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JPMorgan Chase is undeterred by political shifts in Latin America (NYSE:JPM)

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JPMorgan Chase (NYSE:JPM) will continue to boost its presence in Latin America in the next few years as it expects the region’s geopolitical outlook to improve, Reuters reported Wednesday, citing an interview with the bank’s chief executive for Latin America and Canada.

Alfonso Eyzaguirre said political shifts to new left-leaning governments won’t dissuade the company from its plans as he doesn’t see short-term volatility affecting long-term prospects.

Latin America stands to profit from some global shifts, he said. For instance, Mexico, stands to benefit from nearshoring trends.

“One example is the increase of foreign direct investment fueled by nearshoring, the transfer of part of manufacturing from China to Latin America to weather supply chain disruptions since the COVID pandemic,” he said.

JPMorgan (JPM) has been increasing headcount and new services for corporate clients in Latin America, to ~6,200 employees in the region this year from 4,750 in 2020.

In its retail arm, the Wall Street bank has operations in Brazil, with its 40% stake in C6 Bank. “We chose Brazil due to the size of the population, high internet usage, as well as central bank regulations already adapted to fintechs,” Eyzaguirre said.

Earlier this month, JPMorgan (JPM) said it’s opening a new office in Athens, Greece, that will house a new Payments Innovation Lab.

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