Argentina's secondary mortgage market could experience a considerable boost next year when the country's largest bank, Banco Hipotecario (BHN), the International Financial Corp. (IFC) and local real-estate developer IRSA team up to create Corporacion Financiera Hipotecaria (CFH), a secondary mortgage institution that will buy mortgage loans and package them into mortgage-backed securities.

The IFC will put up 20% of the necessary funds for the creation of the company, while BHN and IRSA will fund the remaining 80%. Corporacion Financiera Hipotecaria will get underway with $50 million and will be able to hold more than $400 million in assets.

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