Two hot Brazilian stocks to buy now

While investors should avoid many firms in Brazil, there some promising exceptions, says professional stock picker Xavier Hovasse. Here, he tips two such Brazilian stocks to buy now.

Each week, a professional investor tells MoneyWeek where he'd put his money now. This week: Xavier Hovasse, fund manager, Emerging Markets Equities, Carmignac Gestion.

In 2012, the Brazilian stockmarket, the Bovespa, was worse hit than the Chinese market as investors fled risky assets. An interesting change also occurred. Traditionally, interest rates and stockmarkets are inversely correlated (as rates fall, markets rise, and vice versa). But unusually, massive interest-rate cuts failed to stimulate the Brazilian market. Much of this was down to issues in the real-estate sector, which plunged despite normally being the biggest beneficiary of declining interest rates.

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MoneyWeek is written by a team of experienced and award-winning journalists, plus expert columnists. As well as daily digital news and features, MoneyWeek also publishes a weekly magazine, covering investing and personal finance. From share tips, pensions, gold to practical investment tips - we provide a round-up to help you make money and keep it.