With interest rates rising in the US and other markets, investing in fixed income abroad has become attractive for Brazilians
“Global fixed income is now a reality for Brazilian investors, accustomed to investing only in CDIs or HICPs,” said Caio Tuca, Head of EQI Internacional.
The executive says that when international platforms came to Brazil, most investors looking to invest abroad sought to invest in shares of companies they could not access here in Brazil.
Over time, he has begun to understand that exposure to hard currency gives him access to other asset classes as well.
One of these is fixed income: “This was an educational process for the investor, looking at investing in a much more strategic than tactical way,” explained the expert.
Why invest in fixed income overseas?
Today the interest rate in the United States fluctuates between 4.5% and 4.75% and there is a prospect of an increase this year. The increase in interest rates, globally, has made fixed income more attractive: “So today we can already find assets abroad with very high credit quality that remunerate the investor around 4.5%, 5% l ‘year,” said Tuca.
Investors are able to diversify their investments either through public or private securities or through global fixed income funds.
“When we talk about global fixed income, we’re not just talking about the United States, we’re talking about the world. We are talking about stocks from some European countries, other emerging countries. I think this is a movement that is here to stay,” assessed the executive.
How much to invest abroad?
For Caio Tuca, all investors should have a part of the international portfolio: “this percentage varies between 20% and 30% depending on the investor’s profile”, he recommends.
How much money do I need to invest abroad?
The arrival of international investor accounts such as those offered by Avenue and Nomad, as well as digital banks, has facilitated access to these assets.
“International investments have always been very common for large investors, but access was difficult because it was too analogue. What the platforms brought to Brazilian investors was this ease of access. Today, with $250, you can open an international account,” said Tuca.
Source: Terra
Rose James is a Gossipify movie and series reviewer known for her in-depth analysis and unique perspective on the latest releases. With a background in film studies, she provides engaging and informative reviews, and keeps readers up to date with industry trends and emerging talents.
