Posts Tagged ‘ETFs’

Brazil Small Cap Companies Cash in on $80 Billion Count Down to World Cup 2014 in Brazil – Midas Medici Group Holdings, Inc. (OTCBB:MMED) is in the Hunt

Tuesday, October 4th, 2011

To make money in investing in any emerging market you want to find a small company that is growing
exponentially, trading well below its value while its sales are going through the roof. Well that’s true for
any market but the trick for the individual investor is to track down such a company in the early stages to
optimize return.

Let’s take a look at Brazil, The Brazilian economy is the 7th largest economy in the world with a growth
rate of 4-5% . This type of steady growth makes Brazil appealing. Brazil is not dependent on any
foreign oil, is a leader in alternative energy and produces more ethanol than Europe and Asia not to
mention that Brazil is the second largest producer of iron ore in the world.

With a steady work force and abundance of natural resources Brazil has become very active in
manufacturing everything from the jet aircraft to washing machines along with phenomenal IT and
Telecom development.

We no longer look at Brazil as a country with an unstable currency or super inflation rather a mega
opportunity for investment.

For one thing Brazil is hosting World Cup 2014 and on Sep. 30th the Brazilian government just announced
$3.25 Billion in tax cuts to telecommunications companies who will improve their networks over the next
three years.

That means about $11 Billion in additional investment in the IT and Telecom sectors. This is in addition
to the already committed $80 Billion plus Brazil is spending on preparations for The World Cup which is
less than 1000 days away!

Now rather than buying into Brazilian mutual funds ETF’s, GTF’s or ADR’s we want to buy a Brazilian
small cap stock that trades on the US stock market that we can buy through our regular U.S. brokerage
account through a broker or on-line.

One Brazilian Small Cap company who just recently became public in the United States is Midas Medici
Group Holdings, Inc. The stock trades here and the symbol is (MMED:US) or (OTCBB:MMED).

MMED is one of those companies who will benefit from the slough of investment money to the IT and
Telecom industries. For example they just announced a new $2,000,000 contract for IT upgrades for
public offices in Santa Catarina, Brazil and another $3 million contract from CEMIG (NYSE: CIG) to
improve its data centers in Brazil.

According to Larry Isen, editor of “The OTC Journal”, the company is expected to have revenues
exceeding $130,000,000 in 2011 with its acquisition of Brazilian IT firm Cimcorp who had over
$80,000,000 in revenues in 2010.

After a little research I found out that the company only has 10 million shares issued and outstanding
and is trading at around $3.50 per share. MMED should be trading at around $10 or more based on its
current status and expected growth according to industry experts.

The company has also just announced that it will be applying to trade on a major exchange and it already
seems to qualify for either the NASDAQ or AMEX.

It’s a newly traded company here and no one seems to know about it but the stock play is compelling.
The company website is www.midasmedici.com <http://www.midasmedici.com>

There is also a YouTube video available, just search Midas Medici on YouTube.

http://www.youtube.com/watch?v=hvh-MuhP9x0 <<== Watch Video

Midas Medici Group Holdings, Inc. (OTCBB: MMED) is a green IT company that supplies mid-sized
and select enterprises and institutions with leading-edge IT solutions in the fields of virtualization, cloud
computing and data management, as well as working with utilities and other institutions to transform the
electric grid through digital technologies in the United States and Brazil.  Across its CIMCORP, Consonus
and UtiliPoint brands, Midas works with its customers by optimizing IT and data center investments,
cutting energy usage and preventing data loss, all while maximizing productivity.  Through a management
team with decades of experience, Midas is positioning itself to take advantage of the high-growth IT
industry through its unique specialized services at the intersection of energy and technology.

IT and Telecom Companies who will benefit from World Cup 2014 in Brazil; $11 Billion in New Investment

Sunday, October 2nd, 2011

In a world full of undiscovered opportunities its time to take a good look at investing in Brazil.  Brazil’s steadily growing economy, stable financial market and  liberal investment climate makes Brazil a good choice when considering investing in emerging markets.

 

Brazil, continues to exhibit many new growth opportunities as we should expect from any emerging market.  However, for direct investing in Brazil one needs to comply with various regulatory procedures which makes it complicated for the individual investor such as having a brokerage account in Brazil and a Brazilian bank account!

 

There is also the offshore investment route which provides opportunity to invest  in Brazilian stocks through ADRs (American Deposit Receipts), GDRs (Global Depository Receipts), and ETF’s (Exchange Traded Funds) and mutual funds of the like in global markets but then again you are still limited in the mutual fund malaise.

 

The Brazilian economy is the 7th largest economy in the world with a growth rate of 4-5% .   This type of steady growth makes Brazil appealing.   Brazil is not dependent on any foreign oil, is a leader in alternative energy and produces more ethanol than Europe and Asia not to mention that Brazil is the second largest producer of iron ore in the world.

 

With a steady work force and abundance of natural resources Brazil has become very active in manufacturing everything from the finest jets to washing machines along with their ever advancing IT and Telecom development.

 

We no longer look at Brazil as a country with an unstable currency or super inflation rather a mega opportunity for investment but how?

 

The BM&F Bovespa is their main exchange which we can’t just pick a company and buy stocks from our E-Trade account or on the Sao Paulo Exchange.  We would have to have an account there with a Brazilian broker and a Brazilian Bank Account. Seems pretty complicated.  Then as I mentioned we can buy the indexes but even then we aren’t real close to our desired investment.

 

Then I realized there must be some Brazilian companies that trade on the NYSE, or other US Exchanges and I was right.  Brasil Telecom (NYSE: BTM  Embraer (NYSE: ERJ) , Petroleo Brasileiro (NYSE: PBR) , CPFL Energia (NYSE: CPL) ,  Sadia (NYSE: SDA)

 

However all of these companies are the big established stayed and true slower growh companies that are more like blue chip companies.  I mean these aren’t the three to four times your investment kind of companies we’re looking for.  We’re looking to double or triple our money and the way to do that is to look at the small cap companies.

 

To make money in investing in an emerging market like Brazil you want to find a small company that is growing exponentially, trading well below its value while its sales are going through the roof.  Whats more one that I could purchase through my broker in the United States or On-Line.

Two Things are happening right now in Brazil to bring in the focus  even tighter.

 

For one thing Brazil is hosting World Cup 2014 and the Brazilian government just announced $3.25 Billion in tax cuts to telecommunications companies who will improve their networks over the next  three years.

 

That means about $11 Billion in additional investment in the sector.  This is good news for everybody.

 

One Brazilian Small Cap company who just recently became public in the United States is Midas Medici Group Holdings, Inc. The stock trades here and the symbol is (MMED:US) or (OTC:MMED)

Midas is an innovative green IT company in the fields of Smart Grid Solutions, Virtualization, Cloud Computing and Data Management.

 

MMED is one of those companies who will benefit from the slough of investment money to the IT and Telecom industries.

 

According to Larry Isen, editor of The OTC Journal,  the company is expected to have revenues exceeding $100,000,000 in 2011 with its acquisition of Brazilian IT firm Cimcorp who had over $80,000,000 in revenues in 2010.   The OTC Journal recently picked up coverage of MMED.

This is one of those opportunities that should be acted on.  After a little research the company only has 10 million shares issued and outstanding and is trading at around $2.50.  MMED should be trading at $10 or more based on its current status and expected growth according to industry experts.

 

It’s a newly traded company here and no one seems to know about it but the stock play is compelling.  The company website is www.midasmedici.com <http://www.midasmedici.com>

There is also a YouTube video available, just search Midas Medici on YouTube.

We’ll be on the look-out for other opportunities like MMED in Brazil but this is a solid BUY by any measure.

Check out the coverage of Midas Medici Group Holdings, Inc. (OTC:MMED) at www.otcjournal.com where Larry Isen is following the company.