Tesouro Selic Bond Yield Calculator

How Tesouro Selic (LFT) yields work

The LFT (Letra Financeira do Tesouro) is a post-fixed federal bond. Each unit yields 100% of the daily Selic rate, plus a small spread (positive or negative) that gets locked in when you buy. With Selic hovering around 15% per year in 2026, the gross yield lands near 15%, picked up day by day through the SELIC index. Income tax is regressive, running from 22.5% down to 15% depending on how long you hold. B3 custody costs 0.20% per year but is waived on the first R$ 10,000 in stock since 2023, so for a small investor the return works out to roughly 100% of Selic minus IR.

Say you put R$ 10,000 into Selic at 10.5% and leave it for 3 years. It grows to 10000 × 1.105^3 = R$ 13,492, a gross gain of R$ 3,492. Apply IR at 15% (the rate once you pass 24 months) and the net comes to R$ 12,968. What really sets the LFT apart is its D+0 liquidity. The Treasury buys it back on any business day with barely any mark-to-market swing, because the index resets daily. That is exactly why it works so well as an emergency reserve.

Brazilian context

For emergency reserves and short-term cash, the LFT is the default choice. Price barely moves and you can get out any day. Among investors who aren't comfortable with anything fancier, it's the usual step up from poupança, paying something like 2-3x the savings yield while keeping the money reachable whenever you need it. It fits when you want to ride Selic without trying to time the curve, or when you just need somewhere to park money between strategic moves.

FAQ

Why is the yield slightly different from Selic? The spread you pay at purchase (ágio or deságio) shifts the effective yield by a few basis points either way. Most LFTs trade close to par.

Is custody really free? Yes, on the first R$ 10,000 of LFT stock per CPF, which has been exempt since 2023. Anything above that pays 0.20% per year on the excess.

LFT or CDB at 100% CDI? A CDB carries FGC coverage up to R$ 250,000 per institution, but you take on the bank's credit risk. The LFT carries sovereign risk, which is lower, and tends to be where people put money that exceeds the FGC limit.

Does LFT lose value when Selic falls? No. Since it's post-fixed, the daily yield just tracks the new, lower Selic. The price holds; what changes is the future return, which slows down.