INSUBCONTINENT EXCLUSIVE:
As 2024 unfolds, the Brazilian stock market faces turbulence, with the Ibovespa index dropping 7.7% in just six months.Simultaneously, the
US dollar soared by 15%, and interest rates held steady at 10.5%
In these fluctuating conditions, BTG Pactual identifies a unique opportunity in undervalued stocks.Their expert team recommends a precise
They advise reducing holdings in stocks vulnerable to high interest rates while increasing stakes in defensive and dollar-friendly
sectors.This shift has led to a notable portfolio update
prospects.JBS and Klabin shine in the face of a weak Brazilian real
Klabin, in particular, benefits from currency fluctuations; a 10% drop in the real boosts its EBITDA by 14%.JBS, with 82% of its sales in
foreign currency, is positioned as a top pick in the food sector for its superior risk-return profile in Latin America.Equatorial, the third
highlight, brings essential energy and sanitation services, adding a layer of security to the portfolio.With robust quarterly performances
crafts a shielded yet dynamic investment landscape for July, focusing on stocks that promise not just to endure but to thrive amidst
economic shifts.This approach aligns with immediate market conditions
It sets the stage for recovery, offering a balanced blend of safety and profitability for discerning investors.
