I am a personal investor specializing in equities and diversified portfolios. In this diversification, I like to build a balanced portfolio where no client misses out on the rise of technology stocks -for example- but at the same time, they can keep a portion of their savings invested in more defensive options.I'm very fond of established technology companies and those focused on consumer staples and discretionary goods, always prioritizing company value over circumstances, which can sometimes be adverse. T ...

ATLANTA--(BUSINESS WIRE)--NCR Atleos Corporation (NYSE: NATL) ("Atleos†), a leader in expanding self-service financial access for financial institutions, retailers and consumers, unveiled new research that informs the discussion around the staying power of cash usage across the U.S. payment landscape. Leveraging proprietary insights from its network—the largest independently owned and operated ATM network in the country—the Atleos report shows that cash plays a vital role for millions of Americans, especi ...

Core Viewpoint - The article emphasizes the importance of building a balanced investment portfolio that includes both technology stocks and defensive options, highlighting the need for intrinsic value and strong catalysts in investment decisions [1] Group 1: Investment Strategy - The company focuses on established technology firms and consumer staples, prioritizing company value over market circumstances [1] - A balanced portfolio is essential to ensure clients benefit from technology stock growth while maintaining investments in more stable options [1] Group 2: Experience and Expertise - The company has seven years of active investment experience, managing third-party portfolios and analyzing macroeconomic trends [1] - A Master's degree in Economics and consulting experience for public and private organizations contribute to the company's analytical capabilities [1] Group 3: Challenges and Insights - The company acknowledges the difficulty of "buying low and selling high," particularly during market crises such as those in 2020 and 2022 [1] - The pressures of public tenders have provided insights into market stress, paralleling the challenges faced during stock market downturns [1] Group 4: Social Responsibility - The company promotes financial inclusion programs for women, recognizing the need for greater opportunities in finance [1] - Efforts to expand opportunities for women in finance are seen as a significant challenge and a priority for the company [1]

Core Insights - The informal economy's participation is not adequately captured by traditional credit scoring models, which primarily rely on credit history, making it unsuitable for many individuals in the global south [1][4] - Financial exclusion is prevalent not only in developing countries but also in advanced economies, with significant unbanked populations in the US (5.6 million) and the EU (13 million) [3] - The barriers to financial inclusion extend beyond credit history, including cumbersome onboarding processes, limited digital infrastructure, and institutional risk aversion [4][6] Group 1: Financial Exclusion Dynamics - Financial exclusion is driven by a lack of visibility, particularly in developing markets where cash transactions dominate and many individuals work in the informal economy [2][5] - The lack of access to credit prevents unbanked individuals from building credit histories, yet the absence of credit history is not the sole barrier to financial inclusion [5][12] - Digital activity among unbanked individuals presents opportunities for credit access, but traditional lending models fail to leverage this potential [7][8] Group 2: Barriers and Solutions - High-friction onboarding processes and inadequate digital infrastructure hinder access to financial services, especially for rural and low-income urban populations [9][10] - Mobile-first fintech solutions are emerging to bypass traditional systems, offering easier onboarding and alternative verification methods [11] - Collaboration between financial institutions and tech companies is essential to bridge the trust gap and improve visibility into consumers' financial behaviors [15][16] Group 3: Rethinking Creditworthiness - Creditworthiness can be assessed through alternative data sources, such as mobile activity and transaction behavior, rather than solely relying on traditional credit history [14] - Financial institutions must adopt flexible trust models that utilize digital footprints to make informed lending decisions [16] - A redefined approach to creditworthiness can foster an inclusive financial ecosystem, benefiting both consumers and financial institutions globally [16]

Core Insights - BlackRock Canada and the Families & Allies at BlackRock Network celebrated Family Day by closing the market at the Toronto Stock Exchange, emphasizing the importance of financial inclusion and education [1][2]. Company Overview - BlackRock is a leading global asset manager that provides investment, advisory, and risk management solutions, aiming to enhance financial well-being for individuals [3]. - The company operates over 100 offices in more than 38 locations worldwide, allowing it to leverage global insights while maintaining local relationships [4].

Financial Data and Key Metrics Changes - The company closed the quarter with a 16.9% ROE and 19% for the full year, reflecting record high net income and diversification of revenue sources across various segments [16][45] - Net interest income increased by 4.2%, driven by loan portfolio growth and a contraction in interest expenses, resulting in a NIM of 6.6% [20][43] - The NPL ratio stood at 4.5%, indicating improved asset quality, while the cost of risk was 1.8% [19][42] Business Line Data and Key Metrics Changes - In Universal Banking, BCP reinforced its leadership in Peru, serving over 3.2 million loan clients and achieving a full-year ROE of 24.7% [9][25] - Microfinance, through Mibanco, delivered double-digit loan growth and improved profitability, with a NIM of 15.2% [10][34] - The insurance and pensions business, Grupo Pacífico, achieved a solid ROE of 21.4%, with net income rising 13% [36][37] Market Data and Key Metrics Changes - Peru's GDP grew around 3.5% in 2025, supported by strong domestic demand and high commodity prices [6][22] - In Colombia, GDP growth was around 2.7%, while inflation accelerated to 4.51% [8][24] - Chile's GDP also expanded around 2.7%, driven by investment, with inflation slightly above target [8] Company Strategy and Development Direction - The company aims to expand financial inclusion, deepen risk and capital discipline, scale AI and digital platforms, and build trust through operational excellence [13] - A strategic acquisition of Helm Bank for $180 million aims to enhance cross-border capabilities and strengthen the U.S. offering [14][15] - The company plans to continue investing in data transformation and disruptive initiatives to bolster long-term competitive positioning [47] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about Peru's economic stability and growth potential, expecting GDP growth around 3.5% in 2026 [22][46] - The company anticipates total loan growth of approximately 8.5% in 2026, driven primarily by retail banking [46] - Despite local political uncertainties, management believes the fundamentals are in place to support profitability levels [49] Other Important Information - Yape, the company's digital wallet, closed the year with nearly 16 million monthly active users, significantly contributing to revenue growth [12][31] - The company expects non-interest income growth to pick up in the low double digits in 2026, driven by increased activity and diversification efforts [47] Q&A Session Summary Question: Update on political outlook and upcoming elections - Management noted that López Aliaga is leading the polls with 12%, while Keiko Fujimori follows at 8%, with a significant portion of undecided voters [51][53] - The elections for Congress members will occur on April 12, 2026, which is expected to provide more political stability [56][57] Question: Expectations for operating expenses growth - Management indicated that operating expenses are expected to moderate compared to 2025, with a focus on achieving operational leverage from ongoing investments [60][62] Question: Yape's revenue contribution and cost of risk - Yape's lending now represents over 20% of revenue, with a shift towards multi-installment loans expected to maintain controlled provisioning levels [69][71]

Financial Data and Key Metrics Changes - The company closed the quarter with a 16.9% ROE and 19% for the full year, reflecting record high net income and diversification of revenue sources across various segments [18][46] - Net interest income increased by 4.2%, driven by loan portfolio growth and a contraction in interest expenses, resulting in a NIM of 6.6% [21][44] - The NPL ratio stood at 4.5%, indicating improved asset quality, while the cost of risk was 1.8% [21][43] Business Line Data and Key Metrics Changes - In Universal Banking, BCP reinforced its leadership in Peru, serving over 3.2 million loan clients and achieving a full-year ROE of 24.7% [10][27] - Microfinance, through Mibanco, delivered double-digit loan growth and improved profitability, with a NPA ratio of 5.3% [11][35] - Grupo Pacífico in Insurance and Pensions achieved a solid ROE of 21.4%, with net income rising 13% due to the full consolidation of the Banmédica transaction [38][40] Market Data and Key Metrics Changes - Peru's GDP grew around 3.5% in 2025, supported by strong domestic demand and high commodity prices [6][24] - Inflation in Peru closed at 1.5%, the lowest in seven years, while Colombia's inflation accelerated to 4.51% [25][26] - The mining investment pipeline for 2025 was estimated at $64 billion, up 17% from 2024, indicating a favorable investment climate [8] Company Strategy and Development Direction - The company aims to expand financial inclusion, deepen risk and capital discipline, scale AI and digital platforms, and build trust through operational excellence [15] - A strategic acquisition of Helm Bank for $180 million was announced to enhance cross-border capabilities and strengthen the U.S. offering [16][17] - The company expects to continue investing in data transformation and disruptive initiatives to bolster long-term competitive positioning [48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in Peru's economic stability and growth potential, despite political uncertainties, with expectations for GDP growth around 3.5% in 2026 [24][50] - The company anticipates loan growth of approximately 8.5% in 2026, driven primarily by retail banking and Mibanco [47] - Management highlighted the importance of maintaining sound capital levels and improving operational efficiency, with an expected efficiency ratio between 45% and 46.5% in 2026 [48] Other Important Information - The company reported a risk-adjusted NIM of 5.28%, reflecting improved pricing and risk management capabilities [45] - Yape, the digital wallet initiative, closed the year with nearly 16 million monthly active users, significantly contributing to revenue growth [13][32] Q&A Session Summary Question: Update on political outlook and upcoming elections - Management noted that López Aliaga is leading the polls with 12%, while Keiko Fujimori follows at 8%, with a significant portion of undecided voters [54][55] Question: Expectations for operating expenses growth - Management expects operating expenses to moderate compared to 2025, with continued investments in innovation and core business [61][62] Question: Insights on Yape's lending and cost of risk - Management confirmed that Yape is shifting towards longer-duration loans, which should keep the cost of risk controlled while enhancing revenue [70][73] Question: Growth expectations amid election year - Management indicated that economic activity is performing well, with consumer confidence at its highest since early 2020, suggesting potential upside risks for growth [75][76]

Financial Data and Key Metrics Changes - The company closed the quarter with a 16.9% ROE and 19% for the full year, reflecting record high net income and diversification of revenue sources across various segments [17][21] - Net interest income increased by 4.2%, driven by loan portfolio growth and a contraction in interest expenses, resulting in a NIM of 6.6% [20][44] - The NPL ratio stood at 4.5%, indicating improved asset quality, while the cost of risk was 1.8% [19][43] Business Line Data and Key Metrics Changes - In Universal Banking, BCP reinforced its leadership with over 3.2 million loan clients and strong retail lending growth [9] - Microfinance saw double-digit loan growth and increased profitability, with Mibanco achieving a 20% profitability rate this quarter [10][34] - Grupo Pacífico's ROE was 21.4%, supported by strong commercial dynamics, although net income dropped 1% due to decreased insurance underwriting results [37][38] Market Data and Key Metrics Changes - Peru's GDP grew around 3.5% in 2025, with domestic demand expanding close to 6%, supported by strong commodity prices and investment flows [5][23] - In Colombia, GDP growth was around 2.7%, while inflation accelerated to 4.51% following a minimum wage increase [7][25] - Chile's GDP also expanded around 2.7%, driven by investment, while Bolivia faced a contraction in GDP [7][8] Company Strategy and Development Direction - The company aims to expand financial inclusion, deepen risk and capital discipline, scale AI and digital platforms, and build trust through operational excellence [13] - The acquisition of Helm Bank for $180 million aligns with the strategy to enhance cross-border capabilities and serve affluent clients in the U.S. [14][16] - The company plans to continue investing in data transformation and disruptive initiatives to bolster long-term competitive positioning [48] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in entering 2026 from a stronger position, with expectations of continued economic growth and improved governance [6][23] - The outlook for Peru's GDP growth in 2026 is revised to around 3.5%, with total loan book growth expected to be around 8.5% [46][47] - Despite local political uncertainties, the fundamentals are in place to support profitability levels around 19.5% ROE in 2026 [49] Other Important Information - Yape closed the year with nearly 16 million monthly active users, significantly contributing to the company's risk-adjusted revenue [12][33] - The efficiency ratio for the year stood at 46.6%, with operating expenses growing 12% due to investments in innovation and core businesses [45] Q&A Session Summary Question: Update on political outlook and upcoming elections - Management noted that López Aliaga is leading the polls with 12%, and there is a high level of undecided voters at around 42% [54][56] - The elections are scheduled for April 12, with expectations of a more stable political environment due to the return to a dual chamber system [56][57] Question: Expectations for OpEx growth and digital initiatives - Management expects OpEx growth to moderate compared to 2025, with a target of 42% in cost to income over the mid-term [61] - Non-credit-related revenues are anticipated to grow in the double digits, driven by digital initiatives [64] Question: Yape's lending and cost of risk - The shift towards multi-installment loans is expected to maintain a controlled cost of risk, with risk-adjusted NIM remaining comparable [72] - Management confirmed that digital initiatives are expected to become accretive to ROE starting this year [80]

Core Viewpoint - The article emphasizes the importance of building a balanced investment portfolio that includes both technology stocks and defensive options, highlighting the need for intrinsic value and strong catalysts in investment decisions [1] Group 1: Investment Strategy - The company focuses on diversifying portfolios to ensure clients benefit from technology stock growth while maintaining investments in defensive sectors [1] - There is a strong preference for established technology companies and those in consumer staples and discretionary goods, prioritizing company value over market circumstances [1] Group 2: Experience and Expertise - The company has been actively managing third-party portfolios for seven years, with a focus on macroeconomic trends, stock valuation, and the interplay between politics and markets [1] - A Master's degree in Economics and experience as a consultant for public and private organizations contribute to the company's analytical capabilities, particularly in financial and economic aspects [1] Group 3: Challenges and Insights - The company acknowledges the difficulty of the investment principle "buying low and selling high," particularly during market crises such as those in 2020 and 2022 [1] - The experience with public tenders has provided insights into the pressures of market fluctuations, akin to the stress of stock market declines [1] Group 4: Social Responsibility - The company promotes financial inclusion programs for women in finance, recognizing the challenges and the need for further contributions in this area [1] - There is a commitment to expanding opportunities for women within the financial sector, reflecting a broader social responsibility [1]

Core Insights - The discussion emphasizes the necessity of leveraging technology, particularly artificial intelligence (AI), to enhance banking services and financial literacy, which is crucial for unlocking the country's potential [1][17]. Group 1: Technology in Banking - Technology is now essential for banks to sustain operations, with AI adoption being a key factor for institutional survival [5][6]. - The BFSI sector is recognized as the most digitally mature, carrying the responsibility to integrate emerging technologies into daily operations [18]. - There is a need for banks to focus on delivering better last-mile services through technology, rather than just improving efficiency [6][17]. Group 2: Leadership and Gender Inclusion - Leadership lessons from the banking sector highlight the importance of adaptability and value addition from the onset of leadership roles [8][9]. - Initiatives such as sabbatical leave for women and support for rural assignments were implemented to promote gender equality in career progression [11][12][14]. - Despite past successes in promoting women leaders, challenges remain in breaking the glass ceiling in the banking industry [15]. Group 3: Customer Service Challenges - Customer service remains an unfinished business in banking, with digital transformation introducing new risks, particularly for vulnerable populations [22][23]. - Continuous and scaled efforts are required to improve customer service, rather than relying on one-off initiatives [22][23].