Colombia: Value, Votes, And A Venezuelan Tailwind

Global X ETFs3.64K FollowersFollow5ShareSavePlay(10min)SummaryDespite recent strong momentum, Colombia is one of the cheapest emerging market countries and trades below 9x P/E with a strong ~7% dividend yield.Upcoming presidential elections in May present an opportunity for the country to return towards center-right leadership after four years of far-left control under the Petro administration.This could drive a market re-rating similar to the recent politically-driven rally in Argentina.Although not a short-term driver, a recovery in Venezuela could present a tremendous opportunity for Colombia, given historic trade and economic ties. Michael Müller/iStock via Getty Images Colombia, priced for pessimism but positioned for recovery, offers an attractive asymmetric opportunity. Trading below 9 times earnings with a ~7% dividend yield, the market’s depressed valuation reflects policy uncertainty and macro headwinds under soon-to-be former President Petro. Upcoming elections couldThis article was written byGlobal X ETFs3.64K FollowersFollowFounded in 2008, Global X is a sponsor of exchange-traded funds (ETFs). We are distinguished by our Thematic Growth, Income, and International ETFs. Explore our insights on the trends and themes shaping global markets – from technology to commodities to emerging economies – at globalxfunds.com/research. Global X ETFs is a member of the Mirae Asset Global Investments Group. Important disclosures: globalxfunds.com/privacy