ETFs providing exposure to Brazilian large and mid-cap stocks are going through a challenging period but they bounced back yesterday (Wednesday, July 1st) with an average daily return of +3,70%. In June, Brazilian stocks ETFs have gained +11,03% on average but concerns persist over Latin America’s largest economy where the virus isn’t slowing down while the country is facing a political crisis. In an effort to stem the economic fallout, Brazil’s central bank has lowered its key interest rates to 2,25%. However, this might not be enough to restore investors’ confidence; year-to-date, they redeemed $ 1,25 bn from the 16 ETFs of this segment which now represents 6,2 Bn of assets under management.
Download the TrackInsight Global ETF Survey 2020.