Battered Brazilian Bank Still Offers 8.66 Percent Yield
Battered Brazilian Bank Still Offers 8.66 Percent Yield (24/7WallStreet)
Brazil has taken a beating this year, at a time when it was supposed to shine. The 2014 World Cup will focus billions of eyes on the country, and what they see won’t be pretty. The country’s benchmark BOVESPA Index is down about 12.3 percent for the year, Inflation is nearly 6 percent a year, amid one of the worst droughts in 40 years. Interest rates stand at an eye-popping 10.75 percent, and taxes are high. Yet Banco Bradesco (BBD), the country’s largest bank, is still paying a monthly dividend with an 8.66 percent yield. If BBD can maintain its dividend in this climate, what’ll it do when millions of people and dollars flood the country for the World Cup? It is worth keeping an eye on, don’t you think?