Brasil, Bolsa, Balco (in English, B3 – Brazil Stock Exchange and Over-the-Counter Market), originally BM&FBOVESPA, is the country’s second-oldest stock exchange, based in Sao Paulo, Brazil. It became the 13th largest stock exchange in the world, at the end of 2011, after making a market capitalization of R$2.37 trillion makings. However, as a result of Brazil’s economic slowdown connected with political unrest, as well as the strengthening of the US currency versus the Brazilian real, By the end of 2015, capitalization had decreased to R$2.21 trillion.
In May 2008, the Brazilian Stock Exchange (Bovespa) and the Brazilian Mercantile and Futures Exchange (BM&F) amalgamated to form BM&FBOVESPA. On the 30th of March, 2017, BM&FBOVESPA merged with CETIP, creating B3. The indexes Bovespa, more usually referred to as Ibovespa, serve as the benchmark for B3. As of March 31, 2020, there were 354 businesses traded on Bovespa. The Ibovespa index achieved a new high of 130,776 points on June 7, 2021.
BOVESPA Indices
Broad indices
IBOVESPA: A total-return index that includes the most important companies in the market, both by their market value and how many times they trade. It is the Sao Paulo Stock Exchange’s benchmark index. It is the first BOVESPA index to be broadcast, having begun in 1968.
IBRX 50: Also known as Brasil 50, this index tracks the top 50 most actively traded stocks on BOVESPA.
IBRX 50: Also known as BIBRX: It serves the same goal as IBRX 50, except that it encompasses the top 100 most actively traded stocks. rasil 50, this index tracks the top 50 most actively traded stocks on BOVESPA.
IBRA: Brazil Broad-Based Index, includes a broader range of companies, including 99 percent of all companies currently selected for other exchange-traded indexes. Its primary objective is to represent the most significant corporations on the stock exchange.
MLCX: The Midlarge Cap Index shows the performance of the most relevant companies at the exchange, responding for at least 85% of its total market value.
SMLL: The Small Cap Index is comprised of relevant firms that do not seek inclusion on the MLCX, i.e., companies that are extensively traded but do not meet the 85 percent market share criteria.
IVBX: It was created as a benchmark for firms classed as the second tier, defined as those with a trading rank of 11th or lower and hence not considered blue chips. Nonetheless, the majority of its members are extremely significant businesses that must adhere to substantial trading volumes and market capitalization.
IDIV: The Dividend Yield index, which includes companies with the greatest dividend yields in the market, as well as a significant level of trading session participation.
Sector indices
IEE: Electric Power Index
INDX: Industrial Index
ICON: Consumption Index
IMOB: Real estate Index
IFC is an acronym for the Financial Index of the Nation’s Capital (comprising banks, credit card processors, insurance companies, etc.)
IMAT: Index of Basic Materials (representing raw materials, pulp & paper, packaging, steel, etc.)
UTIL is an abbreviation for the Index of Public Utilities (electric power, water & sewage, gas, etc.)
Corporate governance indices
The IGC: Corporate Governance Index includes all companies listed in any of the three main governance tiers, regardless of market capitalization.
Corporate Governance Trade Index (IGCT): This index filters the IGC components according to their trading liquidity.
IGNM: The New Market Index is a compilation of all companies listed on the BOVESPA’s New Market segment.
ITAG: The Tag-Along Index is made of stocks that provide a bearer with enhanced tag-along rights in comparison to those provided by Brazilian law, as well as a minimum trading volume.
Sustainability indices
The ICO2: Efficient Carbon Index is awarded to businesses that make effective efforts to reduce greenhouse gas emissions and qualify for the IBRX 50.
ISE: Corporate Sustainability Index is comparable to the Dow Jones Sustainability Index, to join companies tied to environmental, social, and accountability goals.
Other Indices
IFIX: Real Estate Investment Trusts index tracks the performance of BOVESPA-listed real estate investment trusts. In contrast to other indices, it may be made entirely of OTC stocks.
The BDRX: Unsponsored Brazilian Depositary Receipt Index measures the value of stocks that are not freely traded on a stock exchange but are restricted to eligible investors as defined by Brazilian regulations.
Listed Companies
382 companies were listed on the Brazilian stock exchange B3 as of January 2022 which can be accessed on the exchange’s website.
Location: São Paulo, Brazil
Founded: August 23, 1890
Owner: B3 S.A. – Brasil, Bolsa, Balcão (B3: B3SA3)
CEO: Gilson Finkelsztain (CEO)
Chairman: Antonio Carlos Quintella
Currency: Brazilian real
No. of listings: 382 (January 2022)
Market cap: S$ 1.0 trillion (2018)
Indices: Ibovespa
Website: b3.com.br/en_us
