Patrimonial sees Brazil’s debt burden rising as fiscal challenges persist
TLT•Patrimonial cut Brazilian equity exposure and said debt-to-GDP is likely to rise gradually, while Brazil’s Copom held interest rates at 13.75%.
1. Portfolio positioning
Patrimonial Gestao de Recursos cut Brazilian equity exposure in its October 2026 market review and retained substantial holdings in inflation-linked securities. It described persistently high interest rates and a challenging environment for Brazil’s private sector, while keeping credit positioning conservative and maintaining small international equity and gold holdings.
