Tuesday, February 17, 2015

Investment Banks Bullish on Argentina 2015



The end of Argentina’s current administration’s rule is fast approaching, and I hope this will mean less daunting global press headlines in the future.  This is an election year in Argentina, which could have a real positive influence on the valuation of Algodon’s brand, businesses and assets.

The primary elections will be held in August, and the general elections for a new president will be in October.  As these major dates approach, Morgan Stanley reports the value of all Argentine assets could appreciate measurably: this month Morgan Stanley released a new institutional research report on Argentina's economy.  They believe that this year's elections may be a major positive economic driver, and they recommend an "overweight position in Argentine equities" with 60%+ potential upside for the Merval in USD in 2015;
"Our positive view on Argentine equities is predicated on policy changes after the October 2015 Presidential elections in the country which could lead to normalization after 2016."
Other major global investment banks such as Credit Suisse Group and Barclays, are also positive on Argentina for the first time in a decade.  Credit Suisse strategist Daniel Chodos says "Argentina looks very attractive in 2015", and both banks recommend investors buy the nation's foreign-currency debt securities, as elections in October are likely to usher in a government that will revive the economy and repair relations with creditors.  Click here to read about Credit Suisse and Barclays being bullish on Argentina.

This is great news indeed, and this may be only the beginning.  I would not be surprised by other Wall Street investment banks following suit with positive coverage in the months ahead, as the election fast approaches.

In the meantime, Algodon Wine Estates, located in the heart of Argentina wine country, is offering an excellent opportunity to take your future vineyard property on a test drive.  Mendoza’s annual harvest season has begun, and this is truly one of the most exciting times of the year to visit.  Our luxury wine hotel is celebrating the wine harvest by offering a special Grape Harvest package (see below).  Here’s the best part:  In the event that you decide to purchase property at Algodon Wine Estates, the cost of this package will be applied to your closing costs.


 

Celebrate Argentina’s Grape Harvest in Mendoza and Buenos Aires!   

 

At Algodon Wine Estates in Mendoza (named one of the World’s Top Vineyard Inns by Frommers) you’ll get our exciting winemaker’s tour this harvest season! Explore our Harvest Activities, which includes delicious wine tastings and food pairings!

  • 2 nights’ accommodation in Classic Suite
  • Daily American Breakfast
  • Green fee for Golf
  • Full day of Tennis
  • Welcome gourmet tasting with private collection Algodon Wines and estate grown goodies
  • A visit to our vineyards and winery to learn about our winemaking process and experience the harvest firsthand with our staff
  • Half-day tour of local wineries in San Rafael (visit two wineries + wine tasting + visit olive oil factory + all transfers included)
  • Dinner at Chez Gaston Restaurant paired with private collection Algodon Wines
Price for two:  USD 650 + 21% VAT tax
Valid Thursdays & Fridays, March-April 2015
Inquire about special dates (Easter, long weekends, etc.)

Travel Agents, should contact turismo@algodonwineestates.com to hear about special net rates.

- Scott Mathis