Proposed Hedging Rule Changes May Weaken Chile Peso, Celfin Says

New rules on currency hedging for Chilean pension funds may lead to a $2.3 billion unwinding of hedges, according to a research note from Celfin Capital.

While the proposed changes may lead to short-term demand for dollars, their impact probably will be transitory, wrote Santiago-based economist Cesar Perez.

To contact the reporter on this story: Sebastian Boyd in Santiago at sboyd9@bloomberg.net

To contact the editor responsible for this story: David Papadopoulos at papadopoulos@bloomberg.net

Press spacebar to pause and continue. Press esc to stop.

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.