Opportunities to Invest in Mexico

BOLSA MEXICANA DE VALORES

mexican stock market

The Mexican Stock Exchange (Bolsa Mexicana de Valores, BMV) is a public institution operating under a Ministry of the Treasure concession. It’s one of the best way to invest in Mexico

BMV is the forum where organized securities market transactions occur to facilitate the securities transaction process and market development.

Mexican stock market is the most popular in Latin America. It’s also the second-most valuable market in Latin America. The Mexican markets are traded during weekdays from 9:00 a.m. to 4:00 p.m.

The Mexican exchange is the physical space where the trades take place by intermediaries called brokerage firms to facilitate transactions between issuing companies and investors.

Basic immigration information

“Consulate and Immigration authorities may request information regarding the reasons for your travel, the length of your stay, how you are financing your visit, where you are staying if you know people in Mexico, how long you are visiting, etc.”

BEST MEXICAN COMPANIES TO INVEST

One of the most important companies in the Mexican stock market is Gruma. They are one of the largest producers of corn flour and tortilla products in the world. In addition, Gruma owns and operates a plant that provides corn flour and tortillas to international markets outside of Mexico.

Another company, which has been operating in Mexico for many years, is América Móvil. It was founded on October 18, 2000, by Carlos Slim. The company provides wireless telecommunications services, broadband access, fixed-line telephony services, satellite television broadcasting, and information technology services through subsidiaries such as Telmex and Telcel.

Here are the options to invest in Mexico through the stock market:

  • Alfa A
  • Alsea
  • América Movil
  • Arca Continental
  • Asur B
  • Banco del Bajío
  • Banregio Grupo Financiero
  • Becle
  • Bimbo
  • Bolsa Mexicana de Valores
  • Cemex
  • Coca Cola Femsa L
  • Corporación Inmobiliaria
  • El Puerto de Liverpool
  • Elektra
  • Financiero Banorte
  • Fomento Económico M
  • Genomma Lab B
  • Gmexico
  • Gruma SAP de CV
  • Grupo Aeroportuario del Pacífico
  • Grupo Carso A1
  • Grupo Cementos
  • Grupo Financiero Inbursa
  • Grupo Televisa Unit
  • Kimberly-Clark de México
  • Megacable Cpo
  • OMA B
  • Orbia Advance
  • Peñoles
  • PINFRA
  • Q u a l i t a s Controladora
  • Telesites SAP de CV
  • Wal Mart de Mexico

mexican stock market

FIBRAS: Invest in Mexico Real Estate Market

FIBRAS stands for Real Estate Investment Trusts. They are an exchange-traded trust that owns or operates income-producing real estate.

A FIBRA is a company that manages and invests in real estate properties. A FIBRA will often buy, build, and trade commercial properties for its own portfolio while renting out the space to other tenants on the property. And even offer mortgages on the property to make the property more affordable for investors.

In Mexico barely exist more than 15 Fibras. A company that could be in this area is FIBRAS, which is an exchange-traded trust that owns or operates income-producing real estate. The FIBRA will often buy, build, and trade commercial properties for its own portfolio while renting out the space to other tenants on the property.

FIBRA also offer mortgages on the property to make the property more affordable for investors.

Here is a list of companies you could invest:

  • Fibra Monterrey  
  • Fibra Upsite
  • Fibra Educa
  • Fibra UNO
  • Fibra Storage
  • Fibra Danhos
  • Fibra Shop
  • Fibra Nova
  • Fibra CFE
  • Fibra Terrafina  
  • Fibra HD
  • Fibra Macquarie 
  • Fibra Prologis
  • Fibra Hotel
  • Fibra Inn
  • Fibra Plus
  • Fibra Terrafina  
  • Fibra sites

Mexican ETF: Safer way to invest in Mexico

ETF stands for Exchange Traded funds or TRACs for Titles Referenced to Shares, which are participation certificates representing equity investment trusts.

These certificates allow the investor to buy or sell an index or portfolio of shares through just one stock, with the benefits of investing public, liquidity, and investment options.

mexican stock market

This investment mix benefits of the direct investment in equity securities listed on stock exchanges and may be acquired intraday, with the benefits indexed of a mutual fund with a minor cost.

NAFTRAC is an ETF program from Mexico´s development bank Nacional Financiera. This ETF was founded in 2002.  This fund is the largest in Mexico in terms of money invested and trades per day.

CETES is the acronym for the Mexican Federal Treasure Certificates, an investment instrument offered by the Federal Government through the Ministry of the Treasure and Mexico´s central bank, Banco de México. The Government has mechanisms for guaranteeing their payment. These certificates can be issued for different 28-368 days. This is the safer way to invest in Mexico

Longer terms yield a more significant benefit. The Government issued these instruments for funding. In return, it offers an interest rate collectible at the end of a set term.

CETES interest rate updated information is available at https://www.banxico.org.mx/SieInternet/consultarDirectorioInternetAction.do?accion=consultarCuadro&idCuadro=CF107&sector=22&locale=es 

ETFs are an attractive investment because of their low costs and the ability to sell them on the stock market, making them the most popular type of exchange-traded product.

Financial Brokers recommend ETFs for long-term investment because the advantage of long-term investing is found in the relationship between volatility and time.

More extended periods tend to exhibit lower volatility than those held for shorter periods.

real estate

INVESTMENT IN MEXICO: STOCK MARKET RELEVANCE IN PERSONAL AND COUNTRY FINANCES

For Investors, the Mexican stock exchange is not only an opportunity to protect and increase their savings, but the advantages of making investments at lower cost, liquidity, tax efficiency, and instant diversification. They are also less susceptible to extreme volatility because they are linked to the quite diversified indices.

At the same time, these resources contribute to corporations and governments for funding and developing projects that promote employment and the implementation of public policies for the well-being of citizens.