FAP Turbo

Make Over 90% Winning Trades Now!

Tuesday, July 7, 2009

Investing in BRIC Countries

By Michael Swanson

Last year there was a horrible stock market crash that took down stock markets all over the world. This year though there has been a nice rebound since March. Most people don't know it, but markets of the so called BRIC nations have been going up more than the stock market in the United States.

BRIC stands for Brazil, Russia, India, and China. The next four decades are going to see the biggest global growth come from these four countries. They are the future. That means that some of the best long-term investments we can make now will be in these countries.

An analyst at Goldman Sachs first put the letters together BRIC in 2001. He said that the BRIC countries would see their economies grow to become bigger than the biggest world economies as they are right now. He said buy investments in those countries to get in on the growth.

Investing is like real estate it is all about location and buying at the right time. Japan for instance right now is the second biggest global economy. But in 2050 it will slip to number eight in the world rankings and India will go to third place. India is number twelve now. It makes more sense to own stocks in India than it does to own stocks in Japan.

The United States is even expected to slip from its current number one spot to number two by 2050. It will be passed by China, which has the most number of people living it in the world. China is already experiencing high economic growth and its stock market was among the best performing stock markets in the whole world over the past five years.

Brazil is worth keeping an eye on. People don't know it, but while the world is in recession Brazil's economy is still growing. The world recession isn't happening in Brazil.

All of these economies are also linked to high commodity growth and the US of energy. The leaders of these countries recently met with the help of Russia to coordinate and work together in a high level economic summit last week. All eyes are on them, because they are the future.

US investors can find opportunities to invest in the BRIC countries. There are exchange traded funds that track each country individually and one that is linked to all of them. There are also individual stocks from these countries that have dual listings on US exchanges. Huge opportunities to make great investments exist in these stocks. - 23162

About the Author:

0 Comments:

Post a Comment

Subscribe to Post Comments [Atom]

<< Home