Foreign investors return to Brazil as perceptions of the country improve.
These investors remain concerned about Brazil's fiscal situation, as demonstrated at an event held by Credit Suisse bank in São Paulo.
247 - Foreign investors are returning to Brazil, as demonstrated at an event held by Credit Suisse bank in São Paulo, according to a column in Broadcast, a newspaper. The State of São PauloThe event brought together 3 people, including European and North American investors, managers, analysts, and high-net-worth clients.
According to the report, however, these investors are still concerned about Brazil's fiscal situation, "visible in the presentations and private conversations with 130 companies from Latin America (there were 7 meetings in two days of the event)." Investors also question the new government's potential structural reforms. "The reforms are still a question mark," says Credit Suisse CEO Marcello Chilov.
Despite the questioning, according to the banker, it became clear that the external perception of Brazil had distinctly improved. According to him, investors want not only short-term opportunities, but investments with a longer horizon.
Among the areas of interest are bets on energy transition, food production, and sustainable investments. However, investors have doubts about initial public offerings (IPOs). These have been stalled in the country since August 2021. "The window for IPOs in general is not clear in the world. It's not a situation unique to Brazil," says Chilov.
High interest rates in most countries discourage investors from seeking risk, the column says.