Tag Archives: Mexico

Carbon Footprint Reporting in Mexico

At the most recent National AFORES convention, held jointly with FIAP International in Mexico City at the end of October 2017, Latin American institutional investors continued to show increasing interest in ESG-related topics and this was evident in the conference agenda.  In particular, the participants spoke about the following topics. Impact reporting: The ability to Read more […]

What the Earthquake Left Us

It is interesting and amazing to see how people react to natural disasters.  Whether it be a hurricane, flood, tsunami, earthquake, and no matter where the disaster is located, the whole world takes notice and helps with anything they can.  This was certainly the case for Mexico after the 7.1 magnitude earthquake that shook the Read more […]

Comparing Active and Passive in Latin America – SPIVA® Latin America

The SPIVA Latin America Mid-Year 2017 Scorecard was released this week.  The report covers Brazil, Chile, and Mexico in selected fund categories.  In line with the rest of the world, widespread gains were seen in both fixed income and equity markets in Latin America in the first six months of 2017. The recent rise in Read more […]

A View of Central Banks in Latin America

On June 22, 2017, Mexico’s Central Bank (Banxico) made another hike in its policy rate, saying that it was consistent with the efficient convergence process of the 3% inflation objective.  For Banxico, this is the fourth adjustment of the year, and the 19th since Banxico started a rising rates cycle in late 2015.  With all Read more […]

Is Mexico Still Attractive to Foreigners?

In an environment of increasing rates, Mexico has not been left behind.  As seen in my last blog, since December 2015, Mexico’s Central Bank (Banxico) has increased the reference rate by 375 bps, with the last 25 bps being a surprise for analysts and the market on May 19, 2017.  I remember the days when Read more […]

100 Days Later in Mexico

100 days…is it a milestone?  Is it a key number?  I’m not sure, but everybody looks like they love to write about it, so I will too.  What I know is in Mexico we have a saying that goes, “If the U.S. sneezes, Mexico gets a cold.”  Following Dennis Badlyans’s post “Does the Outperformance of Read more […]

SPIVA® Latin America Year-End 2016 Results

Equity markets in Latin America saw gains across the board in 2016, with Brazil being one of the leaders, as the S&P Brazil BMI (BRL) returned 37.90%.  The Chilean market saw the largest yearly return since 2010, with a return of 13.53% for the S&P Chile BMI (CLP), while the S&P Mexico BMI (MXN) returned Read more […]

Does the Outperformance of UDIBonos to MBonos Have Legs?

Since the U.S. presidential election on Nov. 8, 2016, the S&P/BMV Sovereign UDIBONOS Bond Index, which seeks to track inflation-protected Mexican government bonds, outperformed its nominal counterpart, the S&P/BMV Sovereign MBONOS Bond Index (see Exhibit 1).  What was the driver behind this outperformance, and can we expect it to persist? Exhibit 1: S&P Mexico Sovereign Read more […]

How the Brexit Affected Rates and Currencies in LatAm

After Brexit polls said that the referendum would end with a stay in the European Union (EU), all markets reacted as if that would be the outcome on voting day.  After the announcement that the U.K. would no longer be part of the EU, all markets were shocked, and the emerging markets of Latin America Read more […]

The Sun is Shining, Even on Fixed Income Indices in Mexico

When analyzing Mexican fixed income indices during the summer (June 20 to September 20), we have seen trends over the past 15 years. We know that through the years, economic and momentum factors are not the same, and what happened in Mexico last year can’t be compared with what happened 10 years ago.  Instead, let’s Read more […]