BlackRock Latin American Inv. Trust

Worthy allocation as part of a global portfolio

14 March 2024

BlackRock Latin American Investment Trust’s (BRLA’s) lead manager Sam Vecht and deputy manager Christoph Brinkmann remain optimistic about the prospects for the region. Interest rates are coming down as Latin American central banks have been more proactive than those in developed markets in raising interest rates to combat higher inflation, which should be supportive for economic growth and asset prices. Latin America has remained relatively isolated from global geopolitical conflict, enabling trade with both eastern and western nations. The region has been overlooked by global investors, which has led to very attractive valuations on both absolute and relative terms. MORE »

Seeking high quality, growth businesses

9 October 2019

BlackRock Latin American Investment Trust (BRLA) is managed by Ed Kuczma and Sam Vecht. The managers are constructive on the outlook for Latin American equities, believing the favourable interest rate environment is supportive for consumption growth. They seek high-quality businesses that are able to grow earnings and cash flows over the economic cycle. The managers have reduced the trust’s cyclical exposure, focusing more on companies with internal growth drivers and attractive dividend yields. Following the adoption of a new, higher dividend policy in FY18, BRLA currently offers a c 6% dividend yield. MORE »

New experienced lead managers

5 March 2019

BlackRock Latin American Investment Trust (BRLA) has two experienced new co-managers, Ed Kuczma and Sam Vecht, who are part of BlackRock’s well-resourced global emerging markets equities team and were appointed to manage BRLA in December 2018, following the resignation of former lead manager Will Landers. Kuczma had worked closely with Landers for a number of years and says the transition should be smooth. The managers are constructive on the outlook for Latin American equities in 2019, following a series of headwinds in 2018, citing improving economies, attractive valuations and a more benign political environment. BRLA’s board adopted a new, higher dividend policy in FY18. The trust yields 4.0% based on three interim payments during the last financial year; the total distribution should rise in FY19 based on four quarterly dividend payments. MORE »

New dividend and discount management policies

17 July 2018

BlackRock Latin American Investment Trust (BRLA) is managed by Will Landers, who says that investor attitudes towards Latin American equities have changed. 2017 was a period of confidence in the region’s prospects, but now there is more scepticism about the growth outlook. However, the manager remains optimistic about potential returns from Latin American equities. In the key Brazilian economy, he cites higher domestic demand and a favourable interest rate environment, with the benchmark interest rate having more than halved to a record low level. BRLA has recently announced new dividend and discount management policies, which may lead to a narrowing in its discount over time. Dividends will now be paid four times a year, equivalent to 1.25% of the dollar-based, quarter-end NAV. As a result, the trust now offers an attractive prospective yield. MORE »