The 4th Pillar: August 2023

In this resource we've covered...

It is the height of summer across the Northern Hemisphere.

In theory, this is when markets are quiet, but it seems like we can't even let a month go by without some significant news.

This time it is ratings agency Fitch downgrading US Government debt from the prized AAA rating to AA+ citing "erosion of governance". It has taken them fully 12 years in joining their competitors at S&P in making this judgement.

Whether this has any short term impact is beyond my determination.

However, we should view it as another sign post that it is becoming increasingly difficult to reconcile large deficits, higher interest rates and the long term fiscal sustainability of Governments across the western world.

This is why for us all roads lead to real assets.

This month we highlight a continent that is well placed to benefit from these trends, and a company operating there, that is providing both top line growth and excellent shareholder returns.

We also provide an update on Dynacor as well as selling a company from the legacy portfolio.

Brazil is the country of the future… and always will be Charles De Gaulle The mocking remark is often referenced when discussing the fortunes of the Brazilian economy. Yet perhaps the reason the remark has been so enduring is that it likely touches a nerve.  In fact, I would broaden the comment to the entire…

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