Goldman Sachsm BRICs - 692 Words

In 2003, Goldman Sachs issued an investment report that coined the now-famous acronym, BRICs, to jointly refer to the economies and states of Brazil, Russia, India, and China. At the time, these four countries only accounted for a fraction of global Gross National Product. It is believed that between 40 and 50 years from now, these nations may catch up to the OECD countries, countries which include the United States, Germany, the United Kingdom and over a dozen others, in economic ability and performance. By means of standard of living, political agenda, and religious and cultural background, the BRICs represent four incredibly diverse countries. All, however, are marked by large economic growth potential and have caught the attention and dollars of international investors everywhere. China has become one of the fastest growing nations in the world, having growth numbers close to double digits for the past fifteen years. Understanding the linkage between China’s growth and Brazil’s growth is essential for investors and globally-aware individuals alike. When large oil reserves were found off the coast of Brazil in 2012, emerging-market investors began to take a peaked interest in the country. While emerging-markets are considered high-risk economies with potential for high-reward investment returns, Brazil’s democratic, established political atmosphere only added to the incentives to invest in Brazil. The idea stood that as long as China continued to grow and demand