Our Newsletter. Mexico & Latin America. November 2020.

LATIN
AMERICA
UPDATE
November 2020
www.nuricumbo.com

Biggest global development was the US election

This will also be one of the closest
presidential races in history

Early voting was unprecedented

America, like many other countries, is
deeply divided

Mexico is another example of a divided society

Meanhile, LATAM is becoming the region hardest
hit by the pandemic

OUR VALUE PROPOSITION:
 Highly experienced consultants.
 High degree of flexibility.
 Ideal to tackle those important but not
urgent tasks that otherwise never get
done.
 Able to support in the resolution of
special or confidential projects.
 Important specialization in Finance and
Accounting projects.
 More than 50 multidisciplinary
consultants. Average of 15 to 20 years of
professional experience.
We are Nuricumbo + Partners

SOME EXAMPLES:
 Interim C-Level Executives.
 Financial Due Diligence for M&A.
 Part-Time CFOs.
 Comisarios / Consejeros.
 Interim Project Teams.
 Specialized Training Programs.
 Debt/Equity Solutions.
 Fintech Trusts (Fideicomisos)
 Process Improvement
 Special Audits (Forensic, Compliance, etc.)
How do we help some of our clients

COMPANY
PROFIT
Armando NuricumboRodrigo Llanos
Miguel Amador
Guillermo Lagos
Former CFO / AuditorFormer Investment Banking
Former Controller / Auditor
Former CEO
Jesus Bush
PWC. IPG. Bombardier. RGP.
25 years of experience.
Valmex. Inverlat. Arka.
Whirlpool. Banco Azteca.
EY. Smurfit. Maxcom. Devlyn.
3M. Imperial Chemical. IMEF
Some of our consulting experts
Alejandro Rico
Tax Advisor / Auditor
KPMG. Confies.
Jose Trevino
Former NAFTA Negotiator
Colmex. Comce. Cancham.
Oscar Becerril
Former Banker / Credit VP
Scotiabank. Citi. Fonatur.
Roberto Fernandez
Former CIO
AT&T Capital. CIT. Alta.
Enrique Ugarte
Former CEO
ProMexico. CCE. Edomex.
Marisol Baca
Former PMO
CFE. BID. Real Financiera.
José A. Ventura
Former CFO / Auditor
PWC. Truper. BristolMyers.
Former CIO

COMPANY
PROFIT
Trust (Fideicomiso) Management
Ideal to manage:
 Real Estate Projects
 Investment Projects
 Public- Private PartnershipS
 Credit Guarantees
 Estate Planning
 Successions, wills and legacies
 Asset Protection
WE HAVE A PARTNERSHIP WITH THE LARGEST NON-BANK TRUSTEE IN MEXICO (TWO BILLION USD UNDER
MANAGEMENT), WHICH ALLOWS TO STRUCTURE, MANAGE AND CONTROL FINANCIAL AND COMMERCIAL
OPERATIONS WITH THE TAX AND LEGAL ADVANTAGES OF A TRUST, SUPPORTED BY A WORLD-CLASS
TECHNOLOGICAL PLATFORM.
1
5
There are many Trustees, but our
partner is the most Fintech in Mexico.
 Automatic Collection identification.
 Digital control of assets under
guarantee.
 Authorizations via bank token.
 Smart contracts.
 Electronic signature.
 Interfaces already working with the
main banks in the country.
 Automated bank reconciliations.
 Reports and account statements in real
time.
 Total control of the incoming and
outgoing cash flows.
Some other advantages:
 Flexibility to build customs solutions.
 Robust structure of controls and computer security.
 Automation of processes and reports.
 More efficiency and faster response times.
 Unlike some banks, our partner is a trust specialist, which
allows better advice for your project.
 IT platform in several languages, ideal for managing
international projects.
 Connectivity with Apps and Laptops for remote operations
management.
 And all this at a lower cost than traditional trustees.
WE ARE READY TO TALK ABOUTYOUR PROJECT.
Grantor
Assets
Guarantees
Beneficiaries
Trustee
Exclusion of Bankruptcy
Trust

COMPANY
PROFIT
Interim Management in Mexico
YOUR TRUSTED BUSINESS ADVISORS
What can we bring to the table:
- Consultants with more than 20 years of
experience.
- Fully bilingual.
- Expert knowledge of business
practices in the country.
- Flexible business model.
- Honest, independent and reliable.
- We have all worked for multinationals
operating in Latam.
WE CAN PROVIDE EFFECTIVE AND
EXPERIENCED INTERIM CONSULTANTS TO
TACKLE SPECIAL OR CONFIDENTIAL
PROJECTS IN MEXICO.
We can take over processes or business
units and provide oversight on their
performance while a permanent
management solution is established.
1
6
We can provide CEO, CFO, CIO, or CHRO
type of profiles. After a certain period of
time, you can even hire our consultants,
which results in a much more certain
hiring decision.

$5.49 $5.50 $5.74
$0.00
$1.50
$3.00
$4.50
$6.00
$7.50
August September October
Brazil
Exchange Rates
$3,741.04 $3,828.40 $3,891.00
$0.00
$1,500.00
$3,000.00
$4,500.00
Colombia
$21.89 $22.11 $21.19
$0.00
$10.00
$20.00
$30.00
Mexico
$3.54 $3.60 $3.62
$0.00
$1.00
$2.00
$3.00
$4.00
Peru
Source: Bloomberg, 2020.
*USD / PEN
*USD / MXN
*USD / CLP
*USD / BRL
*USD / COP
$0.00
$200.00
$400.00
$600.00
Chile
*USD / CLP
$74.18 $76.18 $78.32
$0.00
$25.00
$50.00
$75.00
$100.00
Argentina
*USD / ARS

Source: Argentina, Brazil, Colombia, Chile, Mexico and Peru Central Banks, 2020.
42.40% 40.70% 36.60%
0.00%
20.00%
40.00%
60.00%
July August September
Argentina
Inflation Rate
3.14%
3.92% 3.80%
0.00%
1.50%
3.00%
4.50%
Brazil
1.88% 1.97% 1.75%
0.00%
1.00%
2.00%
3.00%
Colombia
2.40%
3.10% 3.00%
0.00%
1.00%
2.00%
3.00%
4.00%
Chile
4.05% 4.01% 4.09%
0.00%
1.50%
3.00%
4.50%
Mexico
1.69% 1.82% 1.72%
0.00%
0.90%
1.80%
2.70%
Peru

$42,842 $41,132 $39,524
$0
$15,000
$30,000
$45,000
$60,000
Argentina
International Reserves
$348,781 $356,606 $354,546
$0
$120,000
$240,000
$360,000
$480,000
Brazil
$56,972 $57,185 $56,979
$0
$18,000
$36,000
$54,000
$72,000
Colombia
$37,783 $37,821 $38,260
$0
$13,000
$26,000
$39,000
$52,000
Chile
$193,267 $193,992 $194,351
$0
$60,000
$120,000
$180,000
$240,000
Mexico
$74,668 $72,354 $72,468
$0
$20,000
$40,000
$60,000
$80,000
Peru
*Million U.S. Dollars
Source: Argentina, Brazil, Colombia, Chile, Mexico and Peru Central Banks, 2020.

46,835.42
41,260.86 45,225.52
0
16,000
32,000
48,000
64,000
Argentina
Capital Markets
99,369.20 94,603.40 93,838.62
0
30,000
60,000
90,000
120,000
Brazil
1,216.03 1,171.92 1,136.75
0
500
1,000
1,500
2,000
Colombia
18,576.89 17,948.78 17,472.20
0
5,000
10,000
15,000
20,000
Peru
36,840.73 37,458.69 36,987.86
0
12,000
24,000
36,000
48,000
Mexico
3,767.15 3,637.30 3,539.92
0
1,200
2,400
3,600
4,800
Chile
*IPSA:IND
*MEXBOL:IND
*SPBLPGPT:IND
*MERVAL:IND
*IBOV:IND
*COLCAP:IND
Source: Bloomberg, 2020.

Foreign Direct Investmet
$11,517 $11,873
$6,663.00
$0
$4,000
$8,000
$12,000
2017 2018 2019
Argentina
$68,885
$78,162 $73,504
$0
$30,000
$60,000
$90,000
2017 2018 2019
Brazil
$13,836
$11,535
$14,314
$0
$5,000
$10,000
$15,000
$20,000
2017 2018 2019
Colombia
$6,128 $7,323
$11,928
$0
$4,000
$8,000
$12,000
2017 2018 2019
Chile
$33,030 $37,682
$29,360
$0
$12,000
$24,000
$36,000
$48,000
2017 2018 2019
Mexico
$6,860 $6,488
$8,892
$0
$3,000
$6,000
$9,000
$12,000
2017 2018 2019
Peru
Source: The World Bank, 2020. *BoP, Million U.S. Dollars at Current Prices

Credit Ratings
Argentina
CCC
(10 September 2020)
Source: Fitch Ratings, 2020
Brazil
BB-
With NEGATIVE Outlook
(5 May 2020)
Colombia
BBB-
(6 November 2020)
Chile
A-
With STABLE Outlook
(15 October 2020)
Mexico
BBB-
With STABLE Outlook
(11 November 2020)
Peru
BBB+
With STABLE Outlook
(3 June 2020)

Credit Ratings
Argentina
Ca
With STABLE Outlook
(28 Sept 2020)
Source: Moody’s Investors Service, 2020.
Brazil
Ba2
With STABLE Outlook
(15 May 2020)
Colombia
Baa2
With STABLE Outlook
(23 May 2019)
Chile
A1
(25 August 2020)
Mexico
Baa1
(17 April 2020)
Peru
A3
With STABLE Outlook
(25 Jun 2019)

Credit Ratings
Argentina
CCC+
With STABLE Outlook
(7 September 2020)
Source: Standard & Poor’s, 2020.
Brazil
BB-
With STABLE Outlook
(6 April 2020)
Colombia
BBB-
(28 October 2020)
Chile
A+
(27 April 2020)
Mexico
BBB
(26 March 2020)
Peru
BBB+
With STABLE Outlook
(4 May 2020)

Country Presidents
Argentina
President: Alberto Fernandez
Birth: 2 April 1959
In office since: 10 December 2019
Political Party: Frente de Todos
Brazil
President: Jair Bolsonaro
Birth: 21 March 1955
In office since: 1 January 2019
Political Party: PSL
Colombia
President: Iván Duque Márquez
Birth: 1 Agosto 1976
In office since: 7 Agosto 2018
Political Party: Centro Democrático
Chile
President: Sebastián Piñera E.
Birth: 1 December 1949
In office since: 11 March 2018
Political Party: Independent
Mexico
President: Andrés Manuel López O.
Birth: 13 November 1953
In office since: 1 December 2018
Political Party: Morena
Peru
President: Manuel Merino
Birth: 20 August 1961
In office since: 10 November 2020
Political Party: Acción Popular

Land Area
Source: The World Bank, 2018.
2,736,690
8,358,140
1,109,500
743,532
1,943,950
1,280,000
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
9,000,000
Argentina Brazil Colombia Chile Mexico Peru
Note: Kilometers

Ease of Doing Business Index
126 124
67
59 60
76
0
20
40
60
80
100
120
140
Note: 1 = Most Business-friendly Regulations

Population Growth
1.0%
0.8%
1.4%
1.2%
1.1%
1.6%
0%
1%
1%
2%
2%
Note: Annual Percentage

Total Population
44,938.7
211,049.5
50,339.4
18,952.0
127,575.5
32,510.5
0
50,000
100,000
150,000
200,000
250,000
Note: (i) Thousands; (ii) Total Inhabitants

Urban Population
92%
87%
81%
88%
80% 78%
0%
20%
40%
60%
80%
100%
Note: Percentage of Total Population

Poverty Headcount Ratio
1.3%
4.4%
4.2%
0.3%
1.7%
2.7%
0%
1%
2%
3%
4%
5%
Source: The World Bank, 2017 - 2018.
Note: (i) At US$1.90 / Day; (ii) Percentage of Population

Exports of Goods and Services
17.3%
14.3%
15.9%
28.2%
39.1%
24.2%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
Note: Percentage of GDP

Foreign Direct Investment
-
10,000
20,000
30,000
40,000
50,000
60,000
70,000
80,000
6,663
73,503
14,313
11,928
29,360
8,891
Note: (i) Net Inflows; (ii) BoP, Current Million US$

Gross Domestic Product
$449,663.5
$1,839,758.0
$323,802.8 $282,318.2
$1,258,286.7
$226,848.1
$0
$300,000
$600,000
$900,000
$1,200,000
$1,500,000
$1,800,000
$2,100,000
$2,400,000
Note: Millions, Current US$

GDP Per Capita
$22,947.1
$15,258.9 $15,643.7
$25,155.0
$20,410.7
$13,380.4
$0.0
$5,000.0
$10,000.0
$15,000.0
$20,000.0
$25,000.0
$30,000.0
Note: (i) PPP; (ii) Current International $

GDP Growth
-2.2%
1.1%
3.3%
1.1%
-0.1%
2.2%
-3%
-2%
-1%
0%
1%
2%
3%
4%
5%
Note: Annual Percentage

Gross Savings
16.7%
12.2%
15.5%
18.9%
22.9%
19.8%
0%
5%
10%
15%
20%
25%

Personal Remittances
$0.0
$10,000.0
$20,000.0
$30,000.0
$40,000.0
$528.3 $3,213.6
$6,769.9
$70.0
$39,021.8
$3,326.0
Note: (i) Received; (ii) Millions, Current US$

Total Reserves
$44,880.6
$356,886.4
$52,652.7
$40,655.5
$183,056.1
$67,711.5
$0.0
$50,000.0
$100,000.0
$150,000.0
$200,000.0
$250,000.0
$300,000.0
$350,000.0
$400,000.0
Note: (i) Includes Gold; (ii) Millions, Current US$

Revenue
17.9%
29.1%
21.5% 22.0%
18.9% 19.0%
0%
5%
10%
15%
20%
25%
30%
Note: (i) Excluding Grants; (ii) Percentage of GDP

Government Expenditure on Education
5.5%
6.3%
4.5%
5.4%
4.5%
3.8%
0%
2%
4%
6%
8%

Labor Force
20,977.4
107,371.8
27,271.1
9,692.0
58,004.3
19,356.0
0
20,000
40,000
60,000
80,000
100,000
120,000
Note: Thousands

Labor Force (Female)
42.9% 43.6% 43.0% 42.2%
37.8%
45.7%
0%
10%
20%
30%
40%
50%
Note: Percentage of Total Labor Force

Unemployment
10.4%
12.0%
9.7%
7.1%
3.7%
3.2%
0%
3%
6%
9%
12%
15%
Note: (i) Percentage of Total Labor Force; (ii) Modeled ILO Estimate

Energy Use
2,030
1,496
724
2,006
1,537
790
0
500
1,000
1,500
2,000
2,500
Note: Kg of Oil Equivalent per Capita

Renewable Electricity Output
28.1%
74.0%
68.2%
43.6%
15.4%
52.7%
0%
10%
20%
30%
40%
50%
60%
70%
80%
Note: Percentage of Total Electricity Output

Population Living in Slums
14.7%
16.3%
27.8%
8.8%
16.0%
33.1%
0%
10%
20%
30%
40%
Note: Percentage of Urban Population

External Debt Stocks
64.6%
31.8%
44.2%
38.5%
29.7%
0%
10%
20%
30%
40%
50%
60%
Note: Percentage of GNI

Bank Capital to Assets Ratio
13.5%
10.2%
17.0%
7.5%
11.0%
12.9%
0%
3%
6%
9%
12%
15%
18%
Note: Percentage

Bank Nonperforming Loans
to Total Gross Loans
5.7%
3.1%
4.2%
2.1% 2.1%
3.4%
0%
1%
2%
3%
4%
5%
6%
Note: Percentage

Deposit Interest Rate
47.3%
5.4% 4.5%
2.5% 3.5% 4.8%
0%
5%
10%
15%
20%
25%
30%
35%
40%
45%
50%
Note: Percentage

Lending Interest Rate
67.3%
37.5%
11.8%
4.2%
8.5%
17.0%
0%
10%
20%
30%
40%
50%
60%
70%
Note: Percentage

Listed Domestic Companies
91
324
66
203
139
196
0
50
100
150
200
250
300
350
400
Note: Total

Market Capitalization of Listed Domestic
Companies
$39,393.54
$1,187,361.69
$132,040.28
$203,791.65
$413,618.82
$98,964.96
$0.0
$200,000.0
$400,000.0
$600,000.0
$800,000.0
$1,000,000.0
$1,200,000.0
Note: (i) Millions; (ii) Current US$

Strength of Legal Rights Index
2 2
11
4
10
7
0
2
4
6
8
10
12
Note: 0 = Weak to 12 = Strong

Military Expenditure
1.9%
3.9%
11.0%
7.2%
2.0%
5.4%
0%
2%
4%
6%
8%
10%
12%
14%
Note: Percentage of General Government Expenditure

WHAT WE THINK
Winning an election does not resolve our problems
The reinvention of big global cities
North America: From shared prosperity to failed state
Who will win the U.S. elections?
Will we avoid another lost decade?
Inequality is not a good business
The Lebanese mirror
Wirecard, external audit and the public interest
OUR YOUTUBE CHANNEL
Walter Buchanan: US Elections 2020
Vestiga Consultores: Información y pandemia
Historic Lessons of the 1918 Pandemic
Willingness to Pay & Value Stick
James Francum – Perspective from Germany
Toshiyuki Yasui: Chief Happiness Officer
Antonio Prida: Mediación
Oscar Becerril: Cómo superar COVID-19
OTHER
Encuesta Resiliencia Económica: Octubre 2020
Riesgo Global: Relación Estados Unidos - China
Ranking Empresas Zombies Mexico: Q2 2020
Mexico’s Top 25 CFO’s of 2017
¿Por qué medir la confianza económica?
Perspectivas internacionales 2020
Nuricumbo + Partners in the Media

We care about your business priorities.
Let’s talk!
E-mail: contacto@nuricumbo.com
Mobile/Whatsapp: + 52 (155) 5453 6309
Skype: nuricua
Twitter: @a_nuricumbo
Office: Montes Urales 424
Lomas de Chapultepec, CDMX
Please visit our website

Our Newsletter. Mexico & Latin America. November 2020.

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Our Newsletter. Mexico & Latin America. November 2020.