Daily liquidity: what it means and why it matters
Daily liquidity, or high liquidity, is the ability to redeem an investment at any time. In other words, you can use the money whenever you need it, without losing profitability.
This type of liquidity is important for those who prioritize financial flexibility, and investments that have daily liquidity are classified as D+0 (money becomes available on the same day of redemption) or D+1 (falls into the account on the next business day).
High liquidity investment is to keep money accessible
Daily liquidity is the main characteristic required to form the emergency reserve, as it guarantees quick access to resources without losing accumulated income.
Imagine, for example, that an emergency causes you to exceed your monthly income ceiling by R$4,000. A highly liquid investment ensures that you can withdraw this amount from the investment quickly.
The modality is also a good option for short-term financial objectives, such as planned trips and purchases, or for booking opportunities - taking advantage of strategic moments in the financial market without redeeming long-term investments.
There are several investment alternatives with daily liquidity
Investing in highly liquid applications is usually a priority for beginner investors. In addition to quick access to money, it guarantees greater predictability in results, less bureaucracy and functions as an emergency reserve.
- Selic Treasury: it is considered one of the safest investments on the market, as it is guaranteed by the government. Furthermore, it follows the economy's basic interest rate, which guarantees protection against inflation.
- CDB Meu Porquinho: some financial institutions offer alternatives considered safe that are more profitable than savings. In the case of Inter, the digital piggy bank has no fees and can yield up to 100% of the CDI. Some financial institutions offer alternatives considered safe that are more profitable than savings. In the case of Inter, the digital piggy bank has no fees and can yield up to 100% of the CDI.
- Savings: the most popular investment among Brazilians also has daily liquidity. However, its profitability is limited.
- FIIs: Real Estate Investment Funds are on the stock exchange and provide access to the real estate sector without having to purchase properties directly. However, due to price fluctuations, they may result in gains or losses at the time of redemption.
- DI Funds: are fixed income investment funds that invest at least 95% of their assets in securities linked to the CDI or Selic. They present low risk and, therefore, are an option for those who want to invest in something more stable.
- Shares: investors can freely trade shares on the Stock Exchange. However, like real estate funds, they present high volatility. They are best suited to people willing to tolerate risks in search of greater returns.
It is worth remembering that investments with daily liquidity are not always the best or the only option. Lower returns compared to fixed-term investments, unattractive yield when Selic is lowered and taxation upon redemption are some of the disadvantages.
Source: CNN