Argentina is a South American country that is one of the G-20 economies. It is the third largest economy in Latin America and has the highest GDP per capita in its region. It possesses plenty of natural resources, a strong agricultural sector, and a well-educated population.
Argentina’s Main Industries
Argentina is economically known for its strength in:
- Fruits and Vegetables
- Natural Resources
- Uranium Silver
- Oil and Petroleum
- Natural Gas
- Food Processing
- Chemicals and Pharmaceuticals
- Auto Parts, Iron, and Steel
- Industrial Machinery
- Forestry Products
Argentina’s Main Stock Exchanges
The two main stock exchanges in Argentina by size are:
- 1. Buenos Aires Stock Exchange
- Argentina’s largest and primary stock exchange
- Operates as a self-regulating, non-profit entity
- Main Index
i. MERVAL – an important price-weighted index of the exchange
Ways to Invest in Argentina
There are a couple of different ways to invest in Argentine companies:
- Through regional Argentine banks and financial firms or international ones operating in Argentina
- Santander Rio
- BBVA Banco Frances
- BNP Paribas
- BACS BANCO DE CREDITO Y SECURITIZACION
- Argentina ETFs
- ARGT: NYSEArca
- EEV – emerging market ETF with exposure to various countries including Argentina
- Through some international online brokers:
- MB Trading
- Interactive Brokers
- TD Ameritrade
- Charles Schwab
Glimpse into Argentina’s Equity Market
Considered an emerging economy, Argentina attracts significant foreign investors and capital.
The MERVAL (stock index) reached an all-time historical high in January 2011. Although the index deteriorated significantly following the 2008 financial crisis, it has since risen by over 90% from its bottom.
Market capitalization of listed equities rose from $49 billion in 2009 to $64 billion in 2010 – an increase of 31%.
Capital and financing inflows via international markets related to bond issuance and new equity placements had fallen from 2.5% to 0.5% of GDP during the 2008-2009 periods. However, there have been some notable IPOs in 2010/11, which indicates a positive outlook.