Itau Unibanco Holding SA

“Itaú is the dominant private-sector bank in Latin America with a 22% ROE, genuine oligopoly protection, and a decade-long credit deepening runway — an exceptional business by almost any measure. The investment case is constrained not by business quality but by currency structure: BRL's chronic depreciation compresses USD returns to roughly 4-7% annually, the P/B of 2.25x sits at theoretical fair value leaving minimal margin of safety, and preferred shareholders hold zero voting rights. For USD investors, TRACK until a P/B compression to 1.6-1.8x or BRL stabilization provides a more compelling risk/reward entry.”