Banks don’t like to be associated with controversial businesses or people that might tarnish their image in the financial world. Most banks stay away from running distasteful ads that could come back and haunt them. But one Brazilian banker is redefining bank advertising in Brazil, and it’s working. His name is Ricardo Guimarães.
Ricardo Guimarães comes from a long line of bank executives. Ricardo’s grandfather, Antonio, started the Land Credit bank in the State of Minas Gerais in 1930, according to a recent article published by CrunchBase.com. Ricardo’s father Flavio took over the bank when Antonio retired. The bank went through a growing and acquisition process through the years, and the name of the bank was changed to the BMG bank in the 1970s. In 1998, Ricardo became president of the BMG Bank, and he saw an opportunity that other bank executives didn’t see.
Ricardo is an avid sports fan, and he decided to combine sports and banking in order to promote bank products like payroll loans. Payroll loans are popular in Brazil because borrowers can get a lower interest loan when they used their monthly income as collateral. Ricardo approached the local Minas Gerais football club and offered to sponsor the club if they agreed to wear the three letter orange BMG logo on their jerseys during matches. R7.com interviewed Guimarães recently, and he said that meeting changed BMG bank forever.
Guimarães became Chairman of the football club known as Atlético Mineiro in 2001, and he remained in that position for five years. During that time, BMG Bank increased their football sponsorships, according to CMBH.mg.gov.br. BMG Bank’s orange logo was everywhere on football days in Brazil and the fans loved it. They loved the fact that a Bank could feel like one of them and when they needed a loan, BMG Bank was the first bank they called. BMG Bank had to hire more than 800 representatives around the country to handle the demand for their payroll loans.
BMG Bank is now the second most profitable bank in the payroll loan business. BMG Bank recently merged with the fifth largest bank in Brazil, Banco Itaú, and a new bank, Itaú BMG Bank, was formed just to handle the demand for payroll loans. The new bank processes new loans at a reduced cost to both banks so the profit margin increases on each loan. Most borrower’s payback payroll loans on time and they keep borrowing, so they can deal with inflation and the recession that is making like miserable in Brazil.
Brazil is a beautiful country that offers much to the eye. Apart from being a very large South American country, it has also been found to be a great hotspot when it comes to investing. Many international investors have decided to invest in Brazil and with great reason. Brazil has an economy that is consistently and steadily growing and a very stable financial market. The Brazilian economy is the 10th largest economy in the world and it has grown on an average of about 4% over the last few years. Many countries around the world are dependent on other countries when it comes to natural resources, but Brazil is completely and totally self sufficient when it comes to oil. It also is one of the world’s largest producers of ethanol and also iron ore. When it comes to investing in the Brazilian stock market, foreign investors have different options. The first option is to invest in the Brazilian stock exchange, and the second option is to try an offshore investment route that is available in the form of ADRs, GDRs, and ETFs.
When it comes to foreign investors the climate of Brazil is very liberal. It is quite easy for a foreign investor or foreign entity to invest in the majority of the financial and capital markets without any restriction. At the same time nonresident investors have to hire a local representative because of issues related to tax and regulation.
Since Brazil has such an abundance of natural resources Brazilians are manufacturing anything imaginable. There is a long list of reasons why Brazil is a very promising country when it comes to financial growth and investing.
In the world of investing in Brazil Igor Cornelsen is a house known name. Igor Cornelsen was known for many years as one of the country’s top bankers, and he was in charge of the majority of the money that was coming and going out of the country. Igor Cornelsen knows everything that there is to know when it comes to investing in any company or commodity. Igor Cornelsen rose to prominence as the country’s top banker by providing expert advice to many of his clients. Throughout his years he had been able to help many entities and individuals to attain billions of dollars. Igor Cornelsen is the proprietor of Bainbridge Bank, and at the present time he is retired and uses investing as a hobby. Igor Cornelsen is a perfect example of a person that took advantage of the Brazilian stock market, and had has made millions off of his investments. In reality Brazil is a wonderful country to invest in, and many people have reaped great benefits by investing in this country that is rich in natural resources.