The Fundamentals of Brazilian Banking: Igor Cornelsen Speaks

Following the anomaly that affected the Brazilian banks in 2014, the global banking sector was left wondering what will become of the industry. Under the policies of Dilma Rousseff, the country’s economy was slightly shaken.

However, two of the top private banks, namely, Banco Bradesco (BBD) and Itau Unibanco (ITUB) experienced growth in terms of shares and profits. Read more: Igor Cornelsen gives you the basics on Brazilian banking and Igor Cornelsen fala sobre os bancos brasileiros e o que fazer antes de investor

In profit, ITUB experienced a 36% net rise while BBD saw their margin increase to 28%. How did the two banks manage in the midst of a troubling economic situation? In an article published in, Igor Cornelsen, an experienced banking expert addresses the fundamental as described below.

  1. The Essence of Key Market Players

“Identifying the major market players has been part of BBD and ITUB’s success”, says Igor. The country has ten major players in the sector who are very instrumental. Other than ITUB and BBD, other players include Banco do Brasil, Banco Bradesco, Caixa, HSBC, Santander, BTG, Banco J. Safra, and Banrisul.

  1. Lending to Worthy Borrowers

According to Igor, the private banks in Brazil only lend to customers with good credit reputation. They will give you money if you prove to be worthy of the credit. This gives them security in future projection. “People with less appealing credit record need to focus on the public sector”, says Igor.

In this case, the government is left to deal with those who have undesirable credit scores as the private banks deal with prospective ones.

  1. Real Value

Most investors choose to invest in the country due to its richness in economic resources. Brazil is supplied with good infrastructure that highlights a potential and attractive market economy. Read more: Igor Cornelsen Identifies 5 Ways Businesses Can Organize To Be More Successful

The country is the world’s biggest food supply and of course the largest nation in South America. All these factors attract investment banking and the private sector knows how to capitalize on the prospects.

  1. China Relation

China is very instrumental to Brazil’s banking sector and the two economies are linked. “A stronger china economy translates to an equally stronger Brazilian banking growth”, says Cornelsen.


Generally, the basic principle of capitalizing on the available market opportunities is effective when it comes to private banking. Igor Cornelsen demonstrates the importance of the private sector in Brazil’s economy.

Learn more about Igor Cornelsen: