Boletim de Fundos de Investimentos

Investment funds raise R$24.9 billion in July

The investment fund industry had net inflow of R$24.9 billion in July, almost twice the amount of the previous month. The industry raised R$145.5 billion in the year-to-date and R$211.8 billion in 12 months.

The share of fixed-income funds was significant in July, accounting for 79% of the amount raised in the month, equivalent to R$19.8 billion. The Fixed-Income Short-Duration Investment Grade type stood out with R$17.8 billion raised in the period. Balanced/Mixed funds showed a positive result (R$3.3 billion), with the Balanced/Mixed — Macro type raising R$2.3 billion in July. In the year-to-date, the fixed-income and Balanced/Mixed classes raised R$76.3 billion and R$48.6 billion, respectively.

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The amount raised in these two classes throughout the year mirrors the relevant participation of individual investors, a trend that has been marking the fund industry’s allocations in recent months. Up to June, the private, retail and high-income retail segments of fixed-income funds accounted for most of the amount raised in 2017 (R$54.6 billion). In the Balanced/Mixed type, the relevant amount raised was concentrated in private clients’ investments (R$26.1 billion).

In terms of returns, the trend in the fund industry’s top classes is of continuous recovery after the May crisis. Equity funds showed the biggest gains in July. In the year-to-date, the performance of both fixed-income and Balanced/Mixed funds has been following the upward trend of fixed-income indices. The type of fund with the highest net assets — Fixed Income Short Duration Investment Grade — was up 6.63%, in line with the IMA-S (which reflects the portfolio of Financial Treasury Bills, or LFTs, in the market), which returned 6.67%. These funds tend to continue showing a positive performance in coming months amid expectations of further reductions in the Selic rate target by this year’s end, which should boost risk appetite and higher return by investors.

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