Neuberger Berman Sees Private Equity Opps. In Latin America

Oct 25 2013 | 11:28am ET

Neuberger Berman Group is looking south for a place to spend its private-equity dollars.

The firm is eyeing five Central and South American countries in particular, according to alternative investments chief Anthony Tutrone: Brazil, Chile, Colombia, Mexico and Peru. The three have one thing in common, he said: A growing middle-class.

"We really like Latin America right now," Tutrone told The Wall Street Journal. "Similar to Australia, our interest in Latin America is not in the private-equity transactions that are natural resource-related. It's more the burgeoning growth in the middle class, who want more consumer products, retail, healthcare, financial services, education, so you have a tremendous tailwind behind those industries."

"It sets up for a great future arbitrage, because end-buyers are often multinationals seeking to enter the market, or when you take companies public, there's an appetite from pension funds to invest," he added.

Tutrone said that he assumes Neuberger Berman will "open at least one more office there in the next 12 to 18 months." The firm already has a base in Buenos Aires, Argentina, but Tutrone said "the one market we could use more density in, in the short term, is South America."


Lifestyle

Survey: Wall Street Banks Still Top Silicon Valley, Hedge Funds for Freshly-Minted MBAs

Jun 21 2016 | 9:01pm ET

Contrary to concerns that Wall Street isn't as appealing to new graduates as it...

Guest Contributor

The Future of the Blockchain in Financial Services Communications

Jun 17 2016 | 1:05pm ET

Over the past year, a large portion of the financial services industry has awakened...