HSBC to introduce property to Brazil Equity fund

The manager of the £1.6bn HSBC GIF Brazil Equity fund plans to introduce property into the portfolio when the outlook for inflation improves.

Jose Cuervo is bullish on domestic orientated stocks at present but expects to move into more interest rate sensitive areas before the end of the year.  “We are more positive on domestic consumption sectors including food manufacturers and certain retailers as well as some defensive sectors such as healthcare and education,” he says. “The fund will probably retain these exposures until the time comes to consider interest rate sensitive sectors including property, which should happen once most of the rate rises have taken place and inflation expectations have stabilised.  “Before we...