What Brazil's election result means for EM investors

What Brazil's election result means for EM investors

Richard Titherington, chief investment officer for emerging market equities at J.P. Morgan Asset Management, explains what Dilma Rousseff's election win could mean for investors in Brazil.

Brazilian equities have had a turbulent ride immediately following the narrow victory of Dilma Rousseff in their presidential elections. This continues a trend we hve observed for much of the year, in that Brazilian stock price movements are proving to be more a function of politics than they are of company fundamentals. In terms of what investors can expect from a post-election Brazil, with 70% of the population expressing a desire to see change in the country and just under half of voters choosing her opponent, the administration of Dilma Rousseff will be under significant pressure to ...