The Investo MarketVector Brazil Global Exposure ETF (BXPO11) is a Brazilian exchange-traded fund designed to track the performance of the MarketVector™ Brazil Global Exposure (BRL) Index, a benchmark focused on Brazilian companies with significant revenue exposure to international markets. 

Managed by Investo Gestão de Recursos Ltda., the ETF trades under the ticker BXPO11 on the B3 and provides investors with exposure to globally oriented Brazilian companies.

Classified as an equity ETF, BXPO11 follows a passive management strategy. The fund seeks to replicate the performance of its benchmark by investing in Brazilian companies whose businesses generate a substantial portion of their revenues outside Brazil.

The index is designed to distinguish globally exposed Brazilian companies from businesses whose revenues depend predominantly on the domestic economy. As a general rule, companies entering the Global Exposure Index must derive at least 50% of their revenues from outside Brazil.

Composition / Exposure Profile

BXPO11 provides exposure primarily to:

• Brazilian companies with significant international revenue exposure.

• Export-oriented businesses.

• Materials and commodity-related companies.

• Consumer and industrial companies with global operations.

• Energy businesses.

• Brazilian equities with exposure to international economic conditions.

The portfolio currently consists of 20 companies. The MarketVector Brazil Global Exposure Index uses a modified weighting methodology rather than relying exclusively on market capitalization. 

Components are weighted using three factors: free-float-adjusted market capitalization, the value of revenues generated outside Brazil, and the percentage of total revenues derived from international markets. The methodology generally caps individual security weights at 8%, helping limit concentration in the largest companies.

Structure and Costs

BXPO11 shares trade on the secondary market on the B3 during regular trading hours. Share creation and redemption are carried out through authorized participants according to the procedures established by the ETF structure.

The fund charges a management fee and other expenses established in its governing documents. It does not charge a performance fee.

BXPO11 does not guarantee recurring income distributions. Dividends and other proceeds generated by portfolio holdings are incorporated into the fund according to its distribution policy and governing documents. The ETF has an indefinite term.

History and Evolution of the ETF

The Investo MarketVector Brazil Global Exposure ETF was launched in 2022 to provide investors with exchange-traded access to Brazilian companies whose revenues are significantly exposed to international markets. BXPO11 was launched alongside BDOM11, its domestic-exposure counterpart. 

While BXPO11 focuses on Brazilian companies generating most of their revenues abroad, BDOM11 targets businesses whose revenues are predominantly generated within Brazil. Together, the strategies were designed to separate Brazilian equities according to their underlying economic exposure rather than simply their country of listing.

Since its launch, BXPO11's portfolio has evolved alongside changes in corporate revenues, market capitalization, liquidity, and international exposure. Its performance has reflected conditions affecting globally oriented Brazilian companies, including commodity cycles, international demand, global economic growth, corporate earnings, and changes in Brazil's competitiveness in international markets.

Additional Information

Investo MarketVector Brazil Global Exposure ETF (Brazil) is an exchange-traded fund (ETF), with assets under management totaling $15.48 million.

Over the past 12 months, Investo MarketVector Brazil Global Exposure ETF recorded a return of 16.46%, with its price trading between $127.52 and $165.90 during the same period.

The ETF is traded under the ticker BXPO11.