At close Aug 29, 2014
The NAV information is provided by the Fund's accounting agent. The price is as reported by the exchange on which the Fund trades. This information is unaudited and neither Aberdeen Asset Management PLC, its wholly owned subsidiaries, the Funds, nor any other person guarantees their accuracy.
If you require further information on any of our Closed-End Funds:
Aberdeen Latin America Equity Fund, Inc. (NYSE MKT: LAQ)
The Fund seeks long-term capital appreciation by investing primarily in Latin American equity securities.
For more detailed information on the specific risks associated with this fund, please view the Important Risk Considerations tab.
It is the policy of the Fund to invest its assets in Latin American equity securities. For these purposes, “Latin American equity securities” are equity securities of companies organized in a country in Latin America or for which the principal trading market is in Latin America.
The information contained above provides only a brief summary description of the Fund's investment objective and investment policies.
Fund Manager Interview
Fiona Manning, Senior Investment Manager on the Global Emerging Market Equities team at Aberdeen, discusses Latin America and explains why this region provides a wealth of interesting investment opportunities.
Why Latin American Equity
In this installment of our “Reasons Why” series, learn about why we believe Latin American equities are an asset class with a promising future and discover how Aberdeen is positioned to potentially take advantage of this bourgeoning region.
Section 16 Filings
Fund Managers’ Monthly Report
- Latin American equities rose in June. Brazil gained ground on continued optimism that President
Dilma Rousseff’s sinking popularity could lead to more market-friendly policies after the upcoming
election on October 5. Colombia’s stock market also performed well after Juan Manuel Santos was
re-elected as president, allowing him to continue efforts to broker a peace deal with rebel forces.
- Brazil’s central bank cut its forecast for 2014 economic growth* from 2.0% to 1.6% because of
slowing manufacturing and services activity, as well as weakness in consumption.
- In Fund-related corporate news, oil company Petrobras must make advance payments of about 15
billion reais (roughly US$6.7 billion) to the Brazilian government, as part of a deal that transfers
production rights of four oilfields to the group. The payments will be spread over four years,
whereas production does not begin until 2018. While management has cast the deal as an
excellent opportunity to add 10 to 15 billion barrels to its reserves, we are more mindful of the
impact of these payments on the group’s finances.
- Separately, Tenaris (a Fund holding) won a contract from Petrobras to supply 373 kilometers
(about 232 miles) of welded pipes for a pre-salt project, which we believe will reinforce its position
as a key supplier in Brazil. When completed, the pipeline will transport 21 million cubic meters
(approximately 742 million cubic feet) of gas per day.
- During the month, we added to the holding in miner Vale’s preferred shares, which we believed
were trading at an attractive valuation.
Forecasts are offered as opinion and are not reflective of potential performance, are not guaranteed and actual
events or results may differ materially.
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