Countries › Paraguay › Guide › 10. Capital markets and finance › Investment funds and fund managers in Paraguay: mutual funds, closed end funds, private equity and venture funds, and the AFPISA manager

Investment funds and fund managers in Paraguay: mutual funds, closed end funds, private equity and venture funds, and the AFPISA manager

Last verified: 2026-10-28 · Status: Changing

Ley 7572/2025 groups collective investment under fondos patrimoniales de inversión, each a separate autonomous estate managed by an exclusive purpose sociedad anónima called an AFPISA. Public funds are either mutual funds with redeemable units valued daily and paid within seven days, or closed end investment funds whose units must be registered, held at a caja de valores and listed on at least one exchange, with a supervisory committee elected by unitholders. Private equity, venture capital and other private funds may be sold only to qualified, accredited or institutional investors and need no prior registration, but must have internal rules and meet basic disclosure.

USD figures use PYG 5,868.31 per US dollar, the Banco Central del Paraguay reference quotation for 28 October 2026. Fines tied to the minimum wage use PYG 3,044,000 per month and PYG 117,077 per daily jornal, in force from 1 July 2026 under Resolución MTESS Nº 670/2026. Conversions are for orientation only.

Key facts

Maximum term to pay mutual fund redemptions unless a longer term is agreed at subscription	7 daysLey 7572/2025 art. 158, as of 2026-10-28 · in force
Closed end investment fund units must be listed on a Paraguayan exchange	Yes, at least one Ley 7572/2025 art. 160, as of 2026-10-28 · in force
Private funds need prior registration	No, but sale limited to qualified, accredited or institutional investors Ley 7572/2025 art. 168, as of 2026-10-28 · in force
Fund manager must be an exclusive object sociedad anónima (AFPISA)	Yes Ley 7572/2025 art. 170 and 171, as of 2026-10-28 · in force
Holding of paid units that can force an extraordinary meeting of an investment fund	10 %Ley 7572/2025 art. 164, as of 2026-10-28 · in force

The rule

1. Funds as autonomous estates. Funds are formed with money from participants and run by specialized managers, invested for the participants' account and risk under the law, its regulations and each fund's internal rules. The fund is an autonomous estate: the manager acts in its name and as its legal representative, the fund owns the investments, its bank accounts are separate and its operations are booked separately from the manager's. Funds are public or private by type and risk profile. Public funds (mutual funds, investment funds and others set by regulation) need prior registration and a disclosure regime; their internal rules take effect only on registration and the manager cannot raise money before then.
Cost to do it: Registration of the fund and its internal rules; manager fees set in the internal rules.
Example: A manager cannot start marketing a new public mutual fund before its internal rules are registered. / Seed money of US$1 million cannot be taken from the public before registration.Ley Nº 7572/2025 Mercado de Valores y Productos, Art. 138, 139, 140 and 152, 2025-11-07 official text · verified 2026-10-28

2. Mutual funds and closed end investment funds. Mutual funds have redeemable units, valued daily according to whether they invest in fixed, variable or mixed income; participants may redeem at any time unless the internal rules allow temporary restrictions or suspensions, and redemptions are paid by transfer to an account in the financial system within seven days of the request, unless a longer maximum term is agreed at subscription and offered on the same terms to all. Investment funds have non redeemable units, which are public securities that must be registered, entered at a caja de valores and admitted to at least one Paraguayan exchange. Their ordinary meeting approves the accounts, elects the supervisory committee (unrelated to the manager, one year terms) and appoints the auditor from three candidates proposed by the committee; holders of 10 percent of paid units can force an extraordinary meeting, held within 30 calendar days; distributions of net profits need two thirds of paid units.
Cost to do it: Listing fees for investment fund units on at least one exchange (art. 160) and caja de valores fees, within limits approved by the Superintendencia.
Example: An investor redeeming PYG 500,000,000 from a mutual fund must receive the money within seven days unless a longer term was agreed at subscription. / A US$20 million real estate investment fund must list its units in Asunción so holders have a secondary market.Ley Nº 7572/2025 Mercado de Valores y Productos, Art. 153 to 167, 2025-11-07 official text · verified 2026-10-28

3. Private funds. Private equity funds, venture capital funds and other funds classed as private by regulation may be offered only to qualified, accredited or institutional investors as defined by regulation, are not available to the general public and are not subject to prior registration. They must still meet the basic disclosure set by regulation and have internal rules that state at least the fund type in its name, its term, investment, diversification, liquidity, leverage and valuation policies, distribution policy and the manager's fee.
Cost to do it: No registration fee; the costs are drafting the internal rules and the regulatory disclosure.
Example: A venture fund raising PYG 15,000,000,000 from institutional investors needs internal rules but not prior registration. / A US$2.5 million private equity vehicle can be marketed only to investors who meet the BCP definitions.Ley Nº 7572/2025 Mercado de Valores y Productos, Art. 168 and 169, 2025-11-07 official text · verified 2026-10-28 · changed: Ley 7572/2025 created the private fund category with lighter rules and repealed the earlier fund law, Ley 5452/2015 (art. 329).

4. The fund manager (AFPISA). Managers are sociedades anónimas with the exclusive object of managing funds and compatible activities, named Administradora de Fondos Patrimoniales de Inversión S.A. or AFPISA, with a regulatory minimum capital in book entry shares and independent external auditors appointed yearly from the public register. Management is non delegable, although special powers may be granted. Banks and finance companies need prior BCP authorization, after a Superintendencia de Bancos opinion, to set up a fund management subsidiary, which then falls under the Superintendencia de Valores, may not share trading desks with the parent, and may not share secret client data without the client's express consent. Managers may not borrow from their funds, trade with them (save eligible securities within regulatory limits), charge unauthorized fees or use privileged information; related party services must be at market terms. Capitalization or investment companies other than AFPISAs may not be formed, save the exceptions in the law.
Cost to do it: Minimum capital of an AFPISA set by BCP regulation and not reproduced here; yearly external audit.
Example: A bank that wants to offer mutual funds must create a separate AFPISA subsidiary with BCP authorization and keep its trading desk apart from the bank's. / A foreign asset manager entering Paraguay needs a local AFPISA to run public funds; a US$1 million subsidiary capital budget must be checked against the regulatory minimum.Ley Nº 7572/2025 Mercado de Valores y Productos, Art. 170 to 179, 2025-11-07 official text · verified 2026-10-28

Type	Investors	Units	Registration	Norm
Mutual fund	Public	Redeemable, valued daily, paid within 7 days	Prior registration	Art. 153 to 158
Investment fund	Public	Non redeemable, listed on at least one exchange	Prior registration, caja de valores	Art. 159 to 167
Private equity, venture and other private funds	Qualified, accredited or institutional only	As set in internal rules	None, basic disclosure	Art. 168 and 169

Fund types under Ley 7572/2025

Worked example

A regional manager launching a PYG 58,683,100,000 (US$10 million) closed end infrastructure fund in Paraguay: it forms an AFPISA, registers the fund and its internal rules, enters the units at a caja de valores and lists them on an exchange (art. 160); unitholders elect a supervisory committee unrelated to the manager and, on the committee's shortlist of three, the external auditor (art. 162 and 165); a two thirds vote of paid units decides distributions (art. 167).

Step by step

1. Choose the fund type: public mutual, public closed end or private, according to target investors (art. 140 and 168).
2. Incorporate the AFPISA with the regulatory capital and get its authorization and registration; banks need BCP approval first (art. 175).
3. Draft the internal rules with the minimum content and register them for a public fund before raising money (art. 152 and 169).
4. For a closed end fund, arrange the caja de valores and exchange listing and plan the first ordinary meeting.
5. Set up conflict controls: no borrowing from funds, related party services at market terms, segregated bank accounts.
6. Check the tax treatment of fund returns with DNIT before marketing.

Common traps

The INR exemption in Ley 6380/2019 art. 79 num. 5 for fund unit returns still refers to funds under Ley 5452/2015, which Ley 7572/2025 repealed; do not assume the exemption carries over without DNIT confirmation.
Mutual fund redemptions must be paid within seven days unless the longer term was agreed at subscription and offered equally to all subscribers (art. 158).
A private fund sold to an investor who does not meet the regulatory definitions is a public offering without registration, which is a crime under art. 321.
Bank owned managers cannot share client data with the parent without express consent (art. 176).

Sources

← Corporate bonds and securitization in Paraguay: board approved bonds, bondholder representatives, convertibles, bank subordinated bonds and securitization vehiclesListed company governance, stake disclosure, control offers and market abuse in Paraguay: insider information, manipulation, related parties and sanctions →

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