Investors preferred fixed-income securities over variable-income securities, with emphasis on debentures, CRA and CRI.| Photo: Nicholas Cappello/Unsplash

The Brazilian capital market ended 2022 with a 10.9% drop in volume traded compared to 2021, according to the balance sheet of the Brazilian Association of Financial and Capital Market Entities (Anbima). In all, R$544 billion, with emphasis on a 57% drop in variable income securities and 40.4% in hybrid products – together, the two categories added up to R$87 billion in investments.

The remainder of the amount, R$ 457 billion, was restricted mainly to fixed income securities, which increased by 6.6%, with emphasis on Agribusiness Receivables Certificates (CRA) and Real Estate Receivables (CRI) and debentures for raising funds for companies – which reached a record R$ 271 billion.

José Eduardo Laloni, vice-president of Anbima and president of the Capital Market Structuring Forum, explains that the increase in inflation around the world due to the war in Ukraine made most countries – including Brazil – raise their interest rates fees. Around here, the presidential election also held back the advance of the market.

“In 2022, the whole world underwent a synchronized movement in the issuance of variable income. Inflation around the world has strongly resisted these doses of monetary tightening that everyone has experienced, and in Brazil it was no different”, said Laloni at a press conference on Tuesday (17), noting that the market expects an improvement in 2023, mainly with fiscal adjustment measures and the perspective of new concessions in the states.