Tuesday, September 4, 2012

Literal Solid Investments


Investing and creating a business are essentially like gambling in an elaborate and legal way.  If you're "good" at it you have the potential to earn a surprising amount of money, but if you're terrible at it you could lose everything you've worked so hard to earn.  Successful businessman Alexander F. Bouri started a cement trading business in the 1960s with a small business loan.  Today his business Seament is one of the largest cement traders in the world, and his son Mark Bouri along with Alexander's other children help run his cement empire.  Recently people were shocked to learn that the richest woman in Brazil was a grandmother worth over $13 billion because she owned electricity and cement companies  These stories of success may sound strange to you, but if you think about it their success makes perfect sense. 

Need Investments

If you want to succeed in business or investing you need to invest in or provide something that has been proven to be necessary and popular.  Cement was created over 2000 years ago in Macedonia from a mixture of slacked lime and pozzolan, and since then it's been an essential element used in nearly every construction project.   Cement and concrete are the literal building blocks of modern society, and people who own or invest in cement and concrete manufacturers have earned a considerable amount of wealth. 

Overseas Success

Building materials will always be in demand, but there's no biggest demand for the materials than in the world's two most populated countries: China and India.  China has a voracious appetite for cement; they make and consume half of the cement in the world.  India's cement use and manufacture is second only to China's, and thanks to large government construction projects it looks like the country's need for building materials won't be decreasing any time soon. 

China and India aren't the only countries with a high demand for cement; Brazil is in need of more construction materials.  Brazil is going to need a lot of building materials in order to prepare for the busy years ahead, the country has received the honor of hosting the 2014 FIFA World cup and the 2016 Olympic Games.  The needed infrastructure for these events will require a lot of concrete and cement, and that won't even be the largest infrastructure project happening in the country.  Brazil has already started phase 2 of its massive PAC 2 growth acceleration project, a multi-billion dollar effort that will focus on improving the country's transportation, energy, sanitation, and housing sectors. 

All of these projects point to one thing: the ever growing need for concrete and cement.  If you want a strong investment or an idea for a new business focus on cement and concrete.  Those materials have stood the test of time and will be a human necessity for many more years. 

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