5 Attractive Dividend Stocks From An Emerging Markets Country

Feb. 14, 2023 11:29 AM ET, , , , , , , , , , , , , , , , , , , , , , , 9 Comments
Frederik Mueller
10.38K Followers

Summary

  • When looking for ways to diversify your investment portfolio outside of the United States, there are plenty of other possibilities.
  • One option is considering companies from emerging markets: in today’s article, I will take a deep dive into the Brazilian stock market.
  • I will show you 5 Dividend paying companies that I currently consider to be attractive in terms of risk and reward.
  • However, due to macroeconomic and currency risks I would limit my investments in companies from the Brazilian Market to a maximum of 5% of your overall investment portfolio.
Man reads about How to diversify your portfolio for investment and savings.

designer491

Investment Thesis

When aiming to diversify your investment portfolio among countries outside the United States, emerging markets often come into focus. In this article, I will present five companies from Brazil that I consider to be attractive in terms of risk and reward.

This article was written by

10.38K Followers
I specialize in constructing investment portfolios aimed at generating additional income through dividends. My focus lies on identifying companies with significant competitive advantages and strong financials that can provide you with an attractive Dividend Yield and Dividend Growth, thus enabling you to augment your dividend income annually. By combining high Dividend Yield and Dividend Growth companies, you can gradually reduce your dependence on the broader stock market fluctuations.I also assist you in achieving a well-diversified portfolio across various sectors and industries. This diversification strategy aims to minimize portfolio volatility and mitigate risk. I also suggest incorporating companies with a low Beta Factor, which further contributes to reducing the overall risk level of your investment portfolio. My suggested investment portfolios commonly consist of a blend of ETFs and individual companies, emphasizing broad diversification and risk reduction.The selection process for high dividend yield and dividend growth companies within the investment portfolio is meticulously curated. I prioritize the pursuit of total return, encompassing both capital gains and dividends, rather than solely focusing on dividends in isolation. This approach ensures that your portfolio is designed to maximize returns while considering the full spectrum of potential income sources. By leveraging my expertise, you can benefit from a well-crafted investment portfolio that aims to generate extra income through dividends, while reducing risk through diversification, and prioritizing total return.

Analyst’s Disclosure:I/we have a beneficial long position in the shares of PBR, ITUB, XOM, SHEL, CVX, TTE, XP, STNE, BRK.B, BUD, SAN either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.

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SymbolLast Price% Chg
ABEV--
Ambev S.A.
BAC--
Bank of America Corporation
BBD--
Banco Bradesco S.A.
BBDO--
Banco Bradesco S.A.
BDORY--
Banco do Brasil S.A.

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