Countries: Brazil - First
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Countries: Brazil - First

Leaping from third place to finish on top for the first time is the 37-strong Itaú BBA squad directed by Carlos Constantini, who also captains a runner-up team in Equity Strategy.

Carlos Constantini & team Itaú BBA


The buy side says: “They’re closer to the markets than anyone else.”


Leaping from third place to finish on top for the first time is the 37-strong Itaú BBA squad directed by Carlos Constantini, who also captains a runner-up team in Equity Strategy. The São Paulo–based analysts “provide a very realistic view about their expectations for the market,” declares one buy-side backer. “I also like the bottom-up picks that they spotlight and the companies they recommend.” Current favorites include Belo Horizonte–based electric utility Cía. Energética de Minas Gerais, or Cemig, in part because of its “reliable free cash flow generation,” Constantini says, and projected dividend yield of 12 percent in 2012 and 7 percent in 2013. The team also likes Telefônica Brasil, the local subsidiary of Spanish telecommunications giant Telefónica. Although revenue growth is “relatively limited” to roughly 5 percent a year, mostly from wireless data services, “the company should maintain a dividend yield of approximately 9 percent per year, with very limited room for negative surprises,” he adds. Constantini, 37, began his career 14 years ago as a telecoms analyst for BBA Paribas in São Paulo. He held various positions at Deutsche Bank in New York and Schroders in São Paulo before joining Unibanco as head of equity and fixed-income research and sales in 2007. The following year, when that firm merged with Banco Itaú, Constantini was appointed chief strategist and head of research. He holds a bachelor of science degree in industrial engineering from Universidade de São Paulo. — Paul Sweeney


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