An Overview of the Brazilian Banking Sector According to a Top Investment Expert, Igor Cornelsen

The Brazilian economy was marked by instability in the year 2014. Surprisingly, the banks in the country recorded a rise in shares value and profits. For instance, two banks Banco Bradesco and Itau Unibanco recorded a one-third increase in share value while profit rose by 28% and 36% respectively in the third quarter.

A high-flying banker and investment expert in Brazil, Igor Cornelsen sites the massive experience and understanding of the market as the reason why banks continued to flourish despite the economic instability.

Private banks in Brazil are wary of lending to people with low credit worth. They mainly focus on people who are capable of paying back the loan.

This move shields them from losses and minimizes costs. It, however, leaves this group of investors with the option of seeking financial assistance from the banks in the public sector. Read more: Igor Cornelsen Identifies 5 Ways Businesses Can Organize To Be More Successful

Other options would be to drop their business idea or raise capital from other means. Such a scenario poses a challenge to the economic growth of the country which calls for the Brazilian government to instill policies that favors all investors. In a report published on, Igor Cornelsen shared some insights on the Brazilian banking sector to intending investors.

Things to Consider

The Brazilian economy, which is the largest in South America is comprised of 10 top commercial and investment, private and state banks. The leading bank is Banco Itau that merged with Unibanco in the year 2008. Others in the league include Caixa Economica Federal, Banco Bradesco, HSBC, Banco J Safra, Santande, rBanco do Brasil, BTG Pactual, and Citibank Brazil. Learn more about Igor Cornelson:

The Brazilian banking sector has a lot to leverage from the finance minister’s office with Joaquim Levy holding the seat. He is seen to make policies that favor the private banks bringing hope to the sector.

It is paramount for investors to understand the economic standing of the trading partners of the economy they seek to invest in, Igor Cornelsen notes. For people intending to invest in Brazil, he advises on understanding China’s economy which stands as a trading partner to the country.

For a long time, the Brazilian real remained overvalued which in turn reduced the competitiveness of industrialized goods. With the government’s intervention, there is hope in the situation.

Learn more about Igor Cornelson:

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