Yamana Gold's (NYSE:AUY) Success in Brazil

Yamana Gold and Brazil

Yamana Gold (NYSE:AUY) has a solid base in Brazil, and in fact solidified and built the company around that base to the strong stock it is today.

Many people consider Brazil and other South American countries difficult places to do business, but that's mostly because of the over-emphasis on some trouble spots which are unique to themselves, and not how it is across most of the country.

That's why many investors shy away from mining or other companies doing business in Mexico as well. Even though there has been a long history of support and continuity in Mexico, especially for mining, the focus of the media on the more troubling gang warfare in the border cities of the country make it look like it's like that all across Mexico, which it isn't.

Yamana understood this with Brazil and being willing to take a calculated risk has built up a nice company their shareholders are profiting from.