Luiz Carlos Trabuco | Committed To Overseeing Bradesco’s Organic Growth

Luiz Carlos Trabuco is considered more than a finance executive. He is part of a rare mythical dynasty because, in Bradesco’s 70 years of operation, there have only been four presidents of the institution. The first president was Amador Aguiar.

Trabuco took over Bradesco’s presidency in 2009. Today, he has the responsibility of heading one of the biggest financial institutions operating in Latin America. It has assets worth over R$900 billion and nearly 27 million account holders.

Background

Trabuco was born in Marilia, which was also Amador Aguiar’s birthplace. He is seen to embody a certain Bradesco way of being and a career trajectory common to the previous leaders of the financial group. He attended Sao Paolo’s Faculty of Philosophy, Sciences, and Letters. He later attended Fundacao School of Sociology and Politics (Sao Paolo) to study Socio-Psychology.

In 1969, Luiz Carlos Trabuco began working at Bradesco, aged 18. In the four decades between his first job at the bank and his ascension to its presidency, he held many different positions. In 1984, he became a department director – a position he held for the next 14 years. In 1998, Trabuco was promoted to the executive position of Managing Director. One year later, he became an executive Vice President.

In March 2003, Trabuco was promoted again this time taking over management control of Bradesco Seguros. He held the position for the next five years until 2009 when he was appointed bank President.

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While managing Bradesco Seguros, Trabuco achieved high success. The company doubled in size thanks to Trabuco’s management style. In 2003, it had R$32 billion, and by 2008, its total assets were worth R$78 billion. In his first year as the head of Bradesco Seguros, the bank’s return on equity increased from 22 percent to 29 percent. Throughout his management, this rate never fell below 27 percent. What’s more, the company’s participation in Bradesco’s annual results increased to 35% from 26%.

The Succession of Marcio Cypriano

The incredible performance of Bradesco Seguros helped leverage the management of Luiz Carlos Trabuco in the eyes of Bradesco conclave members responsible for electing Marcio Cypriano’s replacement. The task was huge for both the conclave members and the elect. Trabuco beat all other candidates like Milton Varga and Jose Luiz Acar Pedro.

Marcio Cypriano succeeded Lazaro Brandao – one of the country’s most respected bankers. Under Marciano, Bradesco conducted its biggest expansion cycle characterized by successive acquisitions. Between the years 2001 and 2004, the bank took over Banco Cidade, Ceara, and Maranhao banks. It also acquired financial institutions like Zogbi, Finasa, and the Brazilian financial management arm of JP Morgan. Furthermore, Bradesco acquired all the operations of BBVA and Deutsche Bank in Brazil.

Bradesco’s Organic Growth Under Luiz Carlos Trabuco

After Marcio Cypriano’s aggressive acquisition season, Luiz Carlos Trabuco’s management was noted for its organic growth. After the geographic expansion cycle, Bradesco started a new cycle of banking inclusion that targets the portion of the Brazilian population that is outside the financial system. Since Trabuco took over in 2009, the number of account holders has increased by seven million.

At peak times, over six thousand savings accounts are opened every day. Savings accounts increased from 377 million to nearly 500 million. Trabuco’s management has seen a growth in the bank’s service network. In under four years, its agencies rose from 3,500 to close to 5,000.

Luiz Carlos Trabuco remains confident that over one hundred million people will enter Brazil’s consumer market by 2025. This means that Bradesco could see a potential increase in its customer base by 20 million since its total market share is 20 percent of the Brazilian banking market. Under Trabuco, Bradesco headquarters were moved from Rio de Janeiro to Sao Paolo.

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