cy.search

Paper and Logistics REITs: Different Dynamics, Converging Perspectives

Aiming to more accurately measure the total return of REITs during periods of high interest rate volatility and to offer a more structured long-term perspective, this study proposes the use of the Equity IRR (Internal Rate of Return) as an alternative performance metric. The proposed indicator combines distributed dividends and the evolution of the net asset value per share, in order to minimize the effects of market price fluctuations—providing a more realistic view of REIT performance over time.

Investing Safely: How Risk Perception Affects Debenture Returns

This study analyzes the return rates of debentures indexed to the IPCA and CDI, highlighting how risk perception influences pricing and, consequently, returns in the secondary market. The research reveals that events such as the pandemic and the Americanas crisis widened the spreads of these debentures, reflecting heightened investor risk perception. The study also examines the impact of macroeconomic factors, such as the presidential transition and economic reforms, on return volatility.

CRI-ating New Opportunities? Post-CMN Resolution Analysis

In Mar/24, the CMN (National Monetary Council) changed the rules regarding CRI collateral through Resolution 5118/24. This study analyzes the impacts already observed from the new regulation on the market. In the secondary market, the imbalance between supply and demand for CRIs is reflected in the trading spreads. In the primary market, the effects are still marginal but noticeable. To rebalance supply and demand, the market will undergo adjustments, which may create good opportunities for well-positioned paper REITs.

The End of the Savings Era for Real Estate Credit?

This study analyzes the sustainability of savings-based funding for real estate financing. Once the most relevant source for individuals, real estate credit lines funded by savings (SFH) have lost market share in recent years due to the high Selic interest rate. However, with the Central Bank's monetary easing policy, will savings inflows become positive again? Based on the savings deposit balance by range, there is a chance that the levels seen in the past may not return.

Opportunities for Paper REITs with Investments in Bricks

The current trend of declining interest rates and slowing inflation is leading paper real estate funds to consider equity strategies as an alternative to boost returns. To explore this approach, we conducted a theoretical study comparing the long-term performance of pure paper REITs and those that also invest in development/equity. The study indicates that, after the equity investments mature, the funds that diversify part of their portfolio with these operations outperform those focused solely on fixed-income assets, resulting in a higher long-term dividend yield.