禁漫天堂

I hope some part of my answer is helpful, because I don't know a direct answer to your question.

The major brokerage firms, BTG Investimentos and XP Investimentos, have networks of independent advisors.聽 Usually you can get one of these advisors for "free", if your assets are over BRL$300k. Their payment structure is not fee-only. They make commissions on your trading activity, generally splitting the fee that the associated brokerage would normally charge.

These advisors will answer your questions, have an annual or biannual discussion with you on strategy (depending on your AUM), reach out on occasion to let you know of good offerings (or offerings they want to sell), help you execute trades, and so forth.

If you're generally comfortable making your own strategy, and just need investment and market tech support to help translate the terminology and so forth, it's a decent option.

I don't know of any fee-only advisors.聽 They may exist, but the investment products and services are not as highly developed here as in the US, for example.

Advisors here generally do not know anything about US tax implications of foreign investments (be aware of investments the US considers PFICs, such as foreign ETFs, REITs, and so forth, individual stocks and bonds should be fine though).

You can also buy many Brazilian company stocks on US exchanges.聽 This would avoid getting your money in and out of the country, and dealing with Brazilian taxes. Investing in assets not denominated in your home currency opens the potential for more volatility, due to currency fluctuations on top of the asset value fluctuation.聽 This can work for or against you.聽 If you intend to move here and spend in BRL, then that risk is taken off the table.

鈥淭hey make commissions on your trading activity, generally splitting the fee that the associated brokerage would normally charge.鈥� -BRBC

That sounds like a potential for a whole lot of 鈥渃hurning.鈥澛� What, if any, fiduciary laws do financial advisors work under here? Personally, I follow the advice in the last paragraph from BRBC. For me, until I have a higher level of proficiency with the language and culture the only thing I鈥檓 doing with my money is moving over just enough of it to live on each month.

@duzzimenino

That's a good questions.聽 Fortunately these advisors cannot make trades without your approval.聽 I suppose you may get one making frequent 'recommendations' but you are in complete control.聽 Having a buy and hold strategy is no issue.

can you recommend a fee-only financial advisor in Brazil? I am interested in worldwide investments.
-@alevinthal

Most of your certified Financial Advisors in Brazil will make recommendations based out of their portfolios they want to sell you.

Most of their licenses are obtained through a sponsorship, hence you falling under the advice of a motivated seller.聽 聽If there are independent advisors, a look through the web won't render anything of value.

Anytime you see some person under a Title "Consultant" you have to take it with a grain of salt. There are no independent consultants in Brazil.

Hence, most foreign investments in Brazil are made through proxy firms , usually a Law Firm, or some Accountant with a chartered certification to trades in your behalf.

The reason being, a lot of Brazilians don't like to pay fees out of their own pockets. They are cheapskates.

There is also a lot of Family Office entities, specially in around聽 Sao Paulo, where they do hold stakes in Stocks, Bonds, and Real Estate holdings.

They are all over the place, and Avenida Brigadeiro Faria Lima and Vila Olimpia is choc full of them.聽 聽

You need to setup your own Family Office here, and get a business license for so. some business address and staff of your own.聽 And then go through a lot of pitching made by investment firms, commercial banks, real estate brokers.聽

Most commercial banks, short of CAIXA, also have their own retail divisions to deal with the Wealthy.聽 Itau, Bradesco, Banco do Brasil, Santander all have it.聽 If there is an affluent Postal Code/ there is a branch for them..

As for analyzing what is a value buy, what it isn't, I would recommend to follow what one Boston's Investment Consultancy does.聽 Most Endowments ( Harvard, Tufts, Non Profits, Religious orders ) don't hire firms with a Brokerage or Mutual Fund side. There is no Dealer Broker Side, no Trust in the hands of Hedge Funds, no discretionary聽 investment, and all for good reason.聽 聽 聽

As matter of your curiosity,聽 most of the consulting work, and no authorized trade there goes through a place like Cambridge Associates ( oddly enough located in Boston, not Cambridge ).聽 Their hires are taken聽 straight out of college, competing directly against Fidelity or Mass Mutual or State Street.The new hires are聽 trained to be analysts and undergo a rigorous workload and training.

And everyone of their investment analysis聽 are聽 done through a team project.聽 No hot shot analysts there.聽 聽And character wise, these kids are impressive.聽 A few times i had the fortune to meet them, they all behave with decorum and respect, no matter how low you were.聽

There are no cheap shortcuts in Brazil. You try to save money on your advisory, you are bound to get fleeced.聽

I've been trading actively for 40 years.聽 My experience with financial advisors, especially but not limited to sell-side salesmen who get commissions, are that all of them advance the interests of the ultra-wealthy by fleecing the smaller investors.

In recent years, for example, they have all been advocating ESG strategies.聽 Anyone who followed those missed out on the best sector since Biden took office, which is the sector for fossil fuels.

I decided long long ago that I am better off just making my own mistakes and then learning form them.

Theres tons of material to read on the Internet and in the public library.

I have long term holdings in the Ishares Brazil ETF symbol EWZ.聽 You can get a list of their holdings online.聽 I also have long term holdings in Vale SA.聽 I have traded in and out of Petrobras.聽 I can do this out of US-based brokerage houses.

If you are new to this you will quickly start to wonder at some things .....principally, Brazil stocks have a tendency to pay out enormous dividends but seldom show any capital gains.聽 If you dig a little deeper you will find out that Brazil tax law normally does not tax dividends but does tax capital gains pretty heavily, this is the reverse of predominant USA policy.聽 It gets really tricky if you have to pay income tax to both jurisdicitions, as I do.

Yuo really can do this by yourself.聽 You can quickly get to be as good as they are, because they are all a lot more motivated to follow the crowd than they are to make you money.聽 I tell people like you that

There is a reason why we call them "anal-ysts".....

03/13/23 @Inubia.聽 The government interferes too much in the management of Petrobras for my tastes, and that seems to happen regardless of whether Left or Right is in power.聽 I did follow you lead on Vale, though, and have no regrets so far.聽 Thanks for sharing.

@abthree

agreed.聽 thats why I only trade it.

On the other hand, they paid out over 65% in dividends last years, that was simply astounding.

I also have petrobras. I wouldn't necessary buy more now because of the same political reasons, but I'm happy with the oversized dividends from last year. I will ride it out for the foreseeable future.. I also have some Vale, but it has performed poorly (relatively speaking), likely because I bought it too high.

Personally my main focus is fixed income.聽 It seems to be the best risk/reward right now, with the Selic at 13.75% and inflation at 5.6%, and many types of holdings government issued or secured.

The thing that makes Petrobras聽 a juicy investment prospect , is that along with聽 Shell Anglo-Dutch through their Raizen Subsidiary and a third company, no one has the grip on Fuel Distribution in Brazil.

It's an Oligopoly. in such, it matters little fuel prices drop elsewhere because the cost of the crude.聽 That is where Petrobras money is made.聽 They might lower fuel prices through fuel tax deferments in an election year,, just as they get away with the gouging at the price pump.

There are no independent fuel wholesale distributors, because there are no independent refineries.

On Crude and Gas prospection Petrobras聽 loses money.聽 They used to control oil reserves, but in recent years they gave it up and started to auction these reserves.聽 Drilling is capital intensive, and not insulated to market highs and lows.聽

We actually import our Gas from Bolivia, and waste our gas, because of this lack of Plant Development , something even lame duck Russia managed to accomplish.聽 in fact, Petrobras invested Billions in Gas Prospection and Processing in Bolivia, onjly to Evo Morales seize it through appropriation.聽 And then not a single shot fired, no embargo.聽 Nobody lifted a finger.

At the impeachment of Dillma, Lula's heir aparent, She became a target for a Class Action Lawsuit in NY, as Petrobras shared聽 had been listed under NYSE board.聽 Not sure of how it got resolved, I suspect a settlement was reached.

And since Petrobras has a clause where the Federal Goverment has to appoint its executives, as a 51% stakeholder, it聽 聽becomes subjects of the whims of the rullng Aparatchnik on Brasilia.聽

BOTTOM LINE IS....

If you are not prepared to actually be a boots in the ground type聽 investor ( be it capital markets, or private equity ), you are bound to lose your shirt.聽

If you roll up your sleeves, and setup shop in Brazil, your time spent and resources may reward you handsomely.聽

One thing I mentioned Cambridge Associates, is that the non profits and endowments managers paid that firm to strictly provide research.聽 聽

There are analysts to be found in Brazil. Most investment banks and places like Banco Safra keep a team of these experts on staff.聽 You got to pry聽 one or two loose.聽 聽And keep them on retainer.

And last time I met a proxy type, working under a firm, he was on his second trophy wife, drove a 7 series Beamer, was buying an expensive nest for him and his paramour.聽 聽They don't come cheap.

You have to mind the store.聽 聽On the long run, you can profit. Until you take your lumps. success or faillure, you are a greenhorn.