CRA is a registered and freely traded debt security backed by agribusiness credit rights that represents promise of payment in cash. It is issued exclusively by securitization companies.
CERTIFICATE OF AGRIBUSINESS RECEIVABLES
BENEFITS OF INVESTING IN CRA
CHARACTERISTICS
• Minimum Investment: It depends on the structure.
• Remuneration: It can be a fixed or a floating rate on CDI, IPCA or other.
• Rating: The CRA is submitted to the analysis of international independent rating agencies.
• Income Tax: Exemption for the individual investors.
• Term: Short-term – up to three years, always respecting the harvesting period.
• Liquidity: CRA can be freely traded on the secondary market, according to the rules of the CVM (Brazilian Securities Commission).
INVESTING IN CRA
For those who want to increase the profitability of their fixed income portfolio, CRA is a great option.
The remuneration of the CRA is still higher than that of CRI (Certificate of Real Estate Receivables with similar rating), and also counts with the benefit of Income Tax exemption for the individual investors as well as an additional IOF exemption for borrowers.
Another benefit is that it is a short-term security in comparison with other investment alternatives in the capital markets.
Benefits:
• Income Tax exemption for the individual investors;
• IOF exemption for borrowers;
• Attractive remuneration;
• Short-term security;
• Third parties opinion on identifying risks (international rating agencies).