LONDON, Dec 9 (Reuters) - Brazilian fund manager Bradesco Asset Management said on Tuesday it had joined with British index provider FTSE Group to launch a fund and index aimed at investing in Latin American stocks.
Both are built using 'smart-beta' principles, so instead of focusing on market capitalisation, the index will be built using factors such as volatility and relative valuation, to help provide investors access to different types of returns.
The Bradesco Global Funds - FTSE Latin America Quality Value Equity fund would add value through exploring stocks from companies in Brazil, Chile, Colombia, Mexico and Peru that have reasonable valuations, Bradesco said.
Emerging market stocks are down 2.5 percent year to date, weighed particularly by falls in Russia. Latin-American economies such as Mexico and Brazil are also facing a weaker outlook in 2015.
Parent Banco Bradesco SA on Monday said Reinaldo Le Grazie, head of fixed income and hedge funds, would replace Joaquim Levy as chief executive of the asset manager, after Levy took a job as Brazil's finance minister. (Reporting by Simon Jessop)