Cash flow.

Pundits are a dime a dozen. Everybody has an opinion and, thanks to the Internet, anybody these days can express it. But one thing seems undeniable: Latin American companies are rolling in it.

Every major stock index that tracks Latin American investments is up by 80% over the past three years. Most have sustained a close to 30% rise over five years. Mining and farming operations are busting export records. The auto industry, particularly in Mexico, is drawing in billions upon billions in new investments. Companies in the region are even racing to put up skyscrapers, that ultimate (although ultimately pointless) symbol of prosperity and power.

The developed world is back in love with Latin America, but Latin America Inc. is doing well on its own, too. Our annual look at the 500 largest companies by revenues is in this issue, and we're back with our exclusive two-year consensus forecast of sales and profits. It's hard to find bad news. Even on the political front, it's very clear where people stand. Populists, yes, there are some. But few outright fools, and the new political center in the region is far closer to the Washington Consensus of discipline and fair investment rules than most politicians in Latin America would likely admit.

When will it all shake down to the poorest? A lot has to do with how much the richest Latin Americans will reinvest in their own republics. It will take a cultural shift of historic proportions, but stability, rule of law and efficient government are a good first step forward.

--Greg Brown

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P.S. This issue marks some big changes for the magazine. We bid farewell to our Spanish Editor, Andres Felipe Velasquez, who has chosen to return to his native Colombia to begin a corporate career. We wish him well.