17 Comments

I think the lack of access to Sao Paolo-listed stocks makes buying index ETF very attractive alternative so that you get exposure to them too. This is especially true if you already are looking to invest in PBR and Vale as they both make up over 10% of the index.

Expand full comment

I have a full Brazil ADR list here but many are on the OTC where they tend to get delisted for low volume: https://www.emergingmarketskeptic.com/emerging-market-adrs/latin-america-adrs/south-america-adrs/investing-in-brazil-adrs-brazilian-stocks/

Expand full comment
Comment deleted
July 26, 2023
Comment deleted
Expand full comment

What do you think about Mercado Libre? (Brazilian Amazon, with operations in most of LatAm.)

Expand full comment

Similarly, the Franklin ETF for Brazil, FLBR, %0.19 expense fee, does not track BOVESPA.

Expand full comment

Ahah, FLBR follows the "FTSE Brazil Capped Index".

Expand full comment

Look at SLC Agricola its a fantastic Agricultural Resource company.

Expand full comment

Any views on Nubank?

Expand full comment

I will include a link to this post in my Monday link collection post: "Emerging Market Links + The Week Ahead (August 31, 2023)" There are other interesting Brazilian stocks that funds talk about albeit they don't trade on US exchanges: https://emergingmarketskeptic.substack.com/s/em-fund-stock-picks

Expand full comment

Weird, I was unsubbed to your substack. Substack is being weird lately.

Anyway, Brazil small cap index might also be worth looking into. I think ticker is EWZS. Thinking of selling my PAGS shares and just buying a basket as well.

Expand full comment

Thoughts on B3? Nice moat & competitive positioning. Should benefit from additional trading volume/market activity. Lots of room for growth with such a low % of the country’s population participating in the stock market currently. Company directly benefits from an improving economy and market involvement.

Expand full comment

Excellent post!

I would take a look to Steelmakers as well. Super cheap (SID, GGB, USNZY).

And Bradesco BBD!

Cheers!

Expand full comment

Hey Guy, thanks for the article – I'd love to discuss this further if you're interested. Couldn't find a way to message you directly here, but can you add me on twitter @joaohlisboa ? For context, I'm a Brazilian public equities investor covering both local and global stocks. Best, Joao

Expand full comment

Let's talk on WhatsApp

Expand full comment

Despegar is a travel agent in several Latin American countries.

Only 1/3 of their gross bookings were from Brazil as per the most recent 20F filing:

See page/67 here:

https://d18rn0p25nwr6d.cloudfront.net/CIK-0001703141/1886eda3-3e07-4f51-9290-b9ccd172e26e.pdf

Expand full comment
Comment deleted
July 26, 2023
Comment deleted
Expand full comment

Would you know how much of Despegar's revenue accrues to Expedia, who is their largest shareholder that also handles all thier larger ticket bookings?

Expand full comment