The public bond market is one of the investment options available to investors who wish to invest their money safely and obtain medium and long-term returns. Public bonds are issued by the federal government and represent a way of raising funds to finance government activities.
There are different types of public bonds, each with its specific characteristics. One of the main types of government bonds is the Direct Treasury, which allows any individual to invest in Brazilian public debt securities. Treasury Direct offers different bond options, such as Treasury Selic, Treasury IPCA+ and Prefixed Treasury.
The Selic Treasury is a post-fixed security, that is, its profitability is linked to the Selic rate, which is the basic interest rate of the Brazilian economy. This security is indicated for investors who want a low-risk investment and daily liquidity, since it is possible to redeem the invested amount at any time.
The Treasury IPCA+ is a hybrid security, that is, its return is composed of a fixed rate plus the variation of the IPCA, which is the country's official inflation index. This title is indicated for investors who want to protect their money from inflation and obtain real profitability in the long term.
The Prefixed Treasury is a security with a fixed interest rate defined at the time of purchase. This bond is indicated for investors who want to know exactly how much they will receive at maturity, regardless of market interest rate fluctuations.
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In addition to the Direct Treasury, there are other types of public securities, such as National Treasury Bills (LTN) and National Treasury Notes (NTN). LTNs are prefixed securities, that is, their profitability is defined at the time of purchase. NTNs, on the other hand, are inflation-indexed securities, that is, their profitability is composed of a fixed rate plus the IPCA variation.
One of the main advantages of investing in government bonds is the security offered by the federal government. Government bonds are considered a low-risk investment, as the government has the ability to honor its financial commitments. In addition, government bonds are an affordable investment option, as it is possible to invest from as low as R$30.00.
In order to invest in public securities, it is necessary to open an account at a stockbroker or at a financial institution authorized by the National Treasury. Through this account, it is possible to buy and sell securities, in addition to monitoring the profitability of investments.
In summary, the government bond market offers a safe and affordable option for investors who want to invest their money conservatively. With different bond options and yields, it is possible to choose the one that best suits the profile and objectives of each investor.
