CMN restricts FIDC investment in litigious judicial credits

The National Monetary Council (CMN) has issued Resolution 5.343/2026, introducing new regulations for Receivables Investment Funds (FIDCs) regarding the acquisition of litigious credits. Starting October 13, FIDCs will be prohibited from investing, directly or indirectly, in rights or expectations of rights arising from judicial actions or arbitrations until the credit becomes definitively liquid, certain, and enforceable.

Previously, funds could purchase the expectation of success in lawsuits still in the knowledge phase. Under the new rules, funds must generally wait for the final judgment (res judicata), the liquidation process, and the conclusion of any challenges or appeals. In arbitration, a sentence recognizing the right and fixing the value is required, along with the expiration of the period for annulment actions.

The regulation also closes loopholes, preventing the use of corporate layers, other investment vehicles, or derivatives to bypass these restrictions. This change significantly impacts a growing segment of the capital market, as data from the National Council of Justice indicates that 63% of processes in Brazil are still in the knowledge phase, whereas only 37% have reached the execution stage.