With Selic at 11.25%, how much does an investment of R$1,000 yield?

With Selic at 11.25%, how much does an investment of R$1,000 yield?
With Selic at 11.25%, how much does an investment of R$1,000 yield?

This Wednesday, 31st, the Monetary Policy Committee (Copom) of the central bank (BC) cut Brazil’s basic interest rate, the Selic, by 0.5 percentage points for the fifth consecutive time, reaching 11.25% per year.

In addition to being the main instrument for controlling inflation, the Selic rate affects everything from the cost of loans to the return on investments.

The Treasury Selic bond, for example, has its profitability linked to the Selic rate. Due to yesterday’s interest rate reduction, this post-fixed investment will have a lower return.

Read also: “IPVA 2024: check the rates and discounts for each State”

However, according to analysts, the post-fixed bond continues to be interesting, because the interest rate remains in double digits, well above the country’s inflation.

According to the BC’s Focus report, financial market economists expect the base rate to reach 9% by the end of this year. In 2025, the expectation is that it will reach 8.5%.

Therefore, experts mainly recommend investments in assets indexed to inflation, based on the Broad Consumer Price Index (IPCA).

Check out the return on R$1,000 invested in one year

Investment Net Value (R$) Net Profitability
Savings 1,078.11 7.81%
Treasury Selic 2026 (Selic + 0.034%) 1,081.22 8.12%
CDB 104% of CDI (Daily Liquidity) 1,085.50 8.55%
CDB/RDB/LC 115% of CDI 1,086.25 8.63%
LCI/LCA/DEB Incentive 96% CDI 1,093.23 9.32%
CDB/RDB/LC IPCA + 6.35% pa 1,094.54 9.45%
CDB/RDB/LC Pre-fixed 11.3% pa 1,095.66 9.57%

Although the returns are attractive, it is necessary to check whether these investments comply with each person’s risk profile, as they are not covered by the Credit Guarantee Fund (FGC).

Because of this, if the institution issuing the paper “goes broke” and is unable to pay investors, there is no way for the investor to be compensated.

Titles prefixed

Regarding fixed-rate securities — those in which the return is fixed in advance and, therefore, does not change — analysts see that the window of opportunity for this type of asset has already closed. Furthermore, they state that bonds that pay less than 11% per year are not worth it at the moment.

The 2026 Prefixed Treasury currently offers an annual profitability of 9.63%. Meanwhile, the one fixed in 2029 pays 10.32%.

Read more: “Tax reform: what changes in IPVA collection”

However, this type of asset, in which the profitability is pre-fixed, is considered a little more risky, as it determines a fixed return.

Thus, if the Selic rate rises again before the bond matures and exceeds the pre-fixed contracted yield, the investor loses the possibility of a higher return.

+ Read more news about the Economy in the West

The article is in Portuguese

Tags: Selic investment R1000 yield



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