Investors could generate significant returns from the Brazilian market, an economist has claimed.
Writing in the recent IRS Report, Chris Gilchrist notes that Brazil and India have advantages over Russia and China, all four of which represent the BRIC economy.
According to the report, the two countries both offer high business profitability, given that they have functioning democracies and legal systems.
Mr Gilchrist points out that Brazil in particular is a good
investment choice, as it has quickly moved towards industrialisation and consumerism.
With the 2016 Olympic Games due to take place in Rio de Janeiro and the World Cup in 2014, the country is likely to experience substantial financial growth.
Mr Gilchrist writes: "The nation is set for a massive boost both economically and psychologically. Some $50 billion will be spent before the World Cup and at least a further $15 billion on Rio before the Olympics."
One of the ways UK investors can target Brazil is through the
JPMorgan Brazil Investment Trust which launched at the end of last month.
Gilchrist added that India also represents a good
investment opportunity as - like Brazil - it benefits from good economic management.
Profitability in both countries is likely to rise, says the economist, as Brazil emerges from under
investment and Indian businesses benefit from "deregulation and economies of scale".
