Attracting smaller investors in Brazil to certificate of real estate receivables (CRIs) has been a challenge due to the lack of a secondary market and a host of criteria — including concentration criteria — that originators must follow to issue CRIs smaller than R$300,000 ($184,000).

The construction companies that are the main originators of CRIs generally cannot meet this criteria and thereby issue only in volumes out of retail investors’ reach, a source said.

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