Banco Bradesco Stock

Banco Bradesco S.A. provides various banking and financial products and services in Brazil and internationally to individuals, large, mid-sized, small and micro enterprises and major local and international corporations and institutions.

The company’s products and services consist of banking operations, such as loans and advances, deposit-taking, credit card issuance, purchasing consortiums, insurance, capitalization, leasing, payment collection and processing, pension plans, asset management and brokerage services.

On August 24, 2022, the company signed a contract with Banco Votorantim S.A. to set up an independent investment manager (BV DTVM), which will have its own brand. Through the company’s indirect subsidiary Kartra Participações Ltda, it acquired 51% of the capital of BV DTVM. Banco Votorantim S.A. remains a shareholder, holding 49% of BV DTVM. On February 28, 2023, after compliance with necessary legal and regulatory conditions, the acquisition was completed.

Segments

The company operates through two segments the Banking; and the Insurance, Pension Plans and Capitalization Bond

Banking

In its banking segment, the company offers a range of products and services to its clients, including deposit-taking, granting of loans and advance payments, debit and credit card services and capital market solutions, through its extensive distribution network.

The company has a diverse client base that includes individuals and small, mid-sized and large companies in Brazil. Historically, the company has cultivated a strong presence among the broadest segment of the Brazilian markets, including middle- and low-income individuals.

Clients

By the end of 2022, the company’s client base was composed of 77.1 million clients. A wide presence allows the company to act on a large scale, with diversification as a differentiator of its business model.

Segmentation of Clients

To ensure the company provides a high level of service to its clients, it operates a segmented business structure, for clients of Banco Bradesco, both individuals and companies, which allows it to offer agility and practicality in all areas.

Companies

Bradesco Corporate

Bradesco Corporate is responsible for serving business groups and focuses on both large and medium-sized enterprises. Based on a value proposition of physical proximity and fostering client relationships, it offices are located in the main financial centers, offering customized services with a national reach and a highly skilled team to fulfill clients’ needs through a wide portfolio of products, structured solutions and financial services.

To provide these solutions, it is important to strengthen the relationship with clients and to deliver a robust value proposition. Bradesco Corporate is segmented according to sector, market, size and nature of its client companies, among other criteria, consisting of four large areas:

Large Corporate: A highly qualified team, with a sector-based approach, offering customized consultancy services to serve large corporations located both in Brazil and worldwide;

Corporate: A specialized service for large companies, organized by market sector and with a physical structure in various cities in Brazil;

Corporate One: Focused mainly on the middle market, it also has a team focused on providing services to large companies. This area has a national presence in Brazil and a regionalized structure, composed of 67 units located in the major cities and capitals, across 8 regions, and another 88 corporate branches throughout the rest of Brazil; and

Multinational and Institutional: The company’s multinational business unit is targeted at global companies with Brazilian subsidiaries. It provides a differentiated service, with specialized professionals, financial solutions and services for a better operation in the country. Its operations in the institutional segment, including the offering of Prime Brokerage services, are centered on a team of professionals specialized in providing secure and efficient access to financial products and solutions to meet the needs of institutional clients, such as Asset Managers, Pension Funds and Stock Brokers.

Bradesco Empresas e Negócios (Companies and Businesses)

Bradesco Empresas e Negócios is a business unit prepared to meet the needs of micro, small and medium-sized enterprises, through its business units strategically positioned throughout Brazil.

The business unit offers business management solutions and includes specialized professionals who assist companies. The service is available through the company’s Branch Network, Digital Platform and exclusive High Value Branches.

The company’s solutions, including loans, financing, investments and business specialist in activities related to foreign trade, foreign exchange and cash management and insurance, aim to satisfy its clients and support their growth.

Individuals

Bradesco Global Private Bank

Bradesco Global Private Bank offers exclusive, personalized service and works side-by-side with clients to preserve and manage family wealth and provide support for future generations.

Designing innovative solutions to meet clients' individual objectives and needs, the company has a complete Wealth Management structure, which involves liquid and illiquid assets and investment structures for the perpetuation of wealth.

Global Private clients have access to, what is, a differentiated portfolio of local and international investments, and access to a multidisciplinary team of specialists, in addition to all of the company’s business solutions including, among others, Banco de Investimentos BBI, Bradesco Asset, Ágora Corretora, Insurance and Pension Funds.

Bradesco Global Private Bank has offices located in São Paulo, Rio de Janeiro, Belo Horizonte, Blumenau, Campinas, Curitiba, Fortaleza, Goiânia, Manaus, Porto Alegre, Recife, Ribeirão Preto and Salvador, thus ensuring a nation-wide presence, in addition to providing exclusive international services in Luxembourg and Miami.

Bradesco Prime

Bradesco Prime is tailored towards high-income individuals. Besides a broad network, it has exclusive platforms to serve digital customers.

The company’s clients have access to the full relationship model, with carefully considered solutions for each profile and stage of life, plus numerous benefits such as:

Relationship Manager: Qualified professionals who support clients in managing their resources, considering their needs and stage of life;

Extensive Network: An extensive network of branches, Bradesco Prime Spaces and Platforms throughout the country, offering convenience and total privacy so clients can tend to their business affairs;

Program of benefits: A discount of up to 100% on the value of the company’s service package and an exemption from the annuity of its credit cards, depending on the volume of investments and/or concentration of the client’s spending, plus up to 12 days without interest on overdrafts depending on the volume of investments;

Viva Prime program: A relationship platform that offers discounts on gastronomy, entertainment, travel and miscellaneous products, exclusive experiences in Cinemark Rooms, Teatro Bradesco (theater), Livelo and Menu Program, among others;

Recommended Investment Portfolios: Suggested by a certified and qualified team based on the economic conditions and the analysis of the investor’s profile (API) that seeks to achieve the best balance between risk and return;

Investment Specialists: To support the client to make decisions regarding their portfolio according to the investor profile and their current life circumstances; and

PIC (Prime International Center): Remote service for foreign clients in Brazil.

Throughout its existence, the Bradesco Prime has invested in technology, the improvement of relationships and the training of its professionals, which has resulted in it holding a prominent position in the Brazilian market of banking services for high-income clients and has consolidated its position as one of the largest banks in the segment.

One of Bradesco Prime's primary objectives continues to be to provide the best experience to its clients, always seeking to make the relationship between clients and the bank more satisfactory and sophisticated.

Bradesco Exclusive

Operating throughout Brazil, its main focus is the quality of its customer service and the provision of appropriate solutions according to the client’s life circumstances. The company’s clients are constantly evolving, so it offers exclusive services to make their life easier, thereby increasing their perception of value and strengthening its relationship with them. Such services include:

Relationship Manager: Qualified professionals who advise on financial planning, ask the necessary questions and offer solutions according to the client's current life circumstances;

Investment Advice: Investment specialists who understand the needs and profile of the investor, clarify doubts and present, within the complete product portfolio, the best investment alternatives. In addition, the client can schedule an appointment using the Bradesco App or Internet Banking, or use the Investment chat on Internet Banking or the Bradesco App;

Loans: Several credit products with different rates and conditions, allowing the client to use the pre-approved products available in several service channels;

Protection: Insurance available for all phases of the client’s life, such as material goods or family protection (life, health and other insurance); and

Convenience: Alternative services such as digital channels, including the Bradesco App, Internet Banking, Self-service machines, as well as BIA (Bradesco Artificial Intelligence) via WhatsApp. Thus, the client decides how best to be served.

Bradesco Exclusive offers solutions to match a client’s needs and ambitions according to their priorities and provides recommendations aimed at specific products and services, based on the client's need and interest.

Bradesco Classic

Bradesco Classic is centered upon financial inclusion, and is directed at the company’s individual clients. Clients in this segment will have an easy access bank, along with a broad portfolio of products and services that meet their everyday needs and the advantage of being able to access them throughout Brazil, whether through the company’s physical branches or its digital channels (App, Internet Banking and easy phone).

Non-Account Holders

In 2018, the Non-Account Holders Department was created to strengthen the relationship with individual and corporate clients who purchased at least one of the company’s products, except for checking accounts. By identifying the client’s profile and portfolio combination, it seeks to provide financial products with personalized offerings through both physical and digital channels.

The purpose of the area is to coordinate offerings and approaches, as well as to facilitate access to financial products, creating new channels and providing new customer experiences with improved processes and technology.

Products and Banking Services

In order to meet the needs of each client, the company offers the following banking products and services:

Deposit Accounts

The company offers a variety of deposit accounts to its clients, including:

checking accounts, such as:

Conta Fácil (Easy Account) – a checking account and a savings account with the same bank account number, accessed by the same card, for individuals and legal entities;

Click Conta (Click Account) – checking accounts for children and young people from 0 to 17 years of age, with an exclusive website, debit card, automatic pocket money service, free online courses and exclusive partnerships, among other benefits;

Conta Universitária (Academic Account) – low fee checking account for college students, with subsidized credit conditions, student loans, an exclusive website, free online courses and exclusive partnerships, among other benefits; and

Conta Corrente (Checking Account) – accounts intended for companies and public entities of a specific legal nature, which do not have a linked savings account.

traditional savings accounts; and

time deposits, which are represented by Bank Deposit Certificates ( certificados de depósito bancário or CDBs) and earn interest at a fixed or floating rate.

As of December 31, 2022, the company had 38.0 million account holders (clients who have a deposit account which is available for use), of which 36.2 million were Individuals and 1.8 million were Legal Entities. As of the same date, the company had 68.7 million savings accounts.

Financing and Onlending

Financing and Export and Import

The company’s Brazilian foreign-trade-related business consists of providing financial services to its clients in their export and import activities.

In import financing/refinancing, the company directly transfers funds in foreign currency to foreign exporters, fixing the payment in local currency for Brazilian importers. In export financing, exporters obtain advances in reais on closing an export forex contract in exchange for future receipt of foreign currency on the contract due date. Export finance arrangements prior to shipment of goods/performance of services are known locally as Advances on Exchange Contracts or ACCs, and the sums advanced are used to manufacture goods or provide services for export. If advances are paid after goods/performance of services have been delivered, they are referred to as Advances on Export Contracts, or ACEs.

There are other forms of export financing, such as Export Prepayments, onlendings from BNDES-EXIM funds, Export Credit Notes and Bills (referred to locally as NCEs and CCEs), and Export Financing Program with rate equalization – PROEX.

The company’s foreign trade portfolio is funded primarily by credit lines from correspondent banks. The company maintains relationships with various American, European, Asian and Latin American financial institutions for this purpose, using its network of approximately 845 correspondent banks abroad, 68 of which offered credit/guarantee lines as of December 31, 2022.

Housing Loans

Housing loans are provided for the acquisition of residential and commercial real estate, and plots of land; and the construction of residential and commercial developments. As of December 31, 2022, the company had 336 thousand financing contracts.

Loans for the acquisition of residential real estate have a maximum term of up to 35 years and annual interest rates of 9.5% to 9.9% p.a. and are indexed to TR, or annual interest rates of 2.99% p.a. and are indexed to the savings account remuneration. Commercial real estate financings have a maximum term of up to ten years and annual interest rates up to 11.0% p.a. and are indexed to TR.

Loans for construction, also known as the Businessman Plan, has a construction term of up to 36 months plus a grace period for transfers to borrowers, which varies between 6 and 12 months. The interest rates of these loans are priced individually at the time of contracting and are indexed to TR or savings rates.

Central Bank of Brazil regulations require the company to grant at least 65.0% of the balance of savings accounts as housing loans. The remaining funds are to be used for financings and other operations permitted under the terms of the legislation in force.

BNDES/Finame onlending

BNDES is the bank used by the Federal Government to support entrepreneurs of all sizes, including individual rural producers in carrying out their plans for modernization, expansion and implementation of new businesses, with the aim of generating jobs, income and social inclusion in Brazil. Its portfolio has certain products and programs to provide government-funded long-term loans with different interest rates, focusing on economic development. The company is one of the structuring agents of BNDES funds, lending to borrowers in several sectors of the economy.

Vehicle Loans

Vehicle Loans are granted for the purchase of light and heavy vehicles, both new and used, to individuals and legal entities. The company offers these products through its branch network and Bradesco Financiamentos, being in direct contact with clients and business partners for the acquisition of light vehicles, motorcycles, trucks, buses, machinery and equipment.

The company’s vehicle loans portfolio grew in 2022 due to the changes made to its approval policies, economic recovery and improvements in procurement processes, maintaining its position among the largest portfolios in the Brazilian markets.

Leasing

As of December 31, 2022, the company had 3,763 active leasing agreements. Financial leasing involves trucks, cranes, aircraft, ships and heavy machinery. In this same period, 23.6% of its transactions were for vehicles (cars, buses, micro-buses and trucks).

The company conducts its leasing transactions through its primary leasing subsidiary, Bradesco Leasing, and through Bradesco Financiamentos.

Borrowings

Working Capital

This is a line of credit for companies, available via physical and digital channels, granted to cover expenses or investments inherent in the company’s working capital, such as payments relating to salaries, stock renewal, training and others.

Personal Loans / Payroll-Deductible Loans

Personal loans are loans with a pre-approved limit for an unspecified purpose. Payroll-deductible loans are available to INSS pension plan beneficiaries and retirees, to public servants and to the private sector.

The average term of these loans is 59 months and interest rates range from 1.6% to 3.5% p.m., as of December 31, 2022.

Rural Loans

The provision of loans and financing to the agribusiness sector is made available from the following resources:

The demand deposit, due to the requirement by the Central Bank of Brazil for the investment of 25% of the Value Subject to Collection (VSR), which is called Obligatory Resources (RO), in the agribusiness sector, and which has interest rates from 5.00% p.a. to 12.0% p.a. as per the rule of investment of the Manual of Rural Credit (MCR);

The company’s Treasury for operations; and

BNDES onlending, through lines directed to the Agribusiness sector, destined for investments in equipment, machinery, infrastructure, recovery of pasture, etc., with a term of up to 10 years.

The majority of loans have semiannual or annual payments with payment terms matched to periods of the harvest cycle. The guarantees are usually tied to the disposal/mortgage of property and machines, the latter valid for the financing of goods in addition to agricultural or livestock lien.

Credit Card

The company offers a comprehensive range of credit cards to its clients, including Elo, American Express, Visa, MasterCard and private label cards, which stand out due to the extent of benefits and convenience offered to associates.

The company earns revenues from its credit card operations through exchange fees on purchases carried out in commercial establishments; annual fees; interest on credit card balances; interest and fees on cash withdrawals through Automated Teller Machine (ATMs); and interest on cash advances to cover future payments owed to establishments that accept credit cards.

The company offers its clients a complete line of credit cards and related services, including credit cards for different audiences for purchases and withdrawals in Brazil and abroad; credit cards directed toward high-net-worth clients, such as The Platinum Card, Infinite, Black, Nanquim, Diners and Aeternum from Elo, Visa, American Express and MasterCard brands; cards destined for corporate clients, geared toward business expenses and control of expenditure; multiple cards that combine credit and debit features in a single card, which may be used for traditional banking transactions and shopping; co-branded credit cards, which it offers through partnerships with companies; and private label credit cards, which it only offers to clients of certain retailers, designed to increase business and build client loyalty for the corresponding retailer. These cards may or may not have a restriction on making purchases elsewhere, among other restrictions.

The company holds 50.01% of the shares of Elopar, an investment holding company with shares in Alelo (benefit and prepaid cards), Livelo (coalition loyalty program) and Elo Serviços (a card brand). The company has joint control of, and a relevant stake in, Cielo S.A. (payment solutions).

The company also has a card business unit abroad, Bradescard Mexico, operating exclusivity in leading retail chains in Mexico.

The company has several partners to whom it has offered co-branded/hybrid and private label credit cards. This has allowed the company to deepen its relationships with its clients and offer banking and insurance products to its credit card clients, such as financing and insurance.

Overdraft

The overdraft is a revolving credit facility available for use with the checking account, which allows greater availability of financial resources in the case of withdrawals, transfers, honoring of payments and other debits, where the client's own resources are not sufficient.

Conta Garantida (Guaranteed Account)

Conta garantida is a revolving credit facility for companies and individuals to meet short-term needs. The limit of the conta garantida allows for the negotiation of more attractive rates. However, in most cases, it requires a guarantee which can be a surety, disposal of assets, guarantees of contracts or anticipation of receivables, and investments, among others.

Credit policy

The company’s credit policy focuses on:

ensuring the efficient management of lending and credit maintenance and ensuring the profitability and strong growth of its assets;

ensuring a maximum level of commitment and/or exposure, based upon the nature of the client, individual or legal entity, and of the business; and

minimizing risks inherent in lending activities.

The company’s credit policy defines criteria for lending and setting operational limits. In accordance with the rules set out in its internal policy, credit approvals can be decided by the commercial area, by the credit department and by its Board of Directors.

The company’s transactions are diverse and target individuals and legal entities that show an ability to pay and remain in good standing. In all cases, the company aims to have them secured by appropriate collateral to compensate for the risks involved, considering the use of funds and repayment periods, as well as risk ratings. The company has credit limits for each type of loan. The company also pre-approves some credit limits for individual and corporate clients.

The company reviews the credit limits of its clients every 180 days. However, in general, the review process takes place every 90 days.

The company’s maximum exposure per client (e.g., individuals, companies or other economic groups) is determined by client rating and the aggregate maximum exposure is limited to 15.0% of its Reference Equity.

The company’s credit policy is continuously developing and as part of its risk management process, it continues to improve its credit granting procedures, including procedures to gather data on borrowers, calculate potential losses and assess applicable classifications. Additionally, the company assess its institutional credit risk management in view of the recommendations by the Basel Accords, including by refining its methodology to calculate possible losses; identifying and implementing changes in its reporting processes to improve its loan portfolio management; restructuring its information control structure; and assessing the organizational structure of its loan assessment practices, including analyzing the demand for technology and addressing new issues.

Lending

The company uses systems which are continually supervised and reviewed for loans operations analysis, allowing it to build a level of flexibility and accountability, as well as standardize the procedures for conceding loans.

With these tools, the company’s branches can respond quickly to clients, keep costs low, and control the risks inherent in consumer credit in the Brazilian markets.

In order to serve its clients’ needs as quickly as possible and securely, the Credit Department uses segmented analyses with different methodologies and instruments for credit analysis in each segment, in particular:

in the Classic, Exclusive, Prime and Private – Individuals segments, the company considers the individual’s reputation, credit worthiness, profession, monthly income, assets (goods and real property, any liabilities or interests in companies), bank indebtedness and history of their relationship with it, compliance with payment dates and rates in loans and advances, as well as the guarantees involved;

in the Companies and Business segment, in addition to the points, the company focuses on the owners of the relevant company, as well as considering the length of time in business and monthly revenues;

in the Corporate One, Corporate, Large Corporate and Multi & Institutional segments, the company considers management capability, the company/group’s positioning in the market, its size, its economic development, cash flow capability, and business perspectives. The company’s analysis includes the applicant, its parent company/subsidiaries, and the type of business; and

its analysis also extends to socio-environmental risks for projects that require clients to show compliance with socio-environmental regulations and the Equator Principles, consisting of socio-environmental criteria as conditions for loans, which were introduced in 2002 by the International Finance Corporation (IFC), the World Bank’s financial arm.

Collection and Loan Recovery

The company has a department that focuses on the collection and recovery of loans, seeking to reduce the rates of delinquency and losses, as well as to maintain its relationship with clients. By using its own algorithms, updated periodically, with separate debtors according to levels of risk and likelihood of payment, its collection strategies are more assertive and efficient.

Collection occurs through the company’s network of branches, call centers, digital channels, and friendly and judicial collection offices. In addition, specialized regional teams tailor their operations and submit significant cases to the corresponding authority levels in the Commission or Executive Committee for Collection and Credit Recovery, respecting the governance of the established authority level. Once the usual means for loan recovery have been exhausted, the company periodically perform sales of delinquent loans through auction processes in order to optimize all means of resources and collection.

Cash Management Solutions

Management of accounts payable and receivable – In order to meet the cash management needs of the company’s clients in both public and private sectors, it offers a broad portfolio of high-quality products and services of accounts payable and receivable, supported by its network of branches, banking correspondents, digital channels and the Bradesco App, all of which provide more speed, stability and security for client data and transactions. The company’s solutions include receipt and payment services and resource management, enabling its clients to pay suppliers, salaries, and taxes and other levies to governmental or public entities.

These solutions, which can also be customized, facilitate the company’s clients’ day-to-day tasks and help to generate more business. The company also earns revenues from fees and investments related to collection, check custody, credit order, and payment processing services, and from funds in transit received up to the date of their availability to the related recipients.

Solutions for receipts and payments – In 2022, the company settled 1.1 billion invoices through the services of Cobrança Bradesco and 507.9 million receipts pertaining to tax collection systems and utility bills (such as water, electricity, telephone and gas), check custody service, identified deposits and credit orders. The corporate systems processed 1.1 billion documents related to payments to suppliers, salaries and taxes.

Global Cash Management – Global Cash Management aims at structuring solutions for foreign companies that want to operate in the Brazilian markets and for Brazilian companies conducting business in the international market. By way of customized solutions, partnerships with international banks and access to the Society for Worldwide Interbank Financial Telecommunication (SWIFT) network, the company’s exclusive client service team offers customized products and services to identify solutions for companies.

Niche Markets – The company operates in various niche markets, such as franchises, Individual Microentrepreneur (MEI), education, health, condominiums, and notary offices, among others, where its clients have the support of a specialized team with the mission of structuring customized solutions that add value to their business.

As an example, the franchising niche has a team of franchising specialists who, through their relationship with franchising brands, identify opportunities to finance and provide services to all franchisees and their employees. The partnership with the franchise networks occurs through structured commercial activities in synergy with the managing departments, commercial segments, and affiliated companies. The focus on the peculiarities of this sector creates a competitive and sustainable position by structuring appropriate solutions and, in particular, through the strategy of providing differentiated and specialized services. The company has more than 600 agreements in place with franchising brands, generating numerous opportunities to open new checking accounts and leveraging business with the respective franchisees.

Another important feature in this area is the support the company provides toLocal Production Groups (APLs, local acronym), by providing services to businesses and assisting these clients. Participating in an APL strengthens companies, because together they can form a collaborative and important group for local development, allowing for greater competitive and sustainable advantages for micro and small businesses. There are 839 APLs throughout the country, located in 2,580 municipalities.

Microentrepreneurs use the MEI Portal, including free services provided by partners to meet their day-to-day needs.

Public Authority Solutions

The company has a specific area dedicated to serving the public administration, which offers specialized services to identify business opportunities and structure customized solutions to entities and bodies of the Executive, Legislative and Judiciary branches at federal, state and municipal levels, in addition to independent governmental agencies, public foundations, state-owned and mixed companies, the armed forces (army, navy and air force) and the auxiliary forces (federal and state police forces).

The company’s exclusive website, developed for its clients, offers corporate solutions for federal, state and municipal governments for payments, receipts, human resources and treasury services.

The company’s commercial relationships with such public authorities are conducted by specialized business managers located in distribution platforms throughout the country, which can be identified on its website. The company has nine Specialized Platforms to assist governments, capitals, courts, class councils, chambers, prosecutors, public defenders and the largest municipalities based on GDP, and 34 Platforms providing services to the City Halls and other Authorities.

In 2022, the company took part and were successful in payroll bidding processes sponsored by the Brazilian government. Furthermore, according to INSS, the company continues to be leaders in payments of INSS benefits, with more than 11.6 million retirees and pensioners.

Management and Administration of Third-Party Funds

The company provides fiduciary administration services to investments funds and managed portfolios, with regulatory responsibility for operation of investments funds.

Bradesco Asset also conducts management of third-party resources, being responsible for investment decisions mutual funds; managed portfolios; exclusive funds; and FIDCs (Receivable Funds), FIIs (Real Estate Investment Funds) and ETFs (Exchange Traded Funds).

Management of Funds and Portfolios – On December 31, 2022, Bradesco Asset managed 1,786 funds and 454 portfolios, providing services to 3.7 million investors. Among its biggest clients are all of the company’s client segments and Grupo Bradesco Seguros, in addition to institutional investors in Brazil and abroad. These funds comprise a wide group of fixed-income, non-fixed income, investments abroad and multimarket funds, among other types.

Administration of third-party funds – On December 31, 2022, the company provided administration services to 4,415 funds, 486 portfolios and 48 investment clubs, providing services to 3.1 million investors.

Services Related to Capital Markets and Investment Banking Activities

As its investment bank, Bradesco BBI is responsible for originating and executing project financing operations; originating and executing mergers and acquisitions; originating, structuring, syndicating and distributing fixed income securities in Brazil and abroad; and originating, structuring, syndicating and distributing issuances of securities of equity in Brazil and abroad.

In 2022, Bradesco BBI advised clients in a total of 282 operations across a range of investment banking products.

Mergers and Acquisitions – Bradesco BBI provides advisory services in merger and acquisition and corporate purchase and sale transactions, including the sale of companies and assets, private placements, creation of joint ventures, financial and corporate restructuring, and privatizations. In 2022, Bradesco BBI advised 29 transactions.

Equity – Bradesco BBI coordinates public offerings of shares in national and international markets. In 2022, Bradesco BBI coordinated 10 operations.

Fixed income – Bradesco BBI coordinates public offerings of securities of fixed income in the local and international debt capital markets. In 2022, Bradesco BBI coordinated a total of R$272 billion in the capital market and a total of 243 transactions. In Fixed Income, it highlights:

Operations in the Local Market – Bradesco BBI ended the year having coordinated 129 transactions in the local fixed income market;

Project Finance – Bradesco BBI acts as advisor and structuring agent in the areas of Project and Corporate Finance, seeking to optimize financing solutions for projects across various industries through both credit and capital markets operations. In 2022, Bradesco BBI advised 60 structured operations for different clients;

Structured Operations – Bradesco BBI structures customized financial solutions for its clients based on their needs, by offering a number of funding tools to companies. Such tools include investments, acquisitions, corporate reorganization, share repurchase, improved financial ratios, capital structure streamlining, and assets and risk segregation. Additionally, Bradesco BBI has a strong presence in the acquisition finance segment. In 2022, Bradesco BBI advised 37 structured operations for different clients; and

Operations in the International Market – Bradesco BBI also featured in the international capital market, coordinating 17 transactions.

Investment Platform

The company has a full asset management platform that aims to provide clients with differentiated and customized investment advisory services, in person and remotely, covering its entire product range, including investment solutions in Bradesco Asset, Ágora Investimentos, Treasury, and Bradesco Previdência, all taking into account the client’s profile, current life circumstances, needs, and objectives.

The investment advisory service has a team of investment specialists, in addition to assisting managers in the branch network, who complement each other. The clients also benefit from tailored portfolios, which combine a range of financial assets, established monthly based on the client’s risk profile and the perspectives of economic scenarios in the local and international environments.

Intermediation and Trading Services

Ágora Investimentos

Ágora – Banco Bradesco’s official Brokerage – is an investment platform that prioritizes the journey and experience of the investor combining technology and innovation, and offering financial education, quality content and advice for all its clients. It is dedicated to the service of individuals and legal entities, both Bradesco and non-Bradesco account holders. Through the Ágora website or Ágora App, the client can access a Home Broker, their asset trading platform on B3 and a select portfolio of investments which is offered from selected institutions in the market, providing opportunities in fixed income, investment funds, COEs, LIGs, public offers and private pensions, including access to investments abroad. All of this is contained in one place, 24/7, either via the Ágora website or Ágora App.

To assist in making decisions when investing, on Ágora Insights, the clients have at their disposal recommendations, reports, analyses, livestreams during the trading session and podcasts, as well as greater coverage of companies listed on the stock exchange, with content prepared by a team of renowned economists and market analysts. With Ágora, whatever the profile, the client has a team of specialists who understand the subject when it comes to investing, finding the best opportunities according to their objectives.

In addition to the full range of investment products, the Ágora client has exclusive programs and services for their day-to-day life, such as the credit card Ágora Visa Infinite, with 1% cashback and several advantages; exclusive benefits such as a road toll tag and car parking with no fees, in partnership with Veloe; and the Ágora Plus Program, which offers discounts and cashback in several partner stores.

With regards to the pillar of financial education, through the Ágora Academy, the company offers more than 90 courses, 50 of which are completely free. All have been developed by the best business schools in the country, for those who want to learn, specialize and even professionalize in the market.

Young people and university students can start their investment journey through special programs with Ágora Kids and Universitário. Market professionals have modern and advanced asset trading platforms, by Ágora Trader.

Intermediation and Trading Services

Ágora Investimentos

Ágora – Banco Bradesco’s official Brokerage – is an investment platform that prioritizes the journey and experience of the investor combining technology and innovation, and offering financial education, quality content and advice for all its clients. It is dedicated to the service of individuals and legal entities, both Bradesco and non-Bradesco account holders. Through the Ágora website or Ágora App, the client can access a Home Broker, their asset trading platform on B3 and a select portfolio of investments which is offered from selected institutions in the market, providing opportunities in fixed income, investment funds, COEs, LIGs, public offers and private pensions, including access to investments abroad. All of this is contained in one place, 24/7, either via the Ágora website or Ágora App.

To assist in making decisions when investing, on Ágora Insights, the clients have at their disposal recommendations, reports, analyses, livestreams during the trading session and podcasts, as well as greater coverage of companies listed on the stock exchange, with content prepared by a team of renowned economists and market analysts. With Ágora, whatever the profile, the client has a team of specialists who understand the subject when it comes to investing, finding the best opportunities according to their objectives.

In addition to the full range of investment products, the Ágora client has exclusive programs and services for their day-to-day life, such as the credit card Ágora Visa Infinite, with 1% cashback and several advantages; exclusive benefits such as a road toll tag and car parking with no fees, in partnership with Veloe; and the Ágora Plus Program, which offers discounts and cashback in several partner stores.

With regards to the pillar of financial education, through the Ágora Academy, the company offers more than 90 courses, 50 of which are completely free. All have been developed by the best business schools in the country, for those who want to learn, specialize and even professionalize in the market.

Young people and university students can start their investment journey through special programs with Ágora Kids and Universitário. Market professionals have modern and advanced asset trading platforms, by Ágora Trader.

In December 2022, Agora Investimentos reached 886.2 thousand clients3. We believe this was achieved by focusing on the journey and experience of the investor through technology and innovation, as well as the dissemination of financial education, quality content and specialized advice to all its clients.

Bradesco Corretora

Bradesco S.A. CTVM, or Bradesco Corretora, provides services exclusively to the institutional segment, offering a full suite of investment analyses that cover the main industries and companies in the Latin American market, a team composed of 29 sector specialists who provide consultations to the clients by follow-up reports and stock guides, and a wide range of projections and comparison multiples. Bradesco Corretora also has teams of its own economists and fixed income analysts dedicated to institutional clients. Over 360 reports, in English and Portuguese, are forwarded on a monthly basis to the most important investors around the world, such as those domiciled in Brazil, the United States, Europe and Asia.

Bradesco Corretora has as its objective the mediation of the purchase and sale of shares, commodities futures contracts, financial assets, indexes, options, share rental, swaps and forward contracts, in the primary and secondary markets, and negotiations in B3 and in the organized over-the-counter market, which are tailored to the needs of large corporate and institutional investors.

In addition, in the same period, Bradesco Corretora traded 1.5 billion futures, forwards, swaps and options totaling R$50.0 trillion in B3. In 2022, Bradesco Corretora ranked fourth in the Brazilian markets, in relation to the number of futures contracts, terms, swaps and options executed according to B3.

Bradesco Corretora remains adherent to the Operational Qualifying Program (PQO), maintaining the five excellence seals (Agro Broker, Carrying Broker, Execution Broker, Retail Broker and Nonresident Investor Broker), confirming the high quality of its futures contracts and variable income markets. Bradesco Corretora is also certified by CETIP (Clearing House for the Custody and Financial Settlement of Securities, B3).

Capital Market Solutions

In 2022, the company was one of the main providers of capital market services and it maintained its leadership position in the domestic and global market, according to the ANBIMA’s ranking of custody of assets.

Among the main services the company offers in this segment, it highlight: qualified custody of securities for investors and issuers, administrators of investment funds, clubs and managed portfolios; bookkeeping of securities (shares, BDRs, quotas of investment funds, CRIs and debentures); custody of shares backed by Depositary Receipts (DR), loan of shares, liquidating bank, depositary (Escrow Account – Trustee), clearing agent, tax and legal representation for non-resident investors, and fiduciary management for investment funds.

Bradesco Custódia has Quality Management System ISO 9001:2015 certifications and GoodPriv@cy certifications. The company also holds an ISAE 3402 (International Standard on Assurance Engagements) certification, which includes the issuance of the Control Assurance report in a Service Provider Organization. These certifications improve the company’s control structures, increasing the level of effectiveness and quality of processes.

As of December 31, 2022, the set of services provided by the company which it calls Bradesco Custódia, was composed of:

Custody and controllership services for investment funds and managed portfolios; fiduciary management for funds, investment clubs and managed portfolios; securities bookkeeping; and depositary (Escrow Account – Trustee).

International Operations

As a private commercial bank, the company offers a wide range of international services, such as foreign trade finance and foreign currency loans, foreign exchange operations and international sureties, lines of credit and banking.

In October 2020, the company concluded the acquisition of Bradesco Bank and its subsidiaries to offer a complete platform of banking and investments products and services in the United States.

The company’s International and Foreign Exchange Area in Brazil coordinates its international transactions, through a team of experts in foreign exchange, providing technical and business support to clients and Retail and Corporate businesses.

Foreign Branches and Subsidiaries

The company’s foreign branches and subsidiaries principally provide financing in foreign currency (particularly foreign trade finance operations) to Brazilian and non-Brazilian clients.

Funding required for the financing of Brazilian foreign trade is primarily obtained from the international financial community, through credit lines granted by correspondent banks abroad. The following is a brief description of the company’s subsidiaries abroad:

Cidade Capital Markets – In February 2002, the company acquired Cidade Capital Markets in Grand Cayman, including the acquisition of its parent company in Brazil, Banco Cidade.

Bradesco Securities (U.S., U.K. and H.K.) – Bradesco Securities, the company’s wholly-owned subsidiary, is a broker dealer in the United States, England and Hong Kong:

Bradesco Securities U.S. focuses on facilitating the intermediation of operations of fixed income and variable income of Brazilian companies for global institutional investors; raising of short-term funds, placement of Equity Capital Market (ECM) and Debt Capital Market (DCM) operations; distribution of research reports and corporate access services;

Bradesco Securities U.K. focuses on the intermediation of equities and fixed income operations for Brazilian companies with global institutional investors; short-term fund-raising activities for the company in Euro Certificate of Deposit (Euro CD) program and Global Medium-Term Note program (MTN); and sale of research reports and services of corporate access by subscriptions to institutional investors in Europe; and the sale of variable-income and fixed-income regional transactions to European institutional investors (IPOs, secondary public offerings, etc.); and

Bradesco Securities H.K. focuses on the trading of ADRs and public and private securities issued by Brazilian companies to global institutional investors.

Bradesco North America LLC – It serves as a holding company for the company’s investments in non-bank businesses in the United States.

Bradesco Trade Services – A non-financial institution and a subsidiary of the company’s branch in the Cayman Islands, which it incorporated in Hong Kong in January 2007, in partnership with the local Standard Chartered Bank.

Bradescard Mexico – The business unit of a credit card issuer.

Bradesco Bank – A commercial bank in the United States with deposits guaranteed by the FDIC, providing banking products and services to resident and non-resident individuals, and corporate and institutional clients.

Bradesco Investments – A broker dealer that offers a complete and open platform of investments to Private, high-income, corporate and institutional clients.

Bradesco Global Advisors – An investment advisory firm that manages discretionary and non-discretionary portfolios for Private and high-income clients.

Banking Operations in the United States

In January 2004, the United States Federal Reserve Bank authorized the company to operate as a financial holding company in the United States. Bradesco Bank is positioned to meet the demands of Brazilian and other Latin American clients located in the United States and who wish to diversify their assets in the global market, by offering investment, banking and financing solutions.

Financing and Export and Import

Foreign Exchange Products

In addition to import and export financing, the company’s clients have access to a range of services and foreign exchange products, such as foreign loans to clients; working capital abroad; WEB exchange contracts; collecting import and export receivables; cross border money transfers; advance payment for exports; accounts abroad in foreign currency; domestic currency account for foreign domiciled clients; cash holding in other countries; structured foreign currency transactions; through its overseas units; service agreements – receiving funds from Individuals abroad via money orders; prepaid cards with foreign currency (Individuals and Legal Entities); purchasing and selling of currency paper; cashing checks denominated in foreign currency; and clearance certificate (international financial capacity certificate).

Consortia

In Brazil, persons or entities that wish to purchase certain goods may set up a group known as a consortium. Consortia in Brazil are made up of pooled funds for the purpose of financing an acquisition. Consortia groups that are formed for the purchase of real estate, vehicles, motorcycles, trucks and other assets have a fixed term and quota, both previously determined by its members, and are run by an administrator. Bradesco Consórcios manages groups of consortia and, as of December 31, 2022, registered total sales of 1,569,684 outstanding quotas.

Insurance, Pension Plans and Capitalization Bonds Activities

The company offers insurance products, pension plans and capitalization bonds through several legal entities, referred to collectively as Grupo Bradesco Seguros.

Insurance Products and Services, Pension Plans and Capitalization Bonds

With the objective of meeting the needs of each client, the company offersa range of products and services, such as:

Life

Life and Personal Accident Insurance

The company offers life and personal accident insurance, as well as insurance against miscellaneous events, such as job loss, through its subsidiary Bradesco Vida e Previdência. As of December 31, 2022, there were 33.0 million life insurance policyholders.

Health

Health insurance

Health insurance Policies Cover Medical/Hospital Expenses: The company offers health insurance policies through Bradesco Saúde for small, medium or large enterprises wishing to provide benefits for their employees.

On December 31, 2022, Bradesco Saúde and its subsidiary Mediservice Administradora de Planos de Saúde S.A., along with Bradesco Saúde Operadora de Planos S.A., had approximately 4.0 million beneficiaries covered by company plans and individual/family plans. Around 181 thousand companies in Brazil pay into plans provided by Bradesco Saúde and its subsidiaries, including 48 of the 100 largest companies in the country.

As of December 31, 2022, it included 11,438 laboratories, 18,545 specialized clinics, 15,444 physicians and 2,139 hospitals located throughout the country.

Automobiles and Property/Casualty Insurance

The company provides car insurance with flexible options according to the client's profile, through its subsidiary Bradesco Auto/RE. The Seguro Auto Light Rede Referenciada offers coverage and pricing designed to be more financially accessible, while Auto Lar covers both the vehicle and the residence. There are also options for Banco Bradesco fleets and account holders. The company covers damage caused to the vehicle, passengers and third parties, with several options for additional contracting, in addition to discounts at certain establishments and a complete Bradesco Seguros app to facilitate policy management.

Retail property and casualty insurance includes protection for residential, business and equipment risks, with personalized coverage according to the needs of each business or residence. The company highlights Lar Mais Seguro and Residencial Sob Medida for individuals, and Bradesco Seguro Condomínio for companies, with complete coverage and emergency services for different types of condominiums.

As of December 31, 2022, Bradesco Auto/RE had 1.5 million insured automobiles and 1.5 million property/casualty policies, making it one of Brazil’s main insurance companies.

Capitalization Bonds

As of December 2022, the company had 3.2 million active clients. When investing in traditional capitalization bonds, the most financially significant type for the company, the client makes a lump-sum or monthly payments and can win prize draws. At the end of the plan the client will receive 100% of the amounts paid in, plus interest based on the TR rate. The purpose of incentive capitalization bonds is to add value to the products of a partner company or to provide an incentive for its clients to avoid delinquency.

In line with the sustainability principles and the search for the digitalization of services, the company has made it possible for the commercial managers of the branch network to sell capitalization bonds via their corporate phone, with digital acceptance available on the Bradesco App, Net Empresa App, Internet Banking and Net Empresa for its Individual and Corporate clients, providing for convenience and safety. These improvements are aligned with mobility and contribute to a better quality of service and improved client satisfaction, as well as a reduction in the costs of its physical and financial resources. In 2022, the company offered its corporate clients acquisition and consultation services of capitalization bonds in Net Empresa. In line with the above principles, as of 2021, the company began to offer its individual clients the redemption of securities through the Bradesco App. Following this, the company’s acquisition and redemption processes became fully digitalized.

In order to diversify its portfolio, in 2022 the company launched four more products:

Max Prêmios product, in digital channels (Bradesco App, Internet Banking and the company’s ATMs known as Bradesco Dia & Noite (BDN)), serving all client profiles, helping them to save money and allowing them to participate in prize draws, thus contributing towards financial education. The company surpassed expectations, managing to sell 1 million bonds in a fully digitalized manner;

Max & Milhões product, exclusively for high-income clients, with millionaire prize draws of up to R$11.4 million, the highest draw of Bradesco Capitalização;

Agro Max Prêmios, made especially for Bradesco clients who want to expand their agribusiness, and in which the client invests a lump sum of R$5 thousand or R$10 thousand and could win 20 monthly prize draws of up to R$400 thousand, preserving the option to use it as a guarantee of a loan from the company; and

New Max Prêmios Cem, which allows the client to make a lump-sum investment of R$100.00 and participate in 324 prize draws during the month.

Pension Plans

The company has managed individual and corporate pension plans since 1981 through its wholly-owned subsidiary Bradesco Vida e Previdência, which is now one of the leading pension plans managers in Brazil, as measured by investment portfolio and technical provision criteria, based on information published by FENAPREVI and SUSEP.

Bradesco Vida e Previdência offers and manages a range of individual and group pension plans. The company’s plans for individuals with higher contractual acceptance (in terms of contributions) are VGBL and PGBL, which may reduce the total amount of tax paid by the policyholders when compared to equivalent investment products. The participants of these funds are taxed upon the redemption of quotas, and/or receipt of benefits.

As of December 31, 2022, Bradesco Vida e Previdência accounted for 21.9% of the pension plans in terms of contributions, according to SUSEP. As of December 31, 2022, Bradesco Vida e Previdência accounted for 22.6% of all pension plan assets under management: 20.9% of VGBL, 21.5% of PGBL and 45.3% of traditional pension plans, according to FENAPREVI.

Brazilian law permits the existence of both open and closed private pension entities. Open private pension entities are those available to all individuals and legal entities wishing to contract a plan by making regular contributions. Closed pension plan entities are those available to discrete groups of people, such as employees of a specific company or a group of companies in the same sector, professionals in the same field, or members of a union. Private pension entities grant benefits on the basis of periodic contributions from their members, or their employers, or both.

As of December 31, 2022, the company managed open pension plans covering 2.9 million participants. Bradesco Vida e Previdência also offers pension plans for corporate clients that are in most cases negotiated and adapted to the specific needs of this type of client.

In summary, Bradesco Vida e Previdência earns revenues from pension plan contributions, PGBL and VGBL, life insurance and personal accidents premiums; revenues from management fees charged to pension plan participants in accordance with mathematical provisions; and interest income

Distribution Channels

Banking

Insurance, pension plans and capitalization bonds activities

The company sells its insurance, pension plan and capitalization bonds products through its website, its branches, brokers based in its network of bank branches and non-exclusive brokers throughout Brazil, all of whom are compensated on a commission basis. The company’s capitalization bonds are offered through its branches, the Internet, its call center, ATMs and external distribution channels.

Partnerships with Retail Companies – Bradesco Expresso

Bradesco Expresso enables the company to expand its share of the correspondent bank segment through partnerships with supermarkets, drugstores, grocery stores, department stores and other retail chains. These companies provide basic banking services through the employees of the establishments themselves, while decisions regarding granting of credit or opening of accounts are made by the company.

The main services the company offers through Bradesco Expresso are receipt and submission of account application form; receipt and submission of loans, financing and credit card application form; withdrawals from checking account and savings account; Social Security National Service (INSS) benefit payments; checking account, savings account and INSS balance statement; receipt of utility bills, bank charges and taxes; and prepaid mobile recharge.

As of December 31, 2022, the Bradesco Expresso had an average of 36.5 million monthly transactions or 1.7 million transactions per business day during 2022.

Digital Channels

The company offers various products and services through its digital channels, including its Mobile App, Internet Banking, ATM, and Fone Fácil (Contact Center). They can be accessed from anywhere and at any time, providing convenience, practicality and security for clients. In 2022, digital channels represented 98% of the transactions performed at Bradesco, with Mobile and Internet Banking channels representing 93% of this total.

Mobile App – As of December 2022, the company had 24.1 million individual clients active on its Mobile App (individuals who carried out transactions in the last three months).

The company has a broad and diverse range of solutions available via its Mobile App, available for iOS and Android systems. Clients can use this channel to make payments and transfers, to purchase loans, consortia, carry out foreign exchange operations and access non-financial benefits, among other services.

Corporate clients use the Bradesco Net Empresa App for their banking operations, such as payments, transfers, PIX, DOC/TED, check deposits, factoring of receivables, purchase of loans, among other transactions. The convenience of the Bradesco Net Empresa App on the cell phone encompasses the full online contracting of the instant QR Code for cash terminals (TEF), POS and e-commerce.

BIA – the proximity to the client is increasingly relevant, as well as the customization of the service. In order to further improve the customer experience, the company invests in research and technologies that also include pioneering solutions. This is the case of BIA, the company’s artificial intelligence tool launched in 2016. Initially established for branch employees throughout Brazil, BIA grew until it began to interact with clients through its Mobile App and through other channels.

Using the Bradesco App, clients can also make transfers between Bradesco accounts by voice or text and clarify doubts about the bank’s products and services.

Internet – The company is the first financial institution in Brazil to have an e-mail address on the Internet, beginning in 1996. The company provides individual clients access to financial services on Bradesco Internet Banking, a solution that has transformed the relationship between clients and the financial market, and that continues to be an important source of information and transactions.

The company’s Bradesco Internet Banking website continues to evolve. With its own domain name (banco.bradesco), the company is one of the few Brazilian companies to have a top-level domain name or generic top-level domain name (gTLDs) – an initiative of the ICANN (Internet Corporation for Assigned Names and Numbers), the body responsible for internet protocols, which regulates the addresses on the worldwide web.

This communication platform is divided into two main pillars:

Institutional Website of Bradesco (banco.bradesco): with simplified content and plain language, it offers individual clients access to information and clarifications on various financial products and services, with the support of video tutorials that facilitate their understanding, in addition to the features that help in the client’s day-to-day activities, such as issuing the copy of the bank payment slip. Also available on the homepage of the portal is the online purchase of the company’s products and those of partners, such as cards, consortium, Losango, Cielo, among others, also serving clients who do not have a checking account.

Bradesco Internet Banking for financial services: Accessed by using a password and Token for account holders and by Individual Taxpayer Registration (CPF) and password for non-account holders. With more than 500 services and products available, individual clients can use the channel to check statements and make payments, transfers, PIX, investments and much more.

The new visual concept of the channel is more modern and technological, with options to customize the distribution of services on the homepage according to each client’s preference. In addition, it has relevant information on the investment portfolio, with the possibility of customized tips and viewing credit card limits and real-time purchases and gives the client even more autonomy using the transaction limit manager.

On Bradesco Net Empresa, the Corporate Bradesco Client can make queries, transfers, PIX, investments, file submission, among other transactions, all in a simple and secure manner.

The company also emphasizes that the MEI Digital Platform delivers to the individual micro-entrepreneurs, financial and non-financial services by means of partners that meet their main needs.

ATMs – With more than 8 million clients who make queries and transactions exclusively through the network of self-service machines, the company is present in the five regions of Brazil, enabling autonomy and security whilst providing a portfolio of products focused on intuitive navigation.

To maintain high availability and capillarity, there are over 46 thousand active machines with 22,163 distributed among the company’s Own Network and 24,399 distributed among its Shared Network – Banco24Horas. More than 80% of the screens are touchscreen and offer features that facilitate the day-to-day operations of the client, such as efficient withdrawals with the possibility of choosing the banknotes, and sending the proof of receipt by e-mail.

The company also has disruptive services, such as the 146 dollar and euro purchase machines – foreign exchange of 2 currencies in a single machine – which had representative participation in its foreign exchange operations. In 2021, the company deployed the Virtual Safe, in which the client can purchase foreign currency using the Bradesco App and withdraw it from the ATMs.

Strengthening the company’s pioneer DNA, 8,386 machines operate via the recycling of banknotes, which allows for cash deposits with immediate credit in the account of the beneficiary and does not require the use of an envelope.

Telephone services – Fone Fácil (Contact Center) – The company allows clients to bank by telephone, which can be accessed by choosing an electronic service or personalized service.

In the electronic service, the company provides a sophisticated service system powered by voice command, which enables clients to do what they want to do through direct and simple voice commands, without the need for listening to various service options and having to choose them by typing the option on the telephone.

The company offers its main financial services through this channel, such as payments, transfers between Bradesco accounts, DOC/TED, investments, loan contracting, among others.

By calling Fone Fácil , clients can access other relationship centers for credit cards, private pension plans, capitalization and internet banking, among other purposes.

Social Networks – The company is an innovator and pioneer in social media, being active on social networks. The focus is on communication, relationship, content creation and business activation. The Social Networks team monitors, analyzes and interacts with people who seek the company or mention its brand, relying on the participation of segments, managers and branches to resolve demands. This work strengthens the relationship with the company’s clients and protects it. The team is also responsible for answering queries, complaints, suggestions and conducting relationship interactions with the user.

next

The solutions ecosystem of next offers several financial and non-financial services, all devised and designed from studies with clients and non-clients.

In addition to the checking account, credit and debit card, clients have at their disposal several options for investments, loans, insurance, financial management tools, an account for children and teens (nextJoy), cell phone top up, gift card, tag for tolls and parking lots (Veloe), benefits in partnership with more than 270 brands on the Mimos (gratuities) hub and integration with the Apple Pay, Google Pay, Samsung Pay and WhatsApp Pay digital portfolios. In addition, next has its own end-to-end marketplace, the nextShop, which has +900 thousand offers available to all next clients, with various payment methods and benefits ranging from cashback to exclusive prices and free shipping.

The performance of next is based on customer-centricity. This has been made possible through constant investments in the analysis and intelligence of data in order to understand trends and behaviors, helping to anticipate the creation of a new service or suggestion for the client. In addition to the massive use of data, the company uses anthropological studies to understand trends and anticipate client needs. The use of modern Design and User Experience solutions and the feedback gathered at all contact points are key elements to providing the best journey and actively listening to client demands.

Next tracks all of its indicators, aiming to maintain sustainable growth, quality of service and actual indices of satisfaction and engagement in the use of the platform.

Digio

Digio is a digital bank focused on individuals. The company’s product portfolio includes credit card, personal loans developed to be distributed in own and third-party channels, INSS payroll-deductible loan, anticipated FGTS – Anniversary Withdrawal and 100% digital payment accounts. In addition to financial products, it is possible to purchase the following on the Digio App: cell phone credit top up, insurance, dental plan, cashback, e-gift, and discounts, among other things.

Business Strategy

The company’s business strategy focuses on meeting the expectations of clients, understanding their needs and life cycle, and increasing their satisfaction by providing an excellent customer experience in all their interactions with it. In line with this strategy, the company’s operations are based on four main pillars, which support the corporate purpose of creating opportunities for people to progress and for the sustainable development of companies and society: client – its inspiration; digital transformation – how it does what it; people – its team; and sustainability – made to last.

Seasonality

The company generally experiences some seasonality in certain parts of its business. There is certain seasonality in the company’s consumer financing business (including its credit card business, financing of goods and others), with increased levels of credit card transactions and financing of goods at the end of the year and a subsequent decrease in these levels at the beginning of the year (year ended December 31, 2022). The company also experiences certain seasonality in its fee collections at the beginning of the year, which is when taxes and other fiscal contributions are generally paid in Brazil. For the company’s PGBL and VGBL business, seasonality is seen at the end of the year, when the 13th salary and profit-sharing distributions are usually paid.

Competition

Deposits: The deposit market is highly concentrated, with the company’s main competitors being Itaú Unibanco, Caixa EconÔmica Federal, Banco do Brasil and Santander.

Loans and Advances: The company’s main competitors are Itaú Unibanco, Banco do Brasil and Santander Brasil.

Consortia: The company’s main competitors are Banco do Brasil and Porto Seguro in the real estate segment; Banco do Brasil and Itaú in the automobile segment; and Banco do Brasil and Randon in the trucks segment.

Leasing: In general, the company’s main competitors in the Brazilian leasing market are Santander Leasing, Banco IBM, HP Financial Service and Daycoval Leasing.

Insurance: The company’s principal competitors are SulAmerica Seguros, Porto Seguro, BB Seguridade, Tokio Marine and Mapfre.

Pension Plans Sector: The company’s main competitors are BrasilPrev, Caixa Seguridade, Zurich/Santander, Itaú Seguridade, Icatu and XP Previdência.

Capitalization Bonds Sector: The company’s main competitors are BrasilCap, Santander, Cia. Itaú de Capitalização, Icatu, Caixa Seguridade and Kovr Capitalização.

History

Banco Bradesco S.A. was founded in 1943.