Blackrock Latin American
Market cap £181m Discount 12.4%
The B in Bric had proved a bit of a disappointment even before the Germans walloped them 7-1 this summer. Foreign investors, as well as football fans, have rather fallen out of love with Brazil.
The country is in recession. Inflation is stubbornly high. The real has been drooping. Bankruptcies are soaring. The economy is in danger of being downgraded by the international credit ratings agencies. The Ibovespa, São Paulo’s answer to the Footsie, is no higher than it was five years ago.
A surprise in the first round of the presidential elections on Monday, though, jolted Brazilian shares into life. The results suggested that PSDB, the pro-business opposition party, could have a chance of dislodging the