Roger Nusbaum submits: Latin American stocks have been very hot in the last few days. Yesterday CNBC did several cautionary segments about the region due to left leaning elections in several countries. While the content was interesting, I would urge anyone not to take action on this type of reporting.
Latam is a region that is part of emerging markets. Chances are diversification requires some exposure. How much exposure you have is a variable as is how you access it.
If you think now may not be a good time to own Latam, OK, but zero exposure could be a big mistake.
These are the Latin stocks I watch. I also watch Southern Peru Copper (PCU) but it is part of a different grouping on My Yahoo. Most of the tickers are in my ownership universe for clients and I own SAN personally. This is clearly not evidence of good stock picking. The region is doing very well. I would have no expectation that any of the names I own could swim upstream in a downtrend. But I can capture some nice yield if things do turn.
Unlike Thailand, the catalyst here, I think, is the global demand for resources. It is a simple theme that does a lot of work for me.
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