For the reason that Nineteen Eighties, inventory buybacks have turn out to be a phenomenon within the U.S., with S&P 500 firms setting a brand new file for share repurchases final yr. Certainly, they’re now making their means into the Brazilian inventory market as properly, with 108 such offers in 2021 alone — 44 % greater than within the earlier yr.
Inventory buybacks happen when an organization repurchases its personal shares from the inventory market. Typically they will profit shareholders and could be an environment friendly option to return capital.
In Brazil, firms should file for buyback authorization from securities regulators, earlier than having 18 months to…