How Alejandro built the fortune
Alejandro Baillères Gual represents the third generation of a Mexican business family. His grandfather, Raúl Baillères Chávez, built interests in banking, brewing and mining in the first half of the twentieth century, and in the early 1960s gained control of Industrias Peñoles, a mining and metals company. Raúl also founded the Instituto Tecnológico Autónomo de México, known as ITAM, in 1946, a private university that remains closely tied to the family.
Alejandro's father, Alberto Baillères González, turned these holdings into Grupo BAL, a conglomerate with businesses in mining, insurance, retail and financial services. Under Alberto, Peñoles became one of the world's leading producers of refined silver, and in 2008 its precious metals mines were placed in a separate company, Fresnillo plc, listed in London and Mexico. Fresnillo is one of the largest primary silver producers globally. The family's fortune has moved closely with silver and gold prices, which drive the earnings of these two companies.
Alberto Baillères died in February 2022. Alejandro succeeded him as chairman of Grupo BAL and took the chair of the main companies in the group. He shares ownership of the family's holdings with his siblings and other relatives, while serving as the leading figure in its management and public representation.
The mining side of the business is cyclical. Peñoles combines its own mines with a large metallurgical complex in Torreón that refines silver, gold, lead and zinc, while Fresnillo is purely a miner with operations in several Mexican states. When metal prices are high, both companies generate large dividends for the family; when prices fall or costs rise, as happened in some years of the 2010s, their earnings and share prices come under pressure. The insurance, retail and pension businesses provide steadier income that offsets part of this volatility.
Companies and holdings
Grupo BAL's main businesses are:
- Industrias Peñoles, a mining and metallurgical company with smelting and refining operations in Torreón and chemical businesses.
- Fresnillo plc, majority owned by Peñoles, which operates silver and gold mines in Mexico, including the Fresnillo, Saucito and Herradura mines.
- Grupo Nacional Provincial, known as GNP Seguros, one of Mexico's largest insurance companies.
- El Palacio de Hierro, an upscale department store chain founded in the nineteenth century.
- Profuturo, a pension fund manager, and other financial services businesses.
The group also has interests in agriculture and real estate. Each of the main companies has a professional management team, while family members sit on the boards and set long term policy.
El Palacio de Hierro operates department stores in Mexico City and other large Mexican cities, competing with Liverpool in the premium segment, while GNP sells life, health, car and property insurance through a large network of agents across the country.
Early life and career
Alejandro Baillères was born in 1960 in Mexico. He was educated in Mexico and abroad and, like many members of the family, has been closely associated with ITAM. Before taking over the leadership of the group, he spent many years in senior positions across its companies, with particular responsibility for the insurance and financial services side.
He led GNP Seguros as its chief executive and later held executive and board roles at Grupo BAL, gaining experience across the group's different businesses. This long apprenticeship under his father was intended to ensure a smooth succession, and he was widely seen as the designated successor well before Alberto's death. Since 2022 he has been the main voice of the family on business matters, while keeping a far lower public profile than many Mexican business leaders.
Philanthropy and public life
The Baillères family's best known commitment outside business is ITAM, which has trained a large share of Mexico's economists, central bankers and finance ministers. The family has supported the university for decades through its governing bodies and donations. Grupo BAL companies also run community programmes in mining towns, focused on education, health care and infrastructure, and El Palacio de Hierro and GNP sponsor cultural and social initiatives.
Alejandro Baillères seldom speaks in public about politics. The group's mining operations, like those of other Mexican miners, have been affected by debates over mining concessions, water use and royalties, including changes to Mexico's mining law in 2023.