This investigation examined acculturation risk factors and cultural assets, internalizing behavioral problems, and self-esteem in 323 Latino adolescents living in North Carolina. Multiple regression analyses revealed two risk factors--perceived discrimination and parent-adolescent conflict--as highly significant predictors of adolescent internalizing problems and low self-esteem. Adolescents who were highly involved in Latino culture and who experienced high parent-adolescent conflict were found particularly at risk for internalizing problems. Biculturalism and familism were cultural assets found associated with fewer internalizing problems and higher self-esteem. For internalizing problems, familism's protective effect was mediated by parent-adolescent conflict. Implications were discussed.