FII with one of the highest dividend yields on the market accumulates a drop of almost 10% in November; Ifix rises

The approximately 92 thousand shareholders of FII Urca Prime Renda (URPR11) have, at least so far, nothing to celebrate in November. In the first five sessions of the month, the fund accumulated a drop of almost 10%. Today, the portfolio’s shares operate at an increase of 0.7%.

Considered a “paper” FII – which invests in fixed income securities linked to the real estate sector –, the fund has a net worth of R$1.1 million. Currently, the resource is predominantly allocated to real estate receivables certificates (CRI).

In the latest management report, released at the end of October and re-presented on Monday (6), URPR11 highlighted concerns about two operations in the portfolio.

“The Nabileque and Imoguia operations continue to have lower-than-expected revenue, but there is still no impact on distributable revenue in relation to these CRIs,” the document pointed out. “For the next month we are monitoring the collection daily and taking the necessary actions to restore the flow”, adds the text.

CRIs are debt securities used by companies in the real estate sector to raise funds. Companies package future revenues – such as the sale of real estate – and sell them to investors, such as real estate funds.

In return, issuers of the paper pay CRI holders a fixed monthly yield adjusted by an index, which is normally the CDI rate (interbank deposit certificate) or the Broad Consumer Price Index (IPCA).

Despite the signaling about the Nabileque and Imoguia operations – which had already been made the previous month – the URPR11 management communicates that “it has no need for cash to roll over operations or to maintain the health of the operations or the fund as a whole”.

Next week, Urca Prime will deposit R$1.18 per share, an amount equivalent to a monthly dividend yield of 1.31%. In 12 months, the percentage is 18.29% – which places it among the highest payers on the market.

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Ifix today:

In this Wednesday’s session (8), Ifix – the index of the most traded real estate funds on the Stock Exchange – closed with an increase of 0.03%, at 3,174 points. Check out the other highlights of the day.

Biggest highs this Wednesday (8):

Biggest casualties this Wednesday (8):

Source: B3

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Win-win: ‘saved’ from dividend taxation, FIIs can benefit from tax reform; understand

Discussions about tax reform in the country have, so far, been positive for real estate funds. Initially, the offshore PL approved by the Chamber of Deputies increased the number of shareholders required for a fund to have exempt income from 50 to 100 – preserving the benefit for the majority of the market. But the debate on tax reorganization could bring other good news for FIIs.

The text of the tax reform on consumption, addressed in the Proposed Amendment to the Constitution currently being processed in the Senate (PEC 45/2019), is also on the radar of real estate funds, especially those in the logistics segment, a sector that could benefit from the eventual end of the fiscal war between States in the case of the Tax on Circulation of Goods and Services (ICMS).

“We can have a reorganization of the logistics network”, stated Felipe Sangalli, manager of Bresco Logística (BRCO11), in the Super Clássicos series, produced by XP and mediated by Maria Fernanda Violatti, head of listed funds at the house’s research.

The tax reform proposal being debated in the National Congress unifies PIS and Cofins in the Contribution on Goods and Services (CBS), which will be the responsibility of the Union. ICMS and ISS, taxes currently managed by States and municipalities, become integrate the Goods and Services Tax (IBS) in a unified manner.

The new taxes would have a complementary tax base and tax collection will occur at the destination. The Legislature is still debating the extension of current tax exemptions and the list of economic activities that would have access to a lower tax rate regime

“Today, there are examples of companies that develop the product in one state, send the production to a logistics warehouse in another, issue a note in a third region and only then deliver it”, explains Sangalli. “At the end of the day, what counts most is saving taxes and not logistical efficiency.

Dividends today

Check the list of FIIs that distribute dividends this Wednesday (7).

Source: StatusInvest

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