Felaban special edition

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Julio Velarde, Peru’s central bank governor

"Bernanke is a smart guy, one of the smartest, and they are lucky to have him at the helm of the Fed at this time, but the situation is difficult"

-Julio Velarde, Peru’s central bank governor 




 

Peru: Latin America's outperformer
Peru is seemingly oblivious to the regional and global slowdown. Despite his country’s economic vitality, Julio Velarde, governor of the Peruvian central bank, is keeping a wary eye on a darker global horizon.


 













Brazilian retail banks: a positive credit story
Still-high lending rates, weak competition and an information deficit have all served to moderate the growth of retail-focused financial products in the country, despite the sector’s allure.



Imminent Argentine debt default? 
A New York court ruling in favour of holdout creditors has reduced the Argentine government's ability to repay creditors that participated in two debt swaps through US-domiciled payment agents, raising the potential spectre of default. Analysts are grappling with the ruling's impact on global sovereign debt restructuring.

Santander Mexico stresses quality for IPO 
Priced to support post-deal performance; Mexican equity story outshines Brazil’s



Brazil: Antitrust regulator starts well
M&A activity drops after introduction; Cade’s response faster than predicted 



Venezuela: Chávez contemplates bolívar devaluation 
More issuance likely from PDVSA; Currency appreciation might force devaluation 



High-yield: Bolivia returns with a bang
First international sovereign issue for 90 years; Aftermarket performance disappoints 


Brazilian retail banking: A question of efficiency
Brazil’s retail banks need to adapt to a new low interest rate environment. With the years of easy revenue growth seemingly coming to an end, the other side of the efficiency equation – cost – is at the forefront. Technology will be critical to improving efficiency, but will the returns follow the investment?

Brazilian banks are less efficient than developed or emerging market peers Operating expenses as a percent of average assets (adjusted for repos), 2011


JPMorgan: Going all out in Brazil
JPMorgan has backed its subsidiary with balance sheet and resources, and although the country’s economic growth has slowed the bank’s headcount has continued to rise. CEO Cláudio Berquó says that rather than becoming over-committed, the bank’s new capabilities are enabling it to adapt and build new business.




Best managed companies in Latin America

Analysts at leading banks and research institutes are asked to nominate their top companies in each of the Latin American countries or sectors they covered, bearing in mind market strength, profitability, growth potential and quality of management and earnings.





Recent Latin America coverage