November 20, 2009
We like Brazil for a whole host of reasons. Some being the population growth, some being the vast commodities that actually back their economy. Then there is the great deep-well oil through PetroBras (PBR). Of course we have liked the juicy returns that we received as investors in the sector this year and the outlook for the next 12 months.
BUT… The latest moves to cool the appreciation of the Real (Brazil’s dollar) has us wondering the lengths that they will go to scare of foreign capital. Just a couple of weeks a go they slapped on a 2% tax for foreign inflows and yesterday we hear that Brazilian ADRs will have a 1.5% tax added that they hope will Read more