Investment Shifting From U.S. To BRIC

Posted by Bull Bear Trader | 6/18/2008 10:30:00 AM | , | 0 comments »

Companies are expected to shift investment over the next five years from the U.S. to BRIC countries according to KPMG International, as reported at Financial News Online. As a result of the shift in investment, by the year 2014 China is expected to be the leading recipient of corporate investment worldwide, rising to 24%, while the U.S. falls to 23%. Of the BRIC countries, India is expected to have the largest shift in corporate investment during the next five years, going from 8% to 18% of worldwide corporate investment. Part of the shift is explained not only by the emergence and growth of the BRIC economies, but also by a desire for corporations (and investors in corporations) to diversify and take on greater international exposure.