Brazil infra debenture spreads hit 2024 high; funds face renewed losses

Spreads on Brazilian incentivized infrastructure debentures have widened to their highest level since 2024, with the median premium over NTN-Bs reaching 0.4 percentage points, per Anbima data. This reflects deteriorating credit conditions and investor risk aversion in the sector, likely pressuring infrastructure funds that hold these securities. The widening suggests continued stress in the asset class, with potential for further mark-to-market losses.