[Outlook-in-Five] Hedging Trade Risk in Mexico

Rising geopolitical tensions, increasing trade restrictions, commodity supply shocks, concentration risks, weather and environmental concerns have driven the need for global companies and governments to diversify their supply chains and bring back “near-shore” production capabilities. Global investors are now looking to Mexico as a means of hedging trade risk, given its geographic proximity and ample trade interconnectivity with the US. Mexico has also increased its share of US trade, surpassing both China and Canada for the first time as the main trading partner of the US. Tune in to our latest episode with Miguel Aguayo, Bank of Singapore’s Fixed Income research analyst, as he shares more on the outlook ahead for Mexico, and why investors should explore enhancing their portfolios with Mexican assets in the form of bonds, currency or even stocks.