May 1, 2013
By Katie Llanos-Small
At the start of the year, few international portfolio managers would have named Petrobras their favorite stock. The oil firm’s weak equity performance had for many months weighed down portfolios and fund managers had resorted to underweighting its shares.
But in single a day in early March, news of a diesel price increase and new oil finds pushed its share price up 15%. The underweights were left out in the cold.
Petrobras’s sudden reversal of fortune is unlikely to impact the underlying trend in equity investing in Latin America, where in recent years large cap stocks have largely fallen from favor. Investors have instead flocked to consumer industries, favorin
Not everyone has fallen in love with LatAm’s domestic demand story. For equity investors, finding the turning point is the route to success – even for unloved large caps