Ciro Matuo & team Itaú BBA First-place appearances: 5
Total appearances: 6
Team debut: 2009 Capturing first place on this roster for a fourth year running — and for the fifth time since 2009 — are Ciro Matuo and his Itaú BBA squad. “Their feedback is always informative,” notes one fan of the three strategists, “and they have long-standing relationships at multiple levels with the companies they cover.” On the radar for the São Paulo–based crew are structural reforms in Chile and Mexico and the effects of those changes on the energy and telecommunications sectors; possible taxation alterations that could impact corporate capital expenditure levels; changes in sovereign risk perception, such as Brazil’s downgrade and Peru’s upgrade this year; and potential beneficial consequences of the El Niño weather phenomenon. Matuo, who joins with Ilan Goldfajn in directing the No. 1 Local-Markets Strategy troupe, says that because non-Brazilian issuances are scarce and their yields drop owing to strong investor demand, “Brazilian issuances still seem to offer the best risk-adjusted returns compared with their peers in the rest of LatAm.” The 41-year-old and his cohorts have over the past year taken profits on high-grade picks and increased the high-yield bonds in their recommended portfolio. They are advising clients to buy the bonds of Brazilian beef producers Marfrig Global Foods and Minerva, citing the positive outlook for protein markets this year. In addition, the researchers note, Marfrig’s management is making moves to reduce leverage and improve cash flow and liquidity, they report. The Itaú analysts “have deep knowledge of the subjects they cover,” observes another backer.