The net inflow of foreign investments in the Brazilian Stock Market accounted to BRL 17,166,056,229.88 (or USD 8,329,867,286.84) in 2007, as of 31 May. This figure includes the net trading value at Bovespa of BRL 1,944,625,555.00 (or USD 1,000,097,235.98) and purchases of international investors in the public offerings of the period, which amounted to BRL 15,221,430,674.00 (or USD 7,329,770,050.86) in 2007.
In May, international investors’ total purchase at BOVESPA was BRL 29,940,577,182.00 (or USD 15,115,108,685.00) and total sales of BRL 29,513,233,425.00 (or USD 14,903,206,496.00), totaling a net inflow of BRL 427,343,757.00 (or USD 211,902,189.00). In the year 2007, these investors’ purchase at BOVESPA amounted to BRL 133,711,376,147.00 (or USD 64,292,408,678.00) and the sales, BRL 131,766,750,593.00 (or USD 63,292,311,442.00), resulting in a net inflow of BRL 1,944,625,555.00 (or USD 1,000,097,235.00) as of May 31.
2007 BOVESPA´s Year-to-Date Foreign Investment Balance - in USD
| Month | Buy | Sell | Net | Year-to-Date |
| January | 9,680,391,030 | 10,268,079,202 | (587,688,171) | (587,688,171) |
| February | 13,167,444,136 | 12,861,578,700 | 305,865,436 | (281,822,735) |
| March | 12,909,050,815 | 12,451,290,512 | 457,760,304 | 175,937,568 |
| April | 13,420,414,011 | 12,808,156,532 | 612,257,479 | 788,195,047 |
| May | 15,115,108,685 | 14,903,206,496 | 211,902,189 | 1,000,097,236 |
| * Note: In May, to improve the precision of our statistics, we have changed the methodology of this section. We used to convert from BRL into USD monthly, using the end-of-the-month closing exchange rate of the Central Bank of Brazil. From now on, we will be converting from BRL to USD daily with the closing exchange rate of each trading day. There is minimum discrepancy between the old and new methodology, but to allow the adequate transition, this month, we are disseminating the data according to both methodologies. | ||||
2007 BOVESPA´s Year-To-Date Foreign Investment Balance - in USD Previous Methodology*
| Month | Buy* | Sell* | Net* | Year-to-Date |
| January | 9,743,923,490.38 | 10,339,067,305.97 | (595,143,815.60) | (595,143,815.60) |
| February | 13,040,705,215.75 | 12,736,953,486.92 | 303,751,728.83 | (291,392,086.77) |
| March | 13,146,561,585.54 | 12,696,192,525.85 | 450,369,059.70 | 158,976,972.92 |
| April | 14,007,253,582.77 | 13,409,908,466.98 | 597,345,115.79 | 756,322,088.71 |
| May | 15,522,099,218.21 | 15,300,551,311.63 | 221,547,906.58 | 977,869,995.29 |
| * This information is calculated using the monthly closing exchange rate of the Central Bank of Brazil. | ||||
The International Investor’s participation in public offerings registered 73.5% of the total value of offerings in 2007, which accounted to BRL 20.8 billion (or USD 10 billion), including IPOs which distribution and closure notice were published up to June 1.
Capital Raised Through Initial Public Offerings in 2007
| Date | Company | Ticker | Amount - USD | Foreign Investors´ Participation |
| January | PDG | pdgr3 | 303,555,524 | 93% |
| Rodobens | rdni3 | 245,681,736 | 56% | |
| Camargo Corrêa | ccim3 | 245,681,736 | 56% | |
| February | São Martinho | smto3 | 200,416,272 | 53% |
| GVT | gvtt3 | 514,703,772 | 76% | |
| Tecnisa | tcsa3 | 372,430,500 | 68% | |
| Iguatemi | igat3 | 263,154,647 | 72% | |
| March | Anhanguera Educ. | aedu11 | 244,979,200 | 77% |
| JBS | jbss3 | 787,122,882 | 84% | |
| April | Pine | pine3,pine4 | 252.656.700 | 90% |
| Metalfrio | frio3 | 224.232.921 | 57% | |
| Bematech | bema3 | 201.302.005 | 70% | |
| Even | even3 | 224,719,101 | 53% | |
| BR Malls | brml3 | 323,703,776 | 74% | |
| Heringer | fher3 | 172,205,595 | 65% | |
| JHSF | jhsf3 | 213,004,926 | 89% | |
| CR2 | crde3 | 151,514,778 | 0% | |
| Agra | agin3 | 387,210,591 | 67% | |
| Cremer | crem3 | 271,739,655 | 80% | |
| May | Sofisa | sfsa | 244,924,264 | 76% |
| * This information is calculated using the Central Bank of Brasil exchange rate on the first day of Trading. | ||||
Total Capital Raised Through Offerings in 2007
| Date | Amount - USD |
| January | 1,184,956,187.85 |
| February | 2,051,307,623.60 |
| March | 2,018,526,047.08 |
| April | 4,900,299,248.37 |
| May | 775,771,000.00 |
| Total | 10,930,860,106.90 |
| * This information is calculated using the Central Bank of Brasil exchange rate on the first day of Trading. | |
Novo Mercado and Levels of Corporate Governance
The IGC (Corporate Governance Index) closed May up 8.2%. It is composed of 115 companies: 62 of Novo Mercado and 53 of Level 1 and 2. These companies now represent 59.6% of BOVESPA’s total market capitalization and 65.9% of the total trading value of BOVESPA. In the period, one company joined Level1 of Corporate Governance: on May 2, Banco Sofisa had its IPO.
Investors Groups
The monthly trading turnover was pushed by International Investors, who led transactions with a 34.14% stake against 33.05% in April. Institutional Investors ranked second with 30.49% compared to 30.19% registered in the previous month, followed by Individuals with 24.42% (against 21.45%); Financial Institutions, 9.50% (against 13.75%); Companies, 1.34%, (against 1.46%); and Other Groups with 0.10%, exactly the same stake of the previous month.
Home Broker Stake
The Home Broker system reached three new records in May:
- total traded value, that amounted to BRL 13 billion (or USD 7.4 billion)
- total number of trades over 1.5 million; and
- number of registered logins, that reached 112,933.
The participation in BOVESPA’s total result reached 8.39% and 27.24% in trade value and volume, accordingly, against 7.48% and 26.69% in April. BOVESPA’s trading system reached daily averages of 67.843 trades with BRL 595.2 million (or USD 336 million) financial value traded (against 63.284 trades with BRL 536.6 million or USD 264 million in the previous month). Currently provided by 57 brokerage houses, the Home Broker registered an average value of trade of BRL 8,770.00 (or USD 4,958.00).
For further information on Home Broker, click here.
Trading Value
In May, BOVESPA turned over BRL 87.3 billion (or USD 44.1 billion) compared to BRL 84.6 billion (or USD 41.6 billion) in the previous month. The daily average reached a record of 130,851 trades. The financial value daily average registered BRL 4.0 billion (or USD 2.0 billion). For comparison purposes, April registered 125,052 trades as average with BRL 4.2 billion (or USD 2.1 billion) financial value traded.
The most active stocks in terms of trading value were:
- Petrobras PN (BRL 9.38 billion or USD 4.7 billion);
- Vale R Doce PNA (BRL 8.05 billion or USD 4.1 billion);
- Bradesco PN (BRL 2.91 billion or USD 1.5 billion);
- Usiminas PNA (BRL 2.68 or USD 1.4 billion); and
- Vale R Doce ON (BRL 2.31 billion or USD 1.2 million).
Markets
Cash Market was responsible for 92.9% of the total value traded in May, followed by the Options (3.9%) and Forward (3.3%).
The After Market amounted to 38,225 trades worth BRL 335,627,831.68 (or USD 169,516,149.15). In the previous month, there were 27,258 trades with BRL 215,288,970.91 in average (or USD 105,921,699.40).
Ibovespa
The Ibovespa benchmark closed May up 6.7% at 52.268 points, registering a rise of 30% in US dollar and 17.5% in local currency terms from January to May.
| The best performing stocks of the index in the period were: | The worst performing stocks of IBOVESPA in May were: | |
| TAM S/A PN (+26.11%); | Ipiranga PET PN (-8.08%); | |
| Eletropaulo PNB (+23.08%); | Braskem PNA (-5.48%); | |
| Cyrela Realt ON (+17.84%); | TIM Part S/A PN (-3.56%); | |
| Sid Nacional ON (+14.81%); and | Embraer ON (-3.13%); and | |
| Lojas Renner ON (+14.75%). | Acesita PN (-2.62%). |
Other Indices
The following indices also closed the month up: ITAG (+9.0% at 8,212 points), IEE (+8.3% at 16,847 points), IGC (+8.2% at 6,184 points), IVBX-2 (+7.5% at 5,419 points), INDX (+6.8% at 8,796 points), ISE (+6.6% at 1,572 points), IBrX-100 (+6.4% at 16,809 points), IBrX-50 (6.1% at 7,409) and ITEL (+5.0% at 1,221 points).
Market Capitalization
In May, the market capitalization of BOVESPA’s listed companies amounted to BRL 1.90 trillion (or USD 985 billion).
Fixed Income
In May, 2 FIDC (Receivable Investment Funds), 2 CRI (Real State Receivable Certificate) and 7 Corporate Bonds have started to trade on BOVESPA Fix and SOMA Fix Markets. The trading value of BOVESPA fixed income markets turned over BRL 85,457,731.46 or USD 42,498,279.59 (against BRL 127,222,615.54 or USD 62,527,479.70 totaled in previous month). Out of this total, BRL 61,429,782.50 referred to FIDCs (or USD 30,499,800.22), BRL 7,169,123.86 (or USD 3,644,343.66) to CRIs (Real Estate Receivable Certificates) and BRL 16,858,825.10 (or USD 8,354,135.71) to Corporate Bonds.
BOVESPA Popularization Campaign
80 clubs have listed at Bovespa in May. Since September 2002, the popularization campaign ``BOVESPA Where You Are´´ has stimulated the creation of 1,616 investment clubs. BOVESPA had a total of 1,821 clubs registered as of May 30. According to last data available (April/07), the investment clubs’ total assets amounted to BRL 11.1 billion, with 137,942 investors.
