Eletrobras: fired worker and whoever retires will be able to sell shares before

Workers who purchase Eletrobras shares using funds from the FGTS (Fundo de Garantia do Tempo de Serviço) will be able to sell the papers before the minimum period of one year if they fit into one of the situations of withdrawal from the Guarantee Fund allowed by law. .

In other words, the worker who is fired, retires or decides to use the resource for his own home can have access to the money before the deadline established in the rules of privatization of the state-owned company.

If fired without just cause, Caixa informs that there will also be a payment of a termination fine of 40% – or 20% for dismissals by agreement, according to the labor reform. The fine is calculated on the amount received over the course of the contract, even in the case of the person who bought the shares.

The money allocated to Eletrobras shares will not be considered in the calculation of the value of the annual FGTS profit due to the worker, informed Caixa.

Eletrobras’ paper reserves using the FGTS started this Friday (3) and will continue until Wednesday (8). The date also applies to other investors interested in the state-owned company’s shares, the largest in Latin America in the electricity sector.

The shares closed this Friday’s session quoted at R$ 41.96, down 3.16% on the day, but with accumulated gains of 28% in the year.

By law, there are 16 situations that allow the withdrawal of money by workers who have a balance in the fund. In addition to the three already mentioned, serious illness of the holder or one of his dependents also gives the right to the withdrawal. “During the grace period (12 months) the worker will be able to use the resource if he acquires the right to withdraw”, informs Caixa Econômica Federal.

To apply, the worker will have to choose a bank or a brokerage firm. The entire process is done online, in the FGTS application. The minimum amount of the application with the FGTS will be R$ 200, and it is possible to use up to 50% of the balance in the fund.

If you do not fit into any of the situations in which the FGTS balance is released, the worker who has purchased shares will have to wait one year to sell them. After the sale, the money will return to your account in the Guarantee Fund and can only be withdrawn in situations provided for by law.

STEP BY STEP FOR FGTS CONSULTATION:

• Access or download the FGTS app on your cell phone (for those who have already downloaded it, it is necessary to update)
• Click on “Sign in to the app”
• Enter your CPF and go to “Continue”; if necessary, click on the requested images and then on “Verify”
• Enter the password and click “Login”
• On the home screen, below, on the right, there are four squares that read “More”; click on them
• On the next screen, choose “Application Simulator in FMP – FGTS”
• The next page will provide guidance on the simulation; scroll down and click “Go to simulator”
• Select “FMP Eletrobras” and then go to “Continue”
• The amount that can be invested will appear.

Step by step to reserve shares

• Open the FGTS application and enter CPF and password
• Go to “Authorize banks to consult your FGTS”
• Then, on the authorization screen for consulting FGTS information, click on the option “Application in FGTS Privatization Mutual Funds”
• Click on “FMP Eletrobras” and then on “Continue”
• Go to “View term”; read the information, choose “I have read and accept the terms and conditions”, then click “Continue”
• Enter the name of the FMP-FGTS administrator you have chosen (see below for a list of administration fees)
• After selecting the administrator, click “Yes” to authorize the operation
• After this procedure, the authorization is done; if you wish, you can change or cancel the authorization at any time until the reservation is made

Share value is no longer part of the profit calculation

According to Caixa, with the exception of the termination fine, the amount used for the purchase of Eletrobras shares using the FGTS will no longer be part of the fund’s calculation at the time of making the profit payment.

Caixa has been distributing FGTS profits to workers since Michel Temer’s government. In 2021, for example, 96% of the fund’s profits were distributed, totaling BRL 8.1 billion. In all, 88.6 million entitled workers received the amounts.

“The amount will be debited from the FGTS account and transferred to the administrator of the FMP-FGTS in which the worker made the application”, says the bank.

Understand the sale of Eletrobras shares to workers

About 40 million workers from all over the country, with a balance available in the FGTS account, can invest funds in Eletrobras. The measure is similar to the opening of the sale of papers by Vale and Petrobras, in the early 2000s.

The Eletrobras share offering was launched by the company on Friday (27) and should move up to R$ 35 billion, according to a preliminary prospectus that the company delivered to the CVM (Securities Commission). The primary offering is for 627.6 million shares. There will be an additional batch of 104.6 million shares.

About R$ 6 billion will be reserved for retail investors who want to allocate part of the resources held in the FGTS.

The value of each share will only be known on June 9, when the buy and sell adhesion period ends and there is pricing – the value of each share will be determined based on the interest of investors.

The privatization of Eletrobras will be a capitalization of the state-owned company, with the offering of shares. This offer seeks to dilute the Union’s share, which needs to fall from 72% to 45%, raise funds to pay the grant to the State and transform the company into a corporation.

Ask questions about the sale of Eletrobras shares

What is the minimum and maximum amount that I can invest from the FGTS?

The minimum amount for the application is R$ 200 per worker and it will be allowed to use up to 50% of the balance in the FGTS. The amount actually invested, however, will depend on the demand for the shares and may not reach the total reserved by the interested party.

Is there a possibility of being entitled to a lower value in Eletrobras shares than requested?

If the demand exceeds the limit of R$ 6 billion established by Eletrobras to receive FGTS funds from investors, an apportionment will be made to define the amount that each person will be entitled to.

Do I need to hire a broker to invest my FGTS?

Yes, and the worker will also need to access the FGTS app and authorize the institution to consult the balance of their linked account of the Fund and to reserve the amounts.

How to choose the broker to invest my FGTS?

You need to compare the administration fees charged. Competition in the market has caused many homes to lower management fees in recent days.

Is it worth investing my FGTS in Eletrobras shares?

Analysts are divided: on the one hand, investing in Eletrobras shares can provide the shareholder with returns well above those provided by the FGTS, on the other hand, it is necessary to consider the significantly greater risk of investing in variable income, compared to the modest but guaranteed return , from the FGTS. It is necessary to take into account the risk profile of the investor and assess whether this money will be essential if fired. This is the case of the worker who does not have a fixed income reserve for emergencies and would need this resource from the fund to pay basic bills.

I have FGTS money invested in shares of Vale and Petrobras. Is it worth withdrawing to invest in Eletrobras?

The worker who invested FGTS resources in Petrobras and Vale shares, in the early 2000s, obtained results well above those of the Fund, according to an analysis by Genial Investimentos. Investment in Petrobras shares from August 18, 2000 to May 24, 2022 yielded approximately 1,153% (considering the appreciation of the stock on the stock exchange and the distribution of dividends in the period), against 185% of FGTS, and 289% of inflation measured by the IPCA (Extended National Consumer Price Index). In the case of Vale, from March 28, 2002 to May 24, 2022, the shares appreciated by around 3,900%. The FGTS yielded 156% in the period, and inflation was 247%. Founding partner of investment analysis firm Nord Research Bruce Barbosa says he has been recommending clients not to withdraw money from the FGTS invested in shares of Vale and Petrobras to invest in Eletrobras.

What is the difference between the two funds offered?

There are two different models of products offered to investors: the FMPs (Mutual Privatization Funds) FGTS Eletrobras, for those who want to join the process, and the FMP FGTS Migração, intended for those who want to transfer the resources allocated in the funds created at the beginning of the 2000 with shares from Petrobras and Vale.

I’m going to invest in Eletrobras, but I don’t have money in the FGTS. What are the requirements?

For the retail investor who is not going to use the FGTS, it is necessary to have a bank or brokerage account to make the reservation request and give the order for the purchase of shares. The minimum amount in these cases is BRL 1,000 and the maximum is BRL 1 million.