Letras Financeiras do Tesouro Nacional (LFTs), also known as Treasury Financial Bills, are Brazilian government bonds considered among the safest and most liquid fixed-income investments available in Brazil. They are issued by the National Treasury (Tesouro Nacional) and are designed to finance the government’s short-term debt. Understanding their characteristics and how they function is crucial for any investor looking to diversify their portfolio or profit from movements in Brazil’s benchmark interest rate, the Selic.
Principal Characteristics:
- Post-fixed Return: LFTs offer a post-fixed return linked to the Selic rate. This means the interest earned is directly proportional to the Selic rate’s performance during the investment period. This protects investors from inflation and ensures their investment keeps pace with the overall interest rate environment in Brazil.
- Short-Term Maturity: LFTs generally have shorter maturities compared to other government bonds like NTN-B (linked to inflation) or NTN-F (pre-fixed). This makes them suitable for investors with a shorter investment horizon or those seeking lower volatility.
- Daily Liquidity: LFTs boast excellent liquidity, allowing investors to buy and sell them on the secondary market almost daily. The National Treasury also guarantees liquidity by offering to repurchase the bonds at market prices through its online platform, Tesouro Direto.
- Low Risk: As Brazilian government bonds, LFTs are considered very low risk. The likelihood of the government defaulting on its debt is extremely low, making them a safe haven for investors.
How LFTs Work:
When you invest in an LFT, you are essentially lending money to the Brazilian government. In return, the government promises to repay the principal amount plus interest calculated based on the prevailing Selic rate at the time of payment. The exact calculation involves the average DI rate (a daily interbank deposit rate closely tracking the Selic), plus a small spread determined at the time of the bond’s issuance.
The price of an LFT fluctuates daily, influenced by expectations surrounding future Selic rate movements. If the market anticipates the Selic rate to increase, the price of LFTs tends to decrease (and vice-versa). However, since the return is tied to the actual Selic rate, these price fluctuations typically have a minimal impact on the overall return if held until maturity. Selling before maturity, however, exposes the investor to market risk.
Investing in LFTs:
You can invest in LFTs through two main channels:
- Tesouro Direto: This is the National Treasury’s online platform, designed for individual investors. It offers a convenient and affordable way to buy and sell LFTs directly, without the need for a broker.
- Brokerage Firms: You can also invest in LFTs through brokerage firms. While this may involve additional fees, brokers can provide personalized advice and access to a wider range of investment products.
Taxation:
Like other fixed-income investments in Brazil, LFTs are subject to income tax, levied according to a regressive scale based on the holding period:
- 22.5% for investments held up to 180 days
- 20% for investments held from 181 to 360 days
- 17.5% for investments held from 361 to 720 days
- 15% for investments held for more than 720 days
Furthermore, IOF (Tax on Financial Operations) applies to investments redeemed within 30 days.
Conclusion:
LFTs are a valuable tool for Brazilian investors seeking a safe, liquid, and transparent investment that tracks the Selic rate. They are particularly suitable for short-term goals and as a hedge against rising interest rates. Before investing, it is important to consider your individual financial goals, risk tolerance, and investment horizon.
700×394 letras tesouro nacional fernando heidercheidt prezi from prezi.com 
770×478 como investir em ltn letras tesouro nacional from www.onze.com.br 
640×480 letras financeiras tesouro sao from pt.slideshare.net 
320×240 letras financeiras tesouro sao gratuito from pt.slideshare.net 
626×417 letras de tesouro como investir nesse ativo from www.fundsexplorer.com.br 
2560×1695 ltn letras tesouro nacional gorila from gorila.com.br 
1344×768 ltn entenda letras tesouro nacional from diariodefinancas.com 
640×360 ltn letras tesouro nacional em curitiba pr venda compre from www.mfrural.com.br 
1600×984 gestao consultoria letras tesouro nacional acao ordinaria from gestaoeconsultoria.blogspot.com 
610×1868 ltn letra tesouro nacional saiba tudo sobre esse titulo from www.suno.com.br 
360×202 sao letras tesouro nacional from vocepergunta.com 
768×512 ltn sao como investir em letras tesouro nacional dinheiro from dinheirovivo.com.br 
400×275 gestao consultoria letras tesouro nacional policia federal from gestaoeconsultoria.blogspot.com 
600×320 letras financeiras tesouro lft como funciona from acionista.com.br 
320×256 gestao consultoria letras tesouro nacional emissao uma from gestaoeconsultoria.blogspot.com 
930×435 ltn tudo sobre letras tesouro nacional riconnect from riconnect.rico.com.vc 
472×305 titulos publicos letras tesouro nacional ltn blog investidor from www.blogdoinvestidor.com.br 
930×435 ltn tudo sobre letras tesouro nacional from riconnect.rico.com.vc 
650×400 sao titulos tesouro nacional edubanca from edubanca.com 
1000×667 ltn como investir em letras tesouro nacional riconnect from riconnect.rico.com.vc 
652×408 lft letra financeira tesouro ou tesouro selic xp investimentos from conteudos.xpi.com.br 
1280×720 letra financeira tesouro lft como funciona from warren.com.br 
435×658 ltn letra tesouro nacional em sao paulo sp venda compre from www.mfrural.com.br 
