The world’s largest hedge fund sees tremendous growth potential in Brazil’s economy and thinks it will be “the strongest in the world” in 2020. This according to an article in Chief Investment Officer.

In a March letter to clients, the firm reportedly said that Brazil should be well on the path to recovery after a 2015-2016 recession, adding, ” “Given that pricing already discounts extreme weakness and mismanagement, we think there is considerable room for Brazil’s economy and assets to surprise on the upside.” The letter didn’t offer specifics on asset allocations, however. 

The article notes that, “after years of corruption and unfulfilled promises by its government, investors are watching Brazil’s new president, Jair Bolsonaro” in the hopes that he will revive the country in part through efforts to improve the pension system. Bridgewater, it says, is “banking on Brazil’s social security reform.”