Bradesco is a household name in Brazil. Millions of Brazilians depend on Banco Bradesco for their banking needs. But banking in the largest country in Latin America is different from banking in the United States. Brazilian banks are not as credit-friendly as American banks. The interest rates on consumer and business loans is high. Those rates are coming down, but most people can’t qualify for a home or automobile loan. But even though consumers don’t get as many loans as the people living in the United States, the Brazilian banks are still very profitable. Bankers only lend money when there is enough collateral to cover the loan, and when bankers know the consumer will pay the bank back. Bradesco is a good example of a private bank that knows how to make money even when the economy is in a recession, according to CEO Luíz Carlos Trabuco Cappi. Bradesco makes money buying bonds, and by having insurance that protects the bank from some of the financial pitfalls that develop during a recession. Some banks are government-owned, so profit is not as important to them, but Trabuco Cappi’s bank is all about turning a profit. Bradesco is part of the São Paulo Stock Exchange and outside of Brazil, Bradesco stock is on the New York and Madrid stock exchanges. Bradesco also participates in the Dow Jones Sustainability World Index, according to Mr. Trabuco Cappi.
Mr. Trabuco Cappi is well-known in the banking world because he is a solid banker with a proven track record. He started his banking career with Bradesco in 1969. The bank gave him the title of “director” in 1984. In 1999, Bradesco’s Board of Directors gave him the title of vice-president. Then in 2003, Mr. Trabuco Cappi became the president of Banco Seguros. Banco Seguros is the in-house insurance division of the bank. Trabuco Cappi’s performance in the insurance division was the catalyst for Seguros contributing more than 30 percent to the bank’s profit in 2008. At the end of 2008, Trabuco Cappi got the job he worked for years when he sat in the president’s chair for the first time. Mr. Trabuco is only the fourth president in Bradesco’s history. His degree in philosophy from the São Paulo, and his post-graduate work in psychology, finally paid off. In 2015, Trabuco Cappi and the bank’s Board of Directors had an important decision to make. HSBC’s Brazilian operation was for sale, and the bankers thought the 851 HSBC branches and the more than 1,800 service stations would help the bank get closer to its goal of being the largest private bank in the country. Bradesco executives thought the $5.2 billion price tag for the HSBC operation would help the bank achieve that goal faster. Banco Itaú went through a similar acquisition situation in 2008 when that bank bought Unibanco. Itaú Unibanco has more assets under management, but Bradesco is not far behind in the race to become the largest and most recognized private banking institution in the country.
The credit for Bradesco’s current success goes to the bank executives and the more than 100,000 bank employees. Sixty-six-year-old Trabuco Cappi doesn’t flaunt his banking track record. He manages to keep a low-profile, but the banking industry gives him a lot of credit for his perseverance and tenacity during the dark economic times in Brazil. Bradesco current banking mentality is an online and mobile banking mentality. More Bradesco clients use their mobile devices to do their banking, and Trabuco Cappi and his team have the apps in place to make online banking an easy and almost effortless experience.https://br.linkedin.com/in/luiz-carlos-trabuco-trabuco-37a79229