The Latin America Portfolio currently consists of two positions, both listed on Brazil’s B3 exchange: Smartfit Escola de Ginástica e Dança S.A. (SFEGY) and Localiza Rent a Car S.A. (LZRFY). Both were added in June 2026 and have yet to generate returns, with the latest quotes matching their entry prices.
Recent Performance Drivers
Given the very short holding period, there is minimal performance data. The Brazilian real has been relatively stable, and the Bovespa index has shown modest gains. However, individual stock catalysts have not yet materialized.
Risk Concentration
The portfolio is heavily concentrated in Brazil, both geographically and sectorally (fitness and car rental). This exposes the portfolio to country-specific risks such as political instability, currency fluctuations, and regulatory changes in Brazil. Diversification into other Latin American markets (e.g., Mexico, Chile, Colombia) could reduce risk.
What to Watch Next
Key factors include Brazilian interest rate decisions, consumer spending trends, and company-specific earnings reports. For Smartfit, watch membership growth and expansion plans. For Localiza, monitor fleet utilization and car rental demand.
Position Closure Analysis
No positions are recommended for closure. Both are within their minimum holding periods (protected) and have not experienced thesis breaks or catalyst failures. The portfolio will be reassessed as more data becomes available.
Risk Disclaimer: This portfolio review is for informational purposes only and does not constitute investment advice. Past performance is not indicative of future results. All investments carry risk, including potential loss of principal. Consult a financial advisor before making investment decisions.