By the end of 2014, the Brazilian banking industry experienced anomalies that surprised the entire world. Brazil hasn’t experienced economic growth in the recent past due to the populist policies of Dilma Rousseff. Itau Unibanco (ITUB) and Banco Bradesco (BBD) are the top two banks in Brazil that saw their shares grow by one-third even as the country’s economy suffered in 2014.
Interestingly, the two banks had notable profit increases: Bradesco’s rose by 28% while that of Itau rose 36% as compared to the year 2013 as was reported on prnewswire.com early 2015.
Igor Cornelsen’s advice for investors
According to an outlook by experienced Brazilian banker, Igor Cornelsen, these top banks managed to survive the storm because they’re used to such turbulent times and know the market extensively. The bankers lend to borrowers because they’re the most worthy of credit. Cornelsen says that by doing so, it enables the banks to develop a sense of security and streamline their costs.
This means that citizens with poor credit scores end up forgoing their business plans and cash-based spending, and that affects the macro-economy of the country and its development. The government can only achieve the overall growth by making investors feel secure when it instills market-oriented reforms coupled with fiscal austerity. Learn more about Igor Cornelson: https://bs.linkedin.com/in/igor-cornelsen-86830840 and http://igorcornelsenbr.snappages.com/
Brazil is one of the most attractive markets for investors interested in investing in South America because of its many resources and the need for infrastructure development that supports its population sufficiently. Brazil is the largest nation on the continent and one of the world’s big food producers.
Igor Cornelsen feels that although most investors are not aware of the booming market of Brazil, it still remains a fascinating example for them to keep monitoring as 2015 starts. He further explains that any investor ought to study the bare-bones, the basics of every market that he or she intends to invest in before investing.