A note today on Bloomberg provides further insight into what we've been saying: the Brazilian middle
class is slowing down.
[caption align="alignright" caption="Brazilian high-end retail looks more attractive than other segments"] 
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Despite the sheer scale of this segment and its exciting growth, there are headwinds to sustaining growth
at the levels of the last five to ten years. This past year might have been the last hurrah in terms of investors blindly piling into Brazilian equities ( EWZ , quote ) in order to get exposure to staples and non-discretionary spending.
This note in Bloomberg points to luxury retail being more resilient, and the high-end mall operator Iguatemi Empresa de Shopping Centers SA has direct exposure to this segment. This has been one of the worst performers in the retail space over last six months and may be attractive at least on relative value.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
