Brokers Face Mounting Woes as Milei Bet Fades: Shock Therapy (1)

A slide in local assets, lingering capital controls and an economy still shunned by foreign investors are deflating hopes for a boom in Argentina’s capital markets, weighing on small brokerage firms that had bet on a revival after President Javier Milei took office two years ago.

That reality came into focus on Sept. 11, when CNV, the country’s securities regulator, reminded firms they must disclose losses exceeding 15% of equity — a rule meant to trigger recapitalization if needed. “We thought it appropriate to remind brokers of their obligation, which is set out in the regulations,” a CNV spokesperson said. ...