AIG Investments seeks to capitalize on high-value private equity opportunities in Latin America arising from:
· Growing Consumer Purchasing Power. With greater and rising disposable incomes, consumers are buying more and better quality goods. In the process, they are providing the region with the type of consumer-driven growth engine that typically sustains more developed economies.
· Sustainable Competitive Advantages. The region is rich in many natural resources that are in high demand, and which are commanding high prices from buyers in Europe and Asia. The region also benefits from a surplus of low-cost labor.
· Economic Progress and Policy Consistency. Brazil, in particular, has maintained its commitment to a free market economy and tight monetary policies. It has done so by containing inflation, bolstering its balance of payments, repaying its debt and otherwise establishing the foundation for building a vibrant and sustained economy. Mexico and Colombia have exhibited similar stabilizing characteristics.
· Significant Supply/Demand Imbalance of Knowledgeable Private Equity Investors and Investment Opportunities. Many major companies have not secured capital on the public equity markets. While many entrepreneurs welcome private equity investment as a means to grow their companies, the region has been underserved by such investors. We therefore believe that there are ample opportunities with attractive fundamentals and strong potential returns.
Benefit From AIG Investments Experience: