BRAZIL RISK OBSERVER

Editorial Standards

A critical tone never lowers our evidentiary standard.

We select developments that can plausibly affect a foreign investor through currency depreciation, interest rates, sovereign risk, equity valuation, governance, regulation, liquidity, capital flows or the ability to repatriate capital.

• What happened and what remains unconfirmed.
• The source-based facts.
• The channel through which the risk could reach investors.
• A plausible adverse or worst-case scenario.
• Observable triggers that would strengthen or weaken that scenario.
• Evidence that limits the warning or could reduce the risk.

Warnings are not forecasts

A worst-case scenario is not a forecast. Proposals are not described as enacted policy, allegations are not presented as established facts, and market movements are not assigned to one cause without sufficient evidence. Editorial opinion is clearly identified.

Including risk-reducing evidence does not turn our coverage into an investment recommendation. It prevents exaggeration and makes the warning more useful.