AFORE without the worker’s consent; or, if the worker’s consent is obtained by means of deceit, coercion, intimidation, threats or any other similar conduct; or if the transfer is carried out by using false or forged documents or by means of false documents or signatures; or if the AFORE, in common agreement with the employer or with the employer’s representatives or with any other person able to exert pressure on the worker, obtains the registration in exchange for the delivery of an amount of money, or of the provision of any service, or by granting any kind of any benefit or consideration on behalf of the employer or the latter’s representatives, as well as whenever the AFORE obtains the worker’s registration in exchange for the delivery of an amount of money, or of the provision of any service, or by granting any kind of any benefit or consideration, contrary to what has been authorized, on behalf of itself.

VAR Value at Risk (VAR Valor en Riesgo)
The impairment a Mutual Fund’s net assets can suffer, given a certain confidence level, in a determined period of time.

Variable Interest Instruments (Instrumentos de Renta Variable)
Instruments (mainly stock indexes) paying an interest that varies according to their own performance over time.

Voluntary contributions (Aportaciones Voluntarias)
Additional contributions that can be made by the employer or the worker through the payroll, directly in window, by internet, or by means of a bank card, to the worker’s individual account; these contributions can be withdrawn as from two and six months following the first deposit (depending on the AFORE).

Voluntary Saving (Ahorro Voluntario)
Contributions in addition to the compulsory ones which are used to complement the pension funds, if so decided by the worker. These contributions may be made in the AFORES on a personal basis, by internet, bank card or, it is even possible to ask the employer to discount the same from the wage. The voluntary saving is not subject to minimum or maximum amounts and it is susceptible of tax advantages and benefits provided for by the Income Tax Law.

Voluntary supplementary pension contributions (Aportaciones voluntarias complementarias de retiro)
Additional amounts that can be contributed by the employer or the worker through the payroll, directly in window, by internet, or withdrawn from a bank card. These contributions are deposited in the worker’s individual account in order to supplement the pension or to be withdrawn in a single at the end of the labor life. In order to withdraw these contributions, it is necessary to be 65 years old or obtain a Resolution of Pension or a Resolution of Pension Denial issued by the IMSS, or an Assignment of Pension or Unenforceability of Pension issued by the ISSSTE, as the case may be. Those workers making these contributions can have access to the tax benefits.

Withdrawal for Marriage (Retiro por Matrimonio)
Partial withdrawal of resources from the individual account that can be requested from the IMSS, provided that the marriage had taken place on a date after the 1st of July, 1997 and, besides, the worker shall have quoted at least 150 weeks. It is necessary to attend the AFORE with the Resolution of Marriage Aid issued by the IMSS, in order to make the withdrawal.

Withdrawal for Unemployment (Retiro por Desempleo)
Partial withdrawal of resources from the individual account, requested from the IMSS as from the 46th day of unemployment. It is necessary to attend the AFORE with the Certificate of Deletion issued by the IMSS, in order to make the withdrawal.

Worker in transition (Trabajador en transición)
Workers who quoted to the IMSS before and after the 1st of July, 1997 for which, upon their retirement, the IMSS will offer to them the option to chose a pension under the 73 system (pay as you go system) or, the 97 system (individual accounts).

Workers Assigned with Certification (Trabajadores Asignados con Certificación)
Workers quoting the IMSS who, having been assigned by the CONSAR, signed a registration agreement in an AFORE.

Workers Assigned without Certification (Trabajadores Asignados sin Certificación)
Workers assigned by CONSAR according to the laws in force for having failed to join an AFORE.

Workers Registered (Trabajadores Registrados)
Corresponds to the workers who joined an AFORE, it is to say, workers who signed an agreement with an AFORE for the latter to manage their individual account resources. It includes the accounts of those workers who, in spite of having been assigned at any time, signed a registration agreement with a manager.

Yield (Rendimiento)
The profits or interest generated by the investment by the AFORES of the workers’ resources.