by J. Christoph Amberger
Venezuela’s reelected president Hugo Chavez went back to the business of renationalizing private companies. Yesterday, he announced plans to have the government take over Venezuela’s electrical and telecommunications companies.
According to him, these are “strategic sectors” that he feels are better off in his hands than in the hands of the markets and investors.
The New York Stock Exchange halted trading in Compania Anonima Nacional Telefonos de Venezuela, whose ADR trades under the symbol VNT:NYSE. Still, the stock plummeted over 14%.
This is a good time to reassess stock and mutual fund positions from Venezuela, Bolivia and Ecuador in your portfolios. Chavez and his narco- and petro-communist bobbleheads in the region represent a threat to any of your assets that are invested in these countries.
Get rid of them while you can still get money for them.