By Brazil Stock Guide – Brazil’s stock exchange B3 S.A. (B3SA3) has opened its market to foreign retail investors through a partnership with Interactive Brokers Group Inc. (IBKR), marking a structural shift in how individuals abroad can access Latin America’s largest equities venue. Starting in December, eligible Interactive Brokers clients in the United States, Europe, the United Kingdom, Canada and parts of Asia can trade Brazilian stocks directly, bypassing hurdles that long restricted access.
The initiative follows a regulatory change approved in May 2025 by Brazil’s securities watchdog, the Securities and Exchange Commission (CVM), which created a new category known as Foreign Participant. Under the model, global brokers can operate in Brazil through a collective account, without sharing sensitive client data with local brokers, while still complying with Brazilian rules on beneficial ownership, supervision and market oversight.
Interactive Brokers, which provides access to more than 160 markets worldwide, will now add Brazil to its unified global platform. Its clients will face the same trading workflow used for US or European equities, while custody, registration and compliance are handled locally through B3’s Securities and Financial Services unit, the exchange said.
In the first phase, access will be limited to qualified investors, typically holding portfolios ranging from $500,000 to $1 million, according to B3. This initial rollout covers equities only, while derivatives are expected to be added in a second phase, expanding the scope of products available to foreign individuals.
Global investors need continuous, barrier-free access to diversified markets to remain competitive, said Milan Galik, chief executive officer of Interactive Brokers.
Foreign Participant Model
The change targets a long-standing bottleneck in Brazil’s capital markets. Foreign individuals and Brazilians living abroad historically accessed local equities only through complex structures, often involving local intermediaries, high fees and lengthy onboarding processes. Institutional investors, by contrast, already benefited from more streamlined channels into Brazilian assets.
Under the new framework, non-resident investors can obtain a Brazilian tax identification number (CPF) through a fully digital process, integrated via API with regulators including the Central Bank of Brazil and the CVM. Trading activity is monitored under anti-money laundering and counter-terrorism financing rules, while the investor’s identity remains shielded from local brokers executing the trades.
The setup mirrors practices used in developed markets, where omnibus accounts and automated compliance allow cross-border retail flows at scale. B3 said the structure was designed to be scalable and replicable with other global brokerage platforms.
Why It Matters
For B3, the move is part of a broader strategy to internationalize trading and expand liquidity in a market still dominated by domestic investors. Brazil’s exchange has sought to reduce its dependence on local retail flows, which surged during the pandemic and later retreated as interest rates rose.
For investors, direct access offers exposure to Brazilian equities without relying on ADRs or exchange-traded funds listed abroad. It also lowers friction at a time when emerging-market allocations have lagged developed markets in global portfolios.
The success of the model will depend on adoption by other global brokers and on how Brazil’s currency volatility and tax framework are perceived by retail investors overseas. Even so, launching the system with Interactive Brokers gives B3 an early proof of concept — and moves Brazil closer to global peers competing for international capital.
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