Glossary

The gradual reduction of a debt through periodic payments that cover both principal and interest.

The first and most well-known cryptocurrency. A decentralized digital currency that operates without banks or governments.

Bull Market e Bear Market are terms used to describe the trends of the stock market, where Bull Market represents a period of high and optimism, while Bear Market represents a period of low and pessimism.

The profit obtained from selling an asset for more than its purchase price. Subject to income tax in most cases.

Understand what cdb is, how it works, advantages, risks and practical examples of application in the Brazilian financial market.

Interbank Deposit Certificate. The benchmark interest rate for fixed-income investments in Brazil. It closely follows the Selic rate.

Fractional Shares are a form of investment where the investor buys a portion of an asset, usually an investment fund, and pays only a fraction of the total value of the asset. This allows investors with fewer financial resources to participate in investments that would normally be out of their reach.

Interest calculated on both the initial principal and the accumulated interest from previous periods. The snowball effect of money.

A group purchasing system where participants contribute monthly to a common fund and are periodically selected to receive the full amount.

A numerical score that indicates the probability of a person paying their bills on time. Ranges from 0 to 1000 in Brazil.

Debt securities issued by companies to raise capital. The investor lends money to the company in exchange for interest.

Understand what diversificação is, how it works, advantages, risks and practical examples of application in the Brazilian financial market.

A portion of a company's profits distributed to shareholders. A form of passive income from stock investments.

Paying off a debt before its due date, usually with a discount on interest. A right guaranteed by Brazilian consumer law.

Money set aside to cover unexpected expenses or income loss. Ideally 3 to 6 months of essential expenses.

Understand what etf is, how it works, advantages, risks and practical examples of application in the Brazilian financial market.

Protection provided by the Credit Guarantee Fund that covers up to R$250,000 per CPF per institution in case of bank failure.

The practice of seeking discounts, promotions, and the best prices before buying. A smart strategy for saving money.

The state where a person has enough resources to cover expenses and maintain their lifestyle without financial stress.

The set of knowledge and skills that help you make better decisions about money, spending, saving, and investing.

An unexpected situation that requires immediate use of financial resources, such as medical emergencies or job loss.

A specific, measurable financial objective with a defined deadline. Examples: emergency fund, home purchase, retirement.

The state where your passive income covers all your living expenses without needing to work.

A long-term loan for purchasing high-value assets like real estate or vehicles, where the asset serves as collateral.

Investments where the return rules are defined at the time of purchase. Examples: CDB, Treasury bonds, LCI, LCA.

The exchange of one currency for another. The exchange rate determines how much one currency is worth relative to another.

Understand what fundos is, how it works, advantages, risks and practical examples of application in the Brazilian financial market.

Understand what governança is, how it works, advantages, risks and practical examples of application in the Brazilian financial market.

A protection strategy against financial risks. Used to reduce potential losses from adverse price movements.

A tax levied on income and capital gains of individuals and companies. In Brazil, rates range from 7.5% to 27.5%.

The general and continuous increase in prices of goods and services. It reduces the purchasing power of money over time.

A federal tax on financial operations including loans, foreign exchange, insurance, and securities transactions.

Brazil's official inflation index, measured by IBGE. It tracks the price variation of products and services consumed by families.

A verification process used by financial institutions to confirm the identity of their clients and prevent fraud and money laundering.

Real Estate Credit Letters (LCI) and Agribusiness Credit Letters (LCA). Fixed-income investments exempt from income tax for individuals.

The ease and speed with which an asset can be converted into cash without significant loss of value.

The total value of your assets minus all your debts and obligations.

The largest digital bank in Latin America, known for its no-fee credit card and simplified banking services via mobile app.

A pre-approved credit line linked to your checking account. One of the most expensive forms of credit in Brazil.

The P/L (Price/Earnings) is a financial measure that indicates the price of a stock in relation to the earnings per share of the company. It helps to evaluate if the price of a stock is fair compared to the company's financial performance.

A financial plan that organizes income and expenses, helping you understand where your money goes and how to save more.

Brazil's instant payment system created by the Central Bank. Allows free transfers 24/7 between any bank accounts.

The current worth of a future sum of money, discounted at a specific interest rate. A fundamental concept in financial analysis.

A long-term investment plan for retirement that complements public social security. Available as PGBL or VGBL plans.

The percentage of revenue that remains as profit after deducting all costs and expenses of a business.

Investment funds that invest in real estate properties or real estate-related securities, distributing rental income to shareholders.

Constant Amortization System. A loan repayment method where installments decrease over time as the principal is reduced.

The most traditional and simple investment in Brazil. Low yield but with immediate liquidity and FGC guarantee.

Brazil's basic interest rate, set by the Central Bank. It influences all other interest rates in the economy.

Interest calculated only on the initial principal amount. Unlike compound interest, it does not generate interest on interest.

The spread bancário is the difference between the value that a bank pays to borrow money and the value that it charges to lend the same money. This means that banks make money from the difference between these two rates.

An organized market where stocks, bonds, and other financial assets are bought and sold. In Brazil, the main exchange is B3.

Small fractions of a company's capital. By buying stocks, you become a partner in that company and share in its profits (or losses).

Explanation of Tabela SAC vs Price in the Brazilian financial context.

A program that allows individuals to buy Brazilian government bonds directly. One of the safest investments available.

Investments where returns are not guaranteed and depend on market conditions. Examples: stocks, REITs, ETFs.

The degree of variation in the price of a financial asset over time. Higher volatility means higher risk and potential return.

Professional financial advisory service for high-net-worth individuals, covering investments, tax planning, and estate planning.

The return generated by an investment over a specific period, usually expressed as an annual percentage.