Carlos Slim, the richest man in the world, is suddenly bullish on Colombia and says he’s going to increase his positions there, according to Bloomberg.
Cramer is also keen on Colombia, for a couple of the same reasons.
Both agree that Colombia’s open door policy on commodities is a big reason to make it a play.
Slim now intends to expand his Mexican oil services business to Colombia. But if you’re just investing in stocks, Kramer suggests Bancolombia, the country’s biggest bank, and Ecopetrol, if you’re keen on oil.
Columbia’s oil production is increasing at a rate of 10% per year, and its GDP grew at 4.4% last year.
Its pursuit of investment grade status for its sovereign debt has been delayed, however, by massive rain storms hurting the economy.
Anyway, the fact that so many are bullish probably explains this: that it has the highest PE of any emerging market.