Brazil May Allow Some Funds to Invest 100% Overseas, Folha Says - Bloomberg.com

Brazil May Allow Some Funds to Invest 100% Overseas, Folha Says

Nov. 20 (Bloomberg) -- Brazil’s government may allow so- called multimarket funds to invest entirely in overseas assets, eliminating a 20 percent limit on foreign holdings to help curb the appreciation of the real, Folha de S. Paulo reported, without saying where it got the information.

Multimarket funds are for high-risk investors and can hold fixed-income assets, currency, gold, shares, options and other financial instruments, Folha said.

Finance Ministry spokeswoman Patricia Mesquita declined to comment when contacted by Bloomberg News today.

To contact the reporter on this story: Laura Price in London at lprice3@bloomberg.net
Last Updated: November 20, 2009 05:54 EST"