More stories like this should get Trump of Mexico's back, and hopefully decrease/remove the threat of trade tariffs. #EmergingMarkets#FrontierMarkets#TundraFonder https://t.co/DQNZuqaVvD
The bag is packed again! Next stop #SriLanka.
This evening, I’m heading to Colombo for a few days of meetings with companies from #Pakistan, #Bangladesh, and #SriLanka. I’m also excited to finally try out the local padel courts. A version of ‘Work hard, play hard’ for the equity and sports nerd 🤓💪🎾🇱🇰
Day 2 at Santander's LatAm conf starts with Argentina CB governor Santiago Bausili "cutting government spending is often questioned due to negative effects on economic activity, we've seen quite the opposite. Formerly crowded out private investments are coming back strongly"
Beeing one of the best markets globally in 2024, with MSCI Argentina+117% on the back of successful reforms by Milei (first budget surplus in 14y, inflation sharply down etc) the stock market has had a tough start to the year.
In route again for more LatAm meetings in NYC. Considering the January Mexico visit was the week before Trump took office, this time we have a few more leads but still large amounts of unknown. Interesting discussions ahead! #EmergingMarkets#FrontierMarkets#TundraFonder
After being locked up for two days with Mexican corporate meetings, it was field trip time again. Interesting visits to 2 of Walmexs offerings, higher end Walmart Express, and value store Bodega, as well as a visit to Cancun Airport run by Asur.
Also shown in the graph, Mexico now the largest exporter to the US, overtaking China. A huge discussion among investors here in Mexico if that's a curse or a blessing (i e risk of tariffs). My view: if Trump goes 🍌 on import tariffs it'll create inflation, hurting his voters.
Two relevant graphs from yesterday's presentation (source: Maybank)
1) #USA is reducing its imports from #China ➡️ benefits for smaller emerging markets.
2) China reduces its imports from #USA ➡️smaller emerging markets are also reaping the benefits.
#EmergingMarkets #FrontierMarkets
The room is packed with investors as Santander's Mexico Conference kicks off with a very interesting discussion with Gerardo Esquivel, Former Mexican Central Bank member, on the economic state of Mexico and the road ahead.
Two days of meetings in #Guadalajara done. Ended with a visit to airport operator GAPs largest asset, the Guadalajara airport. Newly renovated and expanded with more to come. Looks (and works) great!
Vi är glada att Tundra Sustainable Frontier Fund har blivit erkänd som en av de bästa fonderna 2024 av Morningstar. Stort tack till våra investerare för ert förtroende.
Disclaimer: Investeringar innebär risk.
https://t.co/WYPB15gXAg
I expect a lot of discussions in the meetings coming week will be about Trump/trade, nearshoring, tourism, MXN, government spending as well as rate cut expectations.
#Mexico trading at approx 25% discount to 10y average PB and PE ratios makes it interesting. Macro backdrop improving, but estimates have GDP slowing from 1.5% in 2024 to 1.2% in 2025 (and 1.8% in 2026).