From sector specialization to long-term partnerships with entrepreneurs, Patrice Etlin, a Managing Partner in Advent’s São Paulo office, shares his perspective on the regional landscape, the firm’s strategy, and what continues to inspire his work.
How important is a deep sector focus as a strategy for the region?
Sector focus is a real differentiator for us. Many of the funds we compete with in the region are generalists. Having built expertise in specific industries over decades makes us very credible with family owners and entrepreneurs. It allows us to speak their language, understand their businesses, and create value in ways that resonate both locally and globally.
Beyond sector specialization, what differentiates Advent’s approach in the region?
A key factor is our dedicated program for Latin America and the fact that we have been present in the region for almost three decades. The fact that we have gone through different economic cycles gives us a lot of credibility. When we sit down with families, entrepreneurs, they look to us not only as an investor, but as a partner with a long term view who is able to help them grow their business in a usually very volatile environment. In addition, we are able to give them access to all the firm’s resources, from our Operating Partners and Portfolio Support Group, to data science and other infrastructure.
2024 was a strong year for Advent in the region. What factors contributed to that performance?
For almost three decades, we have focused our efforts on building businesses that we could successfully exit and sell to strategic players. The fact that liquidity has become scarce in the global system over the last three to four years didn’t change our business model. We continue to build companies that we sell to strategic buyers, and we did that very successfully in 2023 and particularly in 2024, which was a record year for us in terms of exits. This is the result of a strategy that holds up independently of market cycles.
What continues to inspire you about your work after three decades in the region?
The privilege of working with extraordinary entrepreneurs, families, and management teams. Their energy, creativity, and ambition are contagious. Having the opportunity to partner with them across different sectors and geographies in Latin America keeps me inspired and motivated every day.
What advice would you give to someone building a career in private equity in Latin America?
First, master the fundamentals. You need to be fluent in analytics – moving seamlessly from a P&L, to a balance sheet, to a cash flow statement. That has to become second nature. Then, as you grow, interpersonal skills become equally critical. In this region, trust and long-term relationships with families and entrepreneurs often make the difference in winning a deal.
Having invested in Latin America for almost 30 years, what lessons stand out?
The region is volatile, so it’s essential to filter out macro noise and focus on the fundamentals of each investment: the quality of the business, the strength of the management team, and the partnership with the owners. Those are the factors that drive long-term success, regardless of economic cycles.
Looking ahead, I’m optimistic and believe that it is a great moment to have capital to deploy. Liquidity is scarce and competition is limited, so we’re in a strong position to invest in a buyer’s market.
Which sectors do you see offering the greatest opportunities today?
We see sizable opportunities in consumer, retail, financial services (particularly payments and software infrastructure) and in technology-driven business models more broadly. These areas align with global trends but also address specific local needs, which makes them especially compelling in Latin America.
