The Brazilian investment fund industry closed August with positive net inflows of 11.7 billion reais (more than 2 billion dollars), according to data from the Brazilian Association of Financial and Capital Market Entities. Cumulatively in 2024, financing has already reached 286.2 billion reais (more than 50 billion dollars), with a strong focus on fixed income funds, which continue to lead resource inflows.
In August, the fixed income class saw a 64.2% increase compared to the same period last year. Pedro Rudge, director of Anbima, attributed this performance to the prospects of maintaining the Selic rate at high levels, which benefits funds in this category. “With the current trajectory of the Selic, fixed income funds should maintain their appeal in the coming months, which is likely to bolster resource flows into this class and sustain the positive performance of the industry,” he stated.
Among fixed income funds, those classified as Low Duration Fixed Income with Investment Grade stood out the most. These funds focus on assets with low credit risk and an average duration of less than 21 business days, primarily investing in federal government bonds.
In addition to fixed income, Credit Rights Investment Funds (FIDC) also performed well, followed by pension funds and Private Equity Investment Funds (FIP).
On the other hand, the multi-market and equity classes showed a negative balance in August. ETFs (Exchange Traded Funds) also recorded a negative balance.
In terms of net assets, the fund industry reached 9.3 trillion reais in August, a 15% increase compared to the same month in 2023.
