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Stock impact report

‘Farmpalooza' Aims to Renew Allure of Brazil Agriculture Funding [BNN Bloomberg (Canada)]

XP Inc. - Class A (XP) 
Company Research Source: BNN Bloomberg
The market for the so-called Fiagros, investment funds focused on agricultural receivables such as interest, dividends and land-lease payments, is set to stall this year after a wave of farmer defaults sparked uncertainty. That's according to a top executive at XP Inc., the South American nation's largest brokerage firm, which just threw an event gathering thousands in Brazil's biggest city to reassure investors of the agribusiness sector's strength. “This is a year in which we're practically going to move sideways in terms of growth,” XP head of agribusiness Pedro Freitas said of issuances of Fiagros, which were introduced in 2021 and had roughly 36 billion reais ($6.4 billion) in assets under management as of May. “Fiagro managers need to show their ability to face this moment.” Net inflows into Fiagros have plunged 66% from a year ago so far in 2024, according to industry group Anbima. Retail investors have become more cautious about their exposure to agriculture as tumbling c Show less Read more
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