Brazil in the aftermath of the election
This week, Tundra portfolio manager Simon Sidmalm is in São Paulo to meet with companies and get an update on the situation following the turbulence surrounding the presidential election. After the re-election of incumbent President Lula da Silva for another four-year term, the Brazilian stock market fell sharply amid concerns that Lula’s expansionary policies could further worsen the country’s debt situation and keep interest rates elevated for an extended period.
Throughout the week, we are meeting with around 20 companies and engaging with local analysts and asset managers to assess how much of the market decline reflects underlying fundamentals versus excessive investor fears, while identifying potentially attractive investment opportunities.
