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Why Brazil? Why BRAZ?

May 16, 2024

View all Malcolm Dorson's ArticlesMalcolm DorsonMalcolm DorsonView all Trevor Yates's ArticlesTrevor YatesTrevor Yates

We believe Brazil presents one of the most attractive cyclical opportunities in emerging markets, if not the world. In our view, the country stands out as a rich backdrop for investors, due to its large and diverse economy, abundant natural resources, growing consumer market, infrastructure development, and skilled workforce. Near term, we think that prospects are further brightened by attractive valuations and a monetary policy loosening cycle. We believe that investors should balance valuation multiples with a company’s prospects for both earnings growth and reinvestment rates, and we see many attractive opportunities for stock picking in Brazil. The Global X Brazil Active ETF’s (BRAZ) approach seeks out companies that are likely to benefit from both bottom-up and structural tailwinds, with moats helping them standout from competition, management teams aligned with minority shareholders, and clear near- and long-term catalysts, exhibiting growth at a reasonable price characteristics. View the full report here.

Related ETF

BRAZ – Global X Brazil Active ETF

Click the fund name above to view current performance and holdings. Holdings are subject to change. Current and future holdings are subject to risk.

 

 

Category: Articles

Topics: Emerging Markets

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This material represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the funds or any stock in particular. Some of the statements contained in this material may be forward-looking and contain certain risks and uncertainties.

Investing involves risk, including the possible loss of principal. International investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from social, economic, or political instability in other nations. Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume. Securities focusing on a single country may be subject to higher volatility.

BRAZ is non-diversified. BRAZ is actively managed, which could increase its transaction costs (thereby lowering the fund’s performance) and could increase the amount of taxes you owe by generating short-term gains, which may be taxed at a higher rate. As actively managed funds, BRAZ does not seek to replicate a specific index. There can be no guarantee that active management strategies and processes will be successful.

Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.

Carefully consider the fund’s investment objectives, risks, and charges and expenses before investing. This and other information can be found in the fund’s full or summary prospectuses, which may be obtained at globalxetfs.com. Please read the prospectus carefully before investing.

Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC or Mirae Asset Global Investments.