Brazil: a land of economic opportunity?
Brazil is a large country with huge potential. This Latin American nation began a prosperous journey after the year 2000. It has lasted until 2014. The commodity boom had ended and the country has fallen into recession.
What’s more, there’s growing political instability in this nation of 200 million people. Just recently, the nation’s president, Dilma Rousseff, has been removed from the office while corruption investigation takes place.
Yet, many investors feel the country offers great long-term opportunities. Igor Cornelsen, a former top investment banker in Brazil who now lives in the States, has some advice for those looking to invest in his homeland.
One important thing, he claims, is to establish good partnerships with the local entrepreneurs. If reliable partners are found, then doing business in Brazil should be easier. After all, the local people know all the ins and outs.
Igor Cornelsen also advises to get ready to deal with massive bureaucracy and excessive regulations. That’s part of doing business in Brazil. And it’s another reason to team up with the locals as they know how to handle it better.
Finally, investors are advised to learn all the rules about repatriating profits from Brazil. In fact, different exchange rates apply depending on the types of transactions performed. This is crucial as it can cut into profits.
Although Mr. Cornelsen is currently retired from banking, he still gets involved in investment management and also likes to spend some of his time playing golf in Florida.