Why Brazil is a gem among emerging markets

ON EMS

Winning the 2014 World Cup bid has put Brazil's infrastructure under the spotlight. The massive potential for redevelopment, alongside a massive and increasingly wealthy population makes the country ripe for investment, says Invesco Perpetual's head of emerging market equities Dean Newman.

With a population approaching 200 million people, we believe that Brazil offers attractive long-term investment opportunities. Average household wealth in the country has almost tripled since 2000, rising from US$7,900 per adult to US$23,000 according to Credit Suisse’s Global Wealth Report 2013.  Current wealth is now comfortably above the level reached before the global financial crisis in 2008, unlike the UK where average earnings have failed to keep up with the cost of living over the past five years. Domestic demand conditions in Brazil remain resilient, supported by growth in re...