Bradesco is a big Brazilian bank. In fact, Bradesco could move to the top of the private banking industry in Brazil while Luiz Carlos Trabuco is the CEO. Trabuco has all the right ingredients. He’s been a banker for 40 years. He got his start in banking after earning a philosophy degree from the University of São Paulo. The 56-year-old executive knows what every job in the banking business entails because he has experience in all of those jobs.
Trabuco is a CEO who rose from the ranks. He had to prove he had what it takes because he didn’t earn a finance or accounting degree. So Trabuco did what any intelligent future bank CEO would do. He let his work ethic speak for him. And that work ethic is the inspiration for all the members of the Bradesco team today.
The banking business in Brazil is not the same as the banking business in the United States. The Brazilian government owns one of the largest banks in the country, and that makes the playing field a little uneven. But in spite of an uneven playing field, Bradesco is able to generate more profit and gain more respect, than the federal banks like Caixa Econômica Federal. The bank of choice in Brazil is Banco Itaú because it is one of the world’s major banks, and it is the largest financial institution in Latin America. But even though Banco Itaú is a world class bank, Bradesco does more for the Brazil in terms of social-economic programs.
Bradesco is an environmentally friendly bank that participates in programs like the Brazilian Green House Emissions Program, Global Compact, Companies for Climate Change and the Carbon Disclosure Program. The bank’s 2017 educational program will help more than 104,000 children get the basic education they need to get and keep a job in Brazil.
The extensive Bradesco customer service network is another plus for the bank. There are more than 5,000 bank branches around the country and 3,900 service points. The bank has more than 990 operating ATMs in bank branches. There are 38,000 express customer service points with 36,000 Bradesco ATMs, and there are 24,000 24-our ATMs in operation. Bradesco employs more than 105,000 people. The bank invests in training and education for all employees who want to participate in the bank’s development programs.
Banks in Brazil make more money than banks in other countries. Economic trends and government policies help Brazilian banks. Plus, the interest rates in Brazil are higher than interest rates in other countries. That is one reason Brazilians have a pay-as-you-go mentality. Even though interest rates are lower than they were two years ago, the banks are still cautious when it comes to lending money. Bradesco and other banks make more money on bonds than loans, according to Trabuco.
Michel Temer, the new president of Brazil, is trying to find ways to cut debt. One solution is taxing bank profits at a higher rate. The banks don’t like that idea, but the government policy of selling bonds that increase payouts when interest rates rise is a program the banks like. That program protects banks when a recession cripples the country. A good example is the recession that is just coming to an end. Bank profits are better than ever, and bank profits will continue to increase as the country moves forward. The economy is still not moving as fast as the government forecasts, but Trabuco and Bradesco will continue to do what they always do. They contribute to the social and economic well-being of Brazilians, and the bank continues to produce record profits for shareholders.
Learn more about Bradesco: https://br.linkedin.com/in/luiz-carlos-trabuco-trabuco-37a79229