Treasury Direct - What It Is, How It Works and the Advantages of Investing

When we talk about investmentsit is inevitable not to mention the Treasury Direct. This type of investment is gaining more and more followers in search of security and profitability in the medium and long term.

What is Tesouro Direto?

First of all, it is important to clarify the concept of Treasury Direct. Developed by the National Treasury, Tesouro Direto is a program for selling government bonds to individuals.

What do you mean by government bonds? Basically, you lend money to the government and, after a certain period, you receive the amount invested plus interest.

Types of Securities

There are different types of securities which can be purchased through Treasury Direct. The modalities may vary in terms of profitability, term and interest payment format.

• Prefixed Treasury: the return is known from the moment of purchase.
• Selic Treasuryincome follows the variation in the Selic rate.
• IPCA+ TreasuryThe profitability follows the IPCA variation, plus a percentage defined at the time of purchase.

You should choose the bond that best suits your profile and financial objectives.

How to buy Treasury Direct securities?

To invest, you first need to open an account with a stock broker.

Then, once you have opened your account, you need to access the trading platform, search for Treasury bonds and make your purchase.

Conclusion

First of all, investing is a safe and affordable option for anyone looking to start investing.

It's an excellent way to diversify your investment portfolio and boost your income in the medium and long term.

How it works

First of all, it is a program that allows individuals to buy government bonds over the internet.

Government bonds are financial instruments that the government issues to finance its spending. In other words, anyone who buys bonds is, in a way, lending money to the government.

In exchange for this loan, the government undertakes to pay back the money in the future with a certain return.

Purchasing Securities

To buy bonds, the first step is to open an account with a financial institution authorized to operate with the Treasury.

This can be done online, on the institution's website. Then simply choose the bond that best fits your profile and investment strategy, and make the purchase.

Types of Securities Available

• Fixed-rate securities: yields are set at the time of purchase. In other words, the investor already knows in advance how much they will receive when the bond matures.
• Post-fixed securities: yields are linked to an index, such as the Selic or IPCA, and are only known when the bond matures.
• Hybrid title: is a mixture of the previous two. Part of the yield is fixed and the other part is post-fixed, linked to an index.

Advantages of investing

First and foremost, investing has several advantages, such as the security of investing in a government bond, the possibility of diversifying your investment portfolio and ease of access.

Since the purchase can be made online.

The future of Treasury Direct

Currently, the Treasury Direct is expected to remain a safe and accessible investment option for small investors.

With interest rates in the Brazilian economy expected to remain low for a long time, it is likely that more people will look for alternatives to savings, and Treasury Direct is one of them.

For more information, visit the Tesouro Direto website (www.tesourodireto.com.br) and the financial institution where you have an account.

Benefits and Risks of Treasury Direct

Currently, investing in Treasury Direct can offer several advantages for those looking for a safe and reliable way to invest their money.

So now it's important to know the risks associated with investments.

Benefits 

• AccessibilityOne of the main advantages of Tesouro Direto is that anyone can invest. With just R$30.00 you can start investing.
• Security:
• Regardless of the economic scenario, the investor will receive the amount invested and the agreed interest.
• Profitability:Tesouro Direto offers different types of bonds, with varying yields. This allows investors to choose the one that best suits their profile and objectives.
• Daily LiquidityTreasury Direct investments have daily liquidity. This means that you can redeem your money at any time, without having to wait for a specific deadline.

Risks 

• Market riskThis is the risk that the value of the security will change due to market fluctuations. This can happen, for example, due to changes in interest rates or the impact of economic news.
• Liquidity riskAlthough there is daily liquidity, if the investor chooses to redeem the money before maturity, they may end up receiving less than they invested.
• Reinvestment riskThis is the risk of reinvesting the amount redeemed in securities with less attractive interest rates. This can occur in a scenario of falling interest rates.

For more information on Tesouro Direto, visit the official website or download the app available for Android and iOS.

For more information, we recommend reading the official Tesouro Direto website, as well as accessing their investment platform, such as XP Investimentos or Clear Corretora.