Eletrobras reserve with FGTS has a race against time and instability

In the final stretch for the reserve of Eletrobras shares using the FGTS (Fundo de Garantia do Tempo de Serviço), which ended at 12 noon this Wednesday (8), banks and brokerages showed instability in the morning, making the operation difficult for the customers who left to book close to the deadline. There were also reports of difficulties in completing the reservation on Tuesday (7), the day before the deadline.

There are reports of failures in the applications and websites of at least three institutions: Santander, Rico Investimentos and XP Investimentos. There was also a report of instability in the FGTS application, from Caixa Econômica Federal, whose message, early in the morning, asked the user to wait a few minutes and try to make the operation later.

Investors interested in Eletrobras shares had until 12 pm this Wednesday to reserve part of the FGTS through an FMP (Mutual Privatization Fund) managed by a bank or brokerage. The list included, in addition to Caixa, Banco do Brasil, Banco do Nordeste, Bradesco, BTG Pactual, Daycoval, Genial, Itaú, Safra, Santander and XP.

In a note, Santander reported having recorded specific cases of complaints from customers who were unable to carry out the operation. The failure, according to the bank, would be due to the “high demand for reserves for the Eletrobras Mutual Privatization Fund”.

The bank said that, in order to serve its account holders, “it offered alternatives to formalize the reservation through internet banking, call center, agencies and investment advice”. The options were communicated by email, notifications, social networks and alerts in the banks’ own applications.

Caixa stated that “there was no intermittence in the FGTS app and that it is operating normally”.

Until the publication of this text, the other institutions had not positioned themselves.

The reason for the instability may be linked to the high demand for the investment. According to market operators, demand for the shares exceeded three to four times the total size of the offering, whose estimate is to move up to R$35 billion, considering the primary offering of 627.6 million shares and an additional lot of 104, 6 million shares.

To invest the FGTS in the papers, the interested party should follow some steps. The first of them was to give banks and brokers access to the balance and movement of the FGTS in the Fundo de Garantia app. Also in the application, it was necessary to inform which institution was chosen to invest in the FMP-FGTS Eletrobras.

However, to complete the reserve of shares, the investor should open an account with a bank or brokerage company authorized for the operation. The account opening should also have taken place by 12:00 this Wednesday. There was a bank that reached zero the rate.

Privatization mitigates stock market losses

The privatization of Eletrobras softened, in the early afternoon of this Wednesday, the losses of the Brazilian Stock Exchange with the appreciation of the shares. Eletrobras shares were up 2.15% this Wednesday, around 1:25 pm, trading at R$ 42.68.

Shares using FGTS must be prorated

Workers with a balance in the FGTS could invest a minimum amount of R$ 200 to reserve Eletrobras papers through a bank or FMP (Mutual Privatization Fund) brokerage, up to the limit of 50% of the balance in the fund.

The amount actually invested, however, will depend on the demand for the shares. If the amount exceeds R$ 6 billion, there will be apportionment. The high demand on Wednesday, however, indicates that there will be apportionment. In this case, there are rules and limits. The final results should only be known tomorrow, when the share price will also be announced.

Total reserves end this Wednesday, and there is the option for retail investors who will not use their FGTS money to make the reservation via a bank or brokerage company of which they are already a customer. In this case, the minimum amount is R$ 1,000.

For the worker who invests the FGTS, the minimum time of permanence is 12 months, with the exception of legal situations in which the withdrawal of money from the fund is allowed, such as dismissal and retirement, for example (see here the 16 situations). In these cases, the worker can sell the papers and withdraw the money.