Every instrument, explained in depth
The investment-types lesson gives you the general map, ordered by risk. Here we go deep on each instrument one by one: how to actually buy it, a worked example with real numbers, and what to expect on taxes.
Savings accounts & money-market funds
The calmest instrument there is: a bank account or a fund that invests in very short-term, high-quality debt. …
Low riskTime deposits (CDB, CDT, plazo fijo, pagaré)
You lend money to a bank for a fixed period in exchange for a fixed (or sometimes inflation-linked) rate, usua…
Low–midGovernment bonds (CETES, Tesouro Direto, TES & peers)
You lend money to your own government and get paid interest. In high-interest-rate Latin American economies, t…
MidIndex funds & ETFs
One purchase buys a slice of hundreds of assets at once. A traditional index fund is bought and sold through i…
Mid–highIndividual stocks
Buying shares of a single, specific company listed on an exchange like B3, BMV, BIVA, BVC, BYMA or the Bolsa d…
Mid–highReal estate & REIT-like vehicles (FIBRAs, FIIs)
Real estate can be owned directly (buying a property) or through listed vehicles that pool many properties or …
Low–midRetirement accounts (Afore, AFP, previdência)
Mandatory, government-supervised systems that build retirement savings from employer/employee contributions — …
High riskCryptocurrency
Digital assets that exist on a blockchain, bought and sold on exchanges rather than traditional stock markets.…
High riskStartups & equity crowdfunding
Buying a small stake in a young, private company — either as an angel investor writing a larger check, or thro…