Advertisement

The Capital Market: Normalisation and Development of Financial Intermediaries

  • Francis A. Lees
  • James M. Botts
  • Rubens Penha Cysne

Abstract

One can view the development of Brazilian capital markets as encompassing four specific but related developments. In a broad sense all four are tied together, and in various ways contributed to the deepening of the financial markets. These four specific developments include:
  1. 1.
    Normalisation
    • Legislation of 1964–5

    • Legislation of 1976–7

     
  2. 2.

    Development of the stock market

     
  3. 3.
    Promotion of capital market institutions
    • Fiscal incentive funds

    • Pension funds

    • Mutual funds

     
  4. 4.
    Growth of venture capital activities
    • Debt conversion programme

    • Privatisation programme

    • Encouragement of special venture capital vehicles

     
We discuss items 1 and 3 primarily in this chapter. Item 2 is discussed in the following chapter. In part we have outlined the activities of short-term mutual funds in Chapter 8.

Keywords

Capital Market Stock Exchange Mutual Fund Pension Fund Audit Committee 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

Preview

Unable to display preview. Download preview PDF.

Unable to display preview. Download preview PDF.

Notes

  1. 1.
    J. Gurley & E. Shaw, ‘Financial Structure and Economic Development’, Economic Development and Cultural Change, 1967, pp. 257–9.Google Scholar
  2. 2.
    David M. Trubek, Law, Planning and the Development of the Brazilian Capital Market: A Study of Law in Economic Change, bulletin of New York University, Graduate School of Business Administration, April 1971, pp. 11 and 20–2.Google Scholar
  3. 5.
    Jorge del Canto, ‘Impact of Inflation on Capital Markets in Argentina and Brazil’, in N. Bruck, Capital Markets Under Inflation, InterAmerican Development Bank, 1982, pp. 181–3.Google Scholar
  4. 17.
    Roberto Teixeira da Costa, ‘The Brazilian Experience in the Development of a Capital Market’, paper given at International Investment Conference, Istanbul, Turkey, May 1987, p. 12.Google Scholar
  5. 20.
    Roberto Teixeira da Costa, ‘Capital Market in Brazil: Analysis of Performance and Outlook’, in N. Bruck, Capital Markets Under Inflation, Inter-American Development Bank, 1982, p. 46.Google Scholar
  6. 21.
    CVM, O Mercado de Valores Mobiliários no Brasil, July 1986, p. 4.Google Scholar
  7. 40.
    In 1984 the total portfolio value of closed and open pension funds in Brazil was US$2.6 billion, indicating a three-year growth (in dollars) of 270 per cent. See Coopers & Lybrand, Profile of Banking and Finance in Brazil, 1986, p. 36.Google Scholar
  8. 43.
    Comissão Nacional de Bolsas de Valores, Legislacao Sobre Mercado de Capitais, 1986, pp. 339–40.Google Scholar
  9. 52.
    SUDENE-BNB, Fiscal and Financial Incentives for Investment in Northeast Brazil, Recife, July 1987, p. 11.Google Scholar

Copyright information

© Francis A. Lees, James M. Botts and Rubens Penha Cysne 1990

Authors and Affiliations

  • Francis A. Lees
    • 1
  • James M. Botts
    • 2
  • Rubens Penha Cysne
    • 3
  1. 1.St John’s UniversityNew YorkUSA
  2. 2.Coopers & LybrandSão PauloBrazil
  3. 3.Getulio Vargas FoundationRio de JaneiroBrazil

Personalised recommendations