The WisdomTree Brazilian Real Strategy ETF (NYSEArca: BZF) is one of this year’s best-performing currency exchange traded funds. BZF is higher by 7.3% year-to-date, a pleasant surprise when considering the Brazilian central bank’s new found penchant for lowering interest rates.

Some currency market experts believe that with Latin America’s largest economy on the mend, the real offers more upside.

While there can be no guarantees of more rate cuts in Brazil, some traders are betting on more coming later this year. Brazil’s central bank slashed rates earlier this year and many market observers believe it is a foregone conclusion more rate reductions are coming. Those expectations come as Latin America’s largest economy resumes growing this year.

Brazilian stocks have rallied this year and banks in Latin America’s largest economy appear inexpensive, those institutions are faced with declining consumer credit quality. Additionally, some Brazilian states have recently delayed payment to public workers, potentially crimping the ability of those workers to repay loans taken from Brazilian banks.

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