ABOUT THIS MATERIAL
Contact channels
Questions, suggestions or comments about this publication can be made on the Investor Relations website at (www.banco.bradesco/ri) or sent via email: [email protected]
We can also be found on social networks:
YouTube
Twitter ABOUT THIS MATERIAL
Contents
Message from the Chairman of the Board of Directors 6
Message from the CEO 8
2020 in Figures 10
Performance during Covid-19 16
About this Material 20 Materiality 22
Our DNA 24
Our Strategic Positioning 26 Business Model 30 Much more than a Bank 35 Sustainability at Bradesco 42
Solid and Transparent Governance 50 Integrity and Ethics 53 Risk Management 56
Generating Value 62 Results in a Challenging Year 64 Focus on the Client 76 Technology and Innovation 91 People: Our Team 102 Investing in the Future 122 Eco-efficiency 128
Investor Relations 131
BRADESCO Integrated Report | Shortened Version 2020 ABOUT THIS MATERIAL 4
Introduction
It’s impossible to talk about a year like Despite the uncertainties in 2020, we 2020 without weighing the impacts also delivered strong results for the brought on by an unprecedented Organization, including a growth in our pandemic that modified the way we view quarterly net income throughout the our relationships with work, with people year, an expanded loan portfolio and and with the planet. a significant increase in the number of transactions through our digital This sudden collapse in all things we had channels – a situation that emphasizes considered normal paved the way for us the importance of providing the most to see the world in a different light. The convenient, modern, fast and secure focus on managing environmental, social banking experience for the client. and governance factors, along with a true contribution to sustainable development, While we already worked in a committed has grown to make elements even more and responsible manner before, now relevant and integral in our decisions – we strive to be leaders of change in not only as a matter of responsibility, but the coming “Decade of Action”, as the also as a business belief and strategy. United Nations (UN) has been referring to these next 10 years. Over the This was the year we revised our following pages, you will learn how we corporate strategy by establishing put this strategy into practice. It’s what positive agendas associated with all makes us unique, and we have been of our businesses and focusing on the working in this manner for almost eight roots of our origins: client centricity. decades through an ecosystem that is We have invested even more in continuously improving. technology to not only improve our communications, but to also expedite Enjoy the reading! shifts in the way people interact with Bradesco to make it much easier.
BRADESCO Integrated Report | Shortened Version 2020 5
How to Read the Report1
Capitals In each chapter, we will point out the correlations between the FINANCIAL SHARE topics discussed and the directives CAPITAL CAPITAL proposed through the integrated reporting methodology, the HUMAN MANUFACTURED stakeholders who are impacted and CAPITAL CAPITAL the Sustainable Development Goals (SDGs) to which our activities have INTELLECTUAL NATURAL contributed. The correlation is done CAPITAL CAPITAL using icons (on the right side).
The other subsidiaries are always Stakeholders represented by their names. When CL CLIENTS G GOVERNMENT/ we talk about our professional REGULATORY AGENCIES staff, we always use the term PI INTERNAL AUDIENCE CD COMMUNITY/SOCIETY/ “employee”. The term associate is AI SHAREHOLDERS TERTIARY SECTOR used only to refer to outsourced AND INVESTORS service providers. F SUPPLIERS
1. Throughout this report, the Organization’s direct SDGs and indirect contribution to the 2030 Agenda Elimination 1 10 Reducing inequalities - the Sustainable Development Goals will be of poverty documented. Find out more about the prioritized Sustainable Cities SDGs in the Sustainability Chapter on page 42. Zero hunger and 11 and Communities 2 sustainable agriculture Sustainable consumption 12 3 Health and well-being and production 4 Quality education Action against global 13 5 Gender equality climate change Clean water 14 Life below water 6 and sanitation 15 Life on land Affordable and 7 Peace, justice and clean energy 16 strong institutions Decent work and 8 Partnerships and means economic growth 17 Bradesco prioritized SDGs of implementation Industry, innovation 9 and infrastructure
BRADESCO Integrated Report | Shortened Version 2020 ABOUT THIS MATERIAL 6
Luiz Carlos Trabuco Cappi Chairman of the Board of Directors MESSAGE FROM THE Chairman of the Board of Directors
BRADESCO Integrated Report | Shortened Version 2020 MESSAGE FROM THE CHAIRMAN OF THE BOARD OF DIRECTORS 7
2020 was a year unlike any other. In 2020, companies and investors We believe in the power of the Punctuated by the covid-19 around the world stepped up their digital world and in the extensive pandemic, it put us to the test commitment to environmental, use of data to optimize the and appeared as one of the most social and governance (ESG) issues. customer experience without challenging moments in our At Bradesco, sustainability is a key overlooking the traditional history. But even within such a component of our strategy and it parameters: quality service difficult landscape, we were able has gained even more momentum and transparent relationships. to find opportunities that, once over the last year. We have amplified The daily goal is to effect again, made us reinvent ourselves our activities in sustainable finance transformations and strive through the perspective of and now exclusively use renewable to adapt to a world in which innovation and evolution. energy and carbon neutralization in paradigms are continually our business. shattered. Today, we have We reinforced our core mission a complete platform for all – 100% focus on the client – In 2021, we will take further stages of our clients’ lives with remaining always at their side measures to ensure that nationwide coverage and strategic during this time filled with Bradesco’s businesses generate points abroad, ensuring a physical considerable uncertainties. even more long-term value and digital presence designed to We believe in Brazil and in the for our various stakeholders support every type of client. ability of its people to overcome and contribute to achieving challenges and to create wealth. the Sustainable Development Our goal for 2021 and the coming I can truly state that we are Goals (SDGs), such as steering years is to use the power of optimistic about the future. the force of innovation towards innovation in traditional processes. sustainability, improving the It involves observing what we have We have paid close attention to management of climatic factors done thus far and understanding social responsibility since the in our business decisions, and clients’ needs right now, but with a beginning of our activities, and enhancing transparency about our view towards the future. We have the prime example is Fundação practices and performance. seen the evolution of humanity and Bradesco. We care deeply about we are committed to adapting our people’s lives and the continuity of The longevity of our business is performance to grow along with it, companies, and this has not changed also based on principles that are thereby fulfilling our mission in the during the pandemic. We continue to embedded in our daily performance, best possible way, while remaining be mindful of the health and safety including prudent asset and liability within the ethics and transparency of our workers, employees and management of the bank and the that have guided us thus far. clients. We have intensified the use insurance company, as well as the and availability of digital solutions in pursuit of appropriate returns on Luiz Carlos Trabuco Cappi an effort to make sure that everyone capital for shareholders. Chairman of the can continue their activities in the Board of Directors midst of the restrictions imposed by this ongoing situation.
BRADESCO Integrated Report | Shortened Version 2020 ABOUT THIS MATERIAL 8
Octavio de Lazari Junior President and CEO
MESSAGE FROM THE CEO
BRADESCO Integrated Report | Shortened Version 2020 MESSAGE FROM THE CEO 9
This year, surrounded by so much The pandemic has accelerated We finished off the year with uncertainty, we came across new trends that have already a recurring net income of opportunities. We have evolved been taking place, like new R$19.5 billion. We posted a strong greatly and have learned many developments in the use of operational performance and we lessons, remaining close to our digital channels. In 2020, 98% of set aside provisions for loan losses clients and continuing to play a transactions were done digitally, throughout the year, thereby role in the development of the most notably through cell phones allowing our balance sheet to country. We act quickly to ensure and the internet. This represents remain resilient in facing that our service is delivered while a 14% growth over the previous potential defaults generated making sure to comply at all times year. We have also made progress by the pandemic. with procedures prescribed for the in credit collection and recovery health of employees and clients. through our digitalization. For 2021, we will continue with the goal of combining environmental The client is at the center of our Accordingly, we have continued to preservation, social actions and strategy, and this is embedded pursue our strategy of innovation corporate governance in all in our DNA. Based on our clients’ by driving “next”, our 100% digital our businesses – secure in the needs, stages in life and dreams, bank; Bitz, the Group’s new knowledge that we are on the right we adapt and shape our growth. company that is active within the track. It will be a challenging year, They are what motivate us. Each Brazilian market of digital wallets especially given the uncertainties and every client is unique, and and payment accounts; and Ágora that still prevail in relation to the understanding their essence Investimentos, which serves in a pandemic, as well as the economic and their demands is essential in complementary and essential way and fiscal conditions of the ensuring an effective and trusting in our portfolio. In addition, BIA country. But we are optimistic as to relationship in terms of our (Bradesco Inteligência Artificial or the opportunities that the future product offerings, as well as the Bradesco Artificial Intelligence) will hold and we will continue to continuity of the business. is becoming a bigger part of watch over the financial health of the lives of users, the result of individuals and business owners Throughout the year, we provided investments in technologies, with an eye towards economic financial and logistical support to algorithms and information. responsibility, a focus on business a number of initiatives; postponed continuity, and the satisfaction of and renegotiated loan operations; We were also able to announce shareholders and our clients. and invested in using data to in 2020 that, for the 15th time, more accurately address specific Bradesco was included in the Dow Octavio de Lazari Junior needs while shifting towards using Jones Sustainability Index – taking President and CEO modeling by personas – mapping part of the World and Emerging groups of client with similar Markets portfolios in the 2020- characteristics. We work side by 2021 cycle. Out of the 250 banks side with people and companies to assessed globally, we ranked in fifth minimize impacts during the most place with the best performance in difficult periods. We continue on Brazil for the sector. together, whether to reach our goals or to rise above challenges.
BRADESCO Integrated Report | Shortened Version 2020 2020 in Figures
Bradesco Headquarters, Cidade de Deus, Osasco - SP ABOUT2020 IN THIS FIGURES MATERIAL 11
Results
Net income of Aggregate value of R$1.6 trillion in total assets R$19.5 billion R$57.1 billion
R$5.1 billion net income from insurance operations
Client at the Center
70.2 million 30.6 million 21.2 million clients insured clients clients with a digital profile2
32.3 million 79,870 thousand 8,840 branches + Express Service account holders service points Points (PAEs)/Service Points (PAs)
Retail
37.9 million 3,049 branches 54,522 ATMs non-account holders (i.e., 3,915 Service Points (PAs) those using the Organization’s
products, except existing 30,694 Bradesco machines 822 Express Service Points (PAEs) checking accounts) business units 23,828 Banco24Horas machines 708 39,100 correspondent bank network
2. It includes clients using Mobile and/or Internet channels (individuals and companies).
BRADESCO Integrated Report | Shortened Version 2020
v
BRADESCO Integrated Report | Shortened Version 2020 Version Shortened | Report Integrated
market value market
R$226,8 billion billion R$226,8
shareholders shareholders
Commitment to to Commitment
Source: www.conta-corrente.com/bancos/bradesco/bradesco-comeca-oferecer-credito-por-meio-do-pix/. Source: 3.
corporate accounts) corporate
82.400 and accounts individual
. exclusive credit line for Pix for line credit exclusive
3
897 thousand 897 out on Digital Channels Digital on out ( App the via opened private bank to establish an an establish to bank private
979.4 98%
thousand thousand accounts accounts of transactions carried carried transactions of Bradesco is the first the is Bradesco
Points in 2020 in Points year each
interactions in 2020 in interactions keys registered Service into converted technology in invested
700+ 700+ 6 426.3 14.6 branches billion R$ million million BIA: million PIX:
and Innovation and
Technology
with disabilities with interns
4,248 1,118 employees employees
women people black employees
50.6% 26.5% 89,575
People
Our Our
12 12 2020 IN FIGURES IN 2020 2020 IN FIGURES 13
Incentive Donations4
More than R$14 million donated to projects Around R$6 million donated to that are supported by the Municipal Fund for the National Oncology Care Support Children and Adolescents (Fumcad) and to projects Program (Pronon) that protect the social rights of the elderly
4. The Organization is also active in other incentive projects. More information will be available in the complementary version of the Integrated Report to be published in May 2021.
Fundação Bradesco
Since 1956 R$680.3 million invested in 2020
1.9 million 46+ thousand students in distance learning students benefited, with around 87% from provided through the Virtual School impoverished areas served by the Fundação
BRADESCO Integrated Report | Shortened Version 2020 2020 IN FIGURES 14
Focus on Sustainability
The Brazilian private sector 100% 100% bank best posicioned in the of the operations powered by of carbon Dow Jones Sustainability Index energy from renewable sources emissions neutralized
Upgrade in the rating by Morgan 1st Brazilian bank to adopt Introduction of the Amazon Stanley Capital International’s the Partnership for Carbon Plan (Plano Amazônia Bradesco), (MSCI) ESG Ratings5, increasing Accounting Financials (PCAF), in partnership with Itaú and from A to AA, ranking the Organization a global initiative to measure the Santander, helping to promote among the leaders of the 200 banks carbon emissions generated by the sustainable development rated globally. activities of financial institutions. in the Amazon
Ranking in the Silver level for Upgrade in the Carbon Issuance of Bradesco’s the third consecutive year in Disclosure Project (CDP) first sustainable bond, the “The Sustainability Yearbook from B to A-, joining the which raised R$1.2 billion 2021”, published annually by S&P, group of leading companies in to finance assets with a which recognizes companies with managing Climate Change. focus on the climate. the best practices in sustainability throughout the world.
5. Index designed to measure a company’s resilience to environmental, social and governance (ESG) risks that are relevant to the industry.
To learn more, please access www.bradescosustentabilidade.com.br
BRADESCO Integrated Report | Shortened Version 2020 2020 IN FIGURES 15
Suppliers
7,581 suppliers 1,377 new suppliers 2,492 R$18.6 billion registered in the base approved in the year active contacts purchase volume (SPEND)
Bradesco Seguros
Bradesco Saúde Efetivo 13 22.4% Over 6 million More than R$32.7 markets share downloads in the billion in claims and states + DF with over 74 Bradesco Seguros App benefits paid thousand beneficiaries
Over 1.3 million items sold 19 Meu Doutor/Novamed via internet banking, ATMs and primary care units currently mobile devices operational
30.6 million policyholders/ participants in the Pension Plan and Capitalization clients6
6. Excluding client overlap.
BRADESCO Integrated Report | Shortened Version 2020 16
Performance during Covid-19
2020 brought moments filled with anxiety and challenges. However, we continued to invest in several areas of society, particularly in combating coronavirus through our Social Donation process.
We have focused on defeating the pandemic, a situation we are still experiencing, working alongside other banks to procure and donate 5 million kits for rapid test, 30 CT scanners, 30 pieces of PCR equipment for diagnosing infections in real time and 15 million masks, serving the Ministry of Health and state departments.
BRADESCO Integrated Report | Shortened Version 2020 PERFORMANCE DURING COVID-19 17
The Health and Ricardo do Amaral (Psychiatrist) and free of charge through Well-Being of were also interviewed, providing Unibrad (such as an English details on preventing and treating course, in partnership with our People Covid-19, including the emotional the Education First school) via impacts of social distancing. integra rh, our Human Capital In 2020, due to the surge of the Management platform. coronavirus, we committed to • In critical regions, such as those actions designed to protect all our with a high rate of positive • Advanced payment of employees, including: Covid-19 cases (like in Manaus, employees’ 13th salary Belém and São Luís), establishing (year-end bonus). • Bradesco’s Well-being and active contacts with employees Quality of Life Program – through a team of doctors and • Offering flexibility for grocery Viva Bem (Living Well). nurses to reinforce care and and meal benefits. prevention measures; to monitor • Adopting the emergency the status of health; and to verify contingency movement. the need for psychosocial support.
• Publicizing our guidelines through • Tools that thousands of email marketing and pamphlets employees need to be able to We have provided available on the Corporate perform their duties at home. 141 thousand serological Portal, which include tips and We invested in technology tests to detect Covid-19, free instructions on preventive care infrastructure – with VPN – and of charge to all our employees during year-end holidays in order equipment; and we supplied and interns. to raise employees’ awareness notebooks, CPUs, headphones as to the spread of coronavirus and cell phones. during this period. • New ways of sharing information • Disclosure of explanatory through tools such as Yammer, videos on the Covid-19 issue, Stream and Teams, allowing including an interview with Dr. our team to stay integrated and 1,200 participants in Talita Almeida, an occupational connected. physical activities streamed online physician and manager of Bradesco’s Well-being and • Providing our employees and Quality of Life Program. Doctors interns with access to various David Uip (Infectologist) and topics and courses offered online
BRADESCO Integrated Report | Shortened Version 2020 PERFORMANCE DURING COVID-19 18
Support to Participation in the following CGPE (Working Capital Program for Clients government programs: the Preservation of Companies): this We are in complete operational special line of credit that aims to help capacity to carry out both our PRONAMPE (National Program companies maintain and expand their administrative duties (BackOffice) to Support Micro and Small activities had R$3.3 billion allocated and those of our commercial teams/ Businesses): an emergency line of by Bradesco in 2020. branch network to assist our clients, credit (through a guarantee from complying with all safety procedures the Operation Guarantee Fund, FGI PEAC (Emergency Credit Access recommended by the Ministry of managed by Banco do Brasil) that Program): a line of credit to broaden Health, including the use of masks, facilitated access to credit, thereby access to credit by minimizing the making hand sanitizers available for fortifying small businesses and risk of the operation through a employees and clients, and adopting preserving jobs. We allocated complementary guarantee from minimum distance requirements R$2.7 billion to Pronampe in 2020. the Investment Guarantee Fund between clients in branches. (FGI), whose administrator is BNDES. PESE (Emergency Employment Bradesco allocated R$15.5 billion to Support Program): Bradesco the program throughout the year. EXTENDED OPERATIONS allocated R$1.6 billion in 2020 to this credit line to cover the payroll of R$48 billion companies with revenues between accounting balance net R$360,000 and R$50 million of amortizations (including the economic group), without any restrictions or pending issues with the Bank.
WE ARE AT FULL OPERATIONAL CAPACITY TO PERFORM BOTH BACK OFFICE DUTIES AS WELL AS THE WORK CONDUCTED BY OUR COMMERCIAL TEAMS/ BRANCH NETWORK TO SUPPORT OUR CLIENTS. PERFORMANCE DURING COVID-19 19
Charitable Actions for the Community
• 5 million rapid tests imported • Refurbishing and procuring • Activation of ICU beds at from a pool of institutions equipment and climatization Hospital Universitário Clementino for ICU beds in hospitals and Fraga Filho • Strategic partnerships with Santa Casa companies and organizations in • Adoption of ICU beds in one of the health sector • Establishment of the Field the wards of the Hospital das Hospital in Salvador Clínicas intended for onco- • Donation of 15 million masks hematology patients to other institutions • Donation of 26 thousand tests to serve communities • Support for the project to • Purchase of 30 CT scanners construct a factory at the and other equipment in • Support for the production of Instituto Butantan for the partnership with Itaú and ventilators at a low cost production of vaccines Santander • Donation of 150 thousand • Building of the field hospital in food staples to support Leblon, Rio de Janeiro (RJ), and municipal communities Salvador (BA)
Commitment to the Ecosystem of Innovation
Online events and content Digital habitat: the Book of opportunities: (inovabra streaming): habitat operation model solutions devised, over 65 thousand people has been expanded to adapted and shared were impacted through digital as well. The new by startups from the inovabra the events that were broadcast and format, which compliments the ecosystem to minimize the effects later accessed remotely through the physical one, can accommodate of the pandemic. content platform created for the startups and companies from in-house and external public, with all over the country that wish to videos about technology, society have access to open innovation. and business. Over the course of 2020, 529 co-innovation activities were conducted with major corporations and 159 contracts were signed.
BRADESCO Integrated Report | Shortened Version 2020 20
About this Material
Our 2020 Integrated Report compiles the most important actions and results of the year based on the four pillars that make up the Organization’s strategic planning (Client, Efficiency, People and Sustainability) and the 12 topics currently considered the most relevant by us and our stakeholders and which will be shown below in the process of materiality review. This report was prepared according to the GRI Standards: Essential option.
The purpose of the report is to make readers aware of our essence as an Organization and the results attained for the year thanks to the pillars that sustain us. The publication will highlight our DNA, the way we organize ourselves and our strategic outlook, allowing us to describe the key deliverables in the three axes that make up sustainable business management: economic, social and environmental.
BRADESCO Integrated Report | Shortened Version 2020 ABOUT THIS MATERIAL 21
In response to the growing demand for reporting and transparency on environmental, social and governance (ESG) information, this report adheres to the following guidelines, methodologies and frameworks:
The Global Reporting Initiative (GRI), standard version ((the GRI indicators will be included in the complementary version of the Integrated Report to be published in May 2021)
Corporate Sustainability Index (ISE), B3 (Brazilian Exchange & OTC)
Guidelines from the Task Force on Climate-related Financial Disclosures (TCFD) regarding climate change risks and opportunities
Integrated Reporting, by the International Integrated Reporting Council (IIRC)
Dow Jones Sustainability Index (DJSI)
Abrasca Code of Self- Regulation and Best Practices for Publicly-Held Companies
Sustainability Accounting Standards Board (SASB)
CDP
2030 Agenda for Sustainable Development
Measuring Stakeholder Capitalism: Towards Common Metrics and Consistent Reporting of Sustainable Value Creation Amazon – AM
BRADESCO Integrated Report | Shortened Version 2020 ABOUTSOBRE ESTETHIS MATERIAL 22
Materiality
The survey was conducted between As a result of this initial analysis, the months of November and the list of topics and their December through interviews respective sub-themes related with the Organization’s senior to Bradesco’s business had been management, investors and revised. At the same time, with regulators; and an online survey was input from the business managers used with the other stakeholders. and a study of the sector, a We conducted a strategic review of mapping of the stakeholders It should be noted that members of our materiality in 2020. The review who were queried to prioritize the Board of Directors and investors process listed the relevant topics the listed topics was made. The were also active participants in this according to our stakeholders’ guidelines in the AA1000 Standard process, demonstrating their full expectations. The methodology of stakeholder engagement were commitment and understanding adopted covered Bradesco’s used for this process. In total, there of the challenges faced by the strategic pillars; the analysis were around 400 interactions with Organization. This alignment of national and international the following stakeholders: defines the pathways in the search competition as well as of sector for solutions that encompass all Senior management studies – such as S&P’s Dow Jones stakeholders. Sustainability Index, Sustainability Clients Accounting Standard (SASB Suppliers Standard) for Commercial Banks Employees and Investment and The Global Investors Risks Report 2020 of the World Regulatory bodies and Economic Forum –; and alignment industry associations with the 2030 Agenda. Society
BRADESCO Integrated Report | Shortened Version 2020 ABOUT THIS MATERIAL 23
The image below illustrates the new ordering of the Organization’s most essential themes.
E IR IAL A D E S C AL R ESP SI ILI CA CD PI A A L A A I A G E PE I E C E D A IR E R E A O A IC A O C D A C C E A E CD O S
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BRADESCO Integrated Report | Shortened Version 2020 ABOUT THIS MATERIAL
Our DNA
Alphaville Prime Branch - SP OUR DNA 25
In science, DNA is the component that makes us unique and that coordinates the development and functioning of all living beings.
As an Organization focused on people, we Values that make up believe that our DNA strengthens an internal culture that is passed on to each generation Our DNA of Bradesco professionals.
It is a culture that encourages us to Client Belief continually improve in an ethical and integral manner, always fostering the motivation and well-being of our employees; ensuring the best returns for our shareholders; seizing the best opportunities; and seeking to adapt our Ethics Respect costs to different economic scenarios.
After almost eight decades of success, this consolidated commitment to the development of the country and reduction of regional inequalities has propelled our Transparency Responsibility capillarity and our view of innovation with a complete focus on the client – allowing us to have 70.2 million clients today.
We are more than a bank. Together, we have built our way of doing business with a commitment to serve all clients in the best way possible, regardless of income, social class or where they reside. To learn more about our DNA, please visit: banco.bradesco/ri
BRADESCO Integrated Report | Shortened Version 2020 Our Strategic Positioning
Business Unit – Shopping Tamboré, Alphaville – SP OUR STRATEGIC POSITIONING 27
Our performance is based on pleasing our clients. We revised our corporate strategy in 2020 to further align our actions into a single direction:
fulfilling our client expectations, understanding their needs and life cycles, and increasing their satisfaction through an exceptional experience throughout all their interactions with the bank. Through this rationale, we base our strategy on four pillars, which guide our path Our Strategic towards continuity: Positioning
CLIENT EFFICIENCY PEOPLE SUSTAINABILITY OUR INSPIRATION HOW WE DO IT OUR TEAM MADE TO LAST
BRADESCO Integrated Report | Shortened Version 2020 28
Below, we outline each of our 4 pillars:
Client Efficiency Our Inspiration How We Do It
Our primary objective is to captivate our We possess a digital mindset and behavior clients to earn their admiration, trust and that allows us to be simple, efficient, relationship. We strive to support our agile, connected and innovative. We aim clients with excellence based on their to maximize our operational efficiency needs and goals in order to help them and agility by making sure our services realize their achievements. are cost-effective at all times. Managing expenses is a prominent part of the bank’s We have conducted a number of actions strategy, contributing to actions and that place the client at the center of projects geared towards optimizing the use our strategy and have improved our of channels, reducing the cost of services knowledge through the use of data and seeking continued efficiency. intelligence, complete business solutions and journeys of excellence. Within a climate of dramatic digital transformation, we strive to make We have designed actions to better the client’s banking experience even understand our clients, along with their faster while being more convenient and expectations and needs at all times or secure. Innovation, agility, connectivity, during interactions with our Organization. modernization and security are driving This is why we want to provide offers that forces, and are present in our daily lives fit into our clients’ profile and where they and in everything we do. We are focused are in their lives within a pleasurable and on maximizing value from the client’s complete experience, integrating journeys perspective through a culture that is centered and processes supported by new decision- on continuous improvement and excellence making technologies in real time. in the use of data for decision making.
BRADESCO Integrated Report | Shortened Version 2020 29
People Sustainability Our Team Made to Last
We want our company to be the preferred Our focus is on remaining meaningful destination for high-performance to our clients, shareholders, employees, professionals, and where they choose partners and society by generating value to work now and build their future. The for all our stakeholders. We are committed foundation of our strategy is rooted in to sustainable and diversified growth people. We endeavor to improve the through an optimal balance between essential and transformative skills of our risk and return and a robust capital and professionals with a view towards making liquidity structure. our corporate strategy viable. We maintain an organizational culture based on ethics, Our public initiatives and commitments transparency and respect for people; and we to Diversity reinforce our belief in the invest in creating an innovative, challenging transformative potential of people, and diverse working environment. respecting individuality and plurality.
Inclusion and financial education are essential drivers for us because we impact and transform the lives of thousands of Brazilians through them.
We have established commitments related to social and environmental sustainability to play a role in the sustainable development of society and to prepare our Organization for the new challenges on the horizon.
BRADESCO Integrated Report | Shortened Version 2020 OUR STRATEGIC POSITIONING 30
We believe in our ability to promote sustained growth for people and through them. As such, the quest for continuous and sustainable Business progress is based on solid values that steer the strategy for an increasingly integrated performance that is focused on the client and Model that generates benefits for society as a whole.
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BRADESCO Integrated Report | Shortened Version 2020 OUR STRATEGIC POSITIONING 31
NATURAL INTELLECTUAL MANUFACTURED CAPITAL CAPITAL CAPITAL
Commitments to the climate inovabra Ecosystem, which 98% of transactions are carried fosters innovation 100% of Bradesco’s operations out on digital channels are supplied using energy from 8,840 branches + Service Points renewable sources as of 2020 (PAs)/Express Service Points (PAEs) SOCIAL 100% of the carbon emissions CAPITAL 39,100 correspondent generated through our activities bank network are neutralized, starting with those generated in 2019 70.2 million clients FINANCIAL 735+ thousand CAPITAL shareholders and investors HUMAN CAPITAL 7,581 suppliers R$1.6 trillion in total assets R$6.8 billion 89,575 Total employees in recurring net income
GENERATED AND SHARED VALUE
Associates Bradesco Organization
R$17.9 billion in R$13.9 billion reinvested wages paid in our business, products and services
Government Investors *We distribute interest on shareholders’ equity to shareholders in gross amounts as monthly, intermediary and supplementary payments. R$18.5 billion R$5.5 billion in taxes distributed*
B
BRADESCO Integrated Report | Shortened Version 2020 AOUR living STRATEGIC POSITIONING and 32 constantly evolving Ecosystem
Our diversified portfolio combines banking and insurance activities, a broad portfolio, a targeted service structure and significant investments in technology and innovation. This gives us the ability to satisfy a wide variety of clients and their needs with customized, secure and practical solutions. By doing this, we ensure that the business is sound and that our shareholders, as well as society, profit through our investments and social initiatives.
Orizon, OdontoPrev, Bradesco Europ Assistance, Livelo, Auto/RE Fleury, IRB Brasil RE, Veloe, (Vehicle/P&C) Swiss Re Cartão DIN Quod (DIN card)
Bradesco Bradesco Vida BRADESCO e Previdência Saúde INVESTED (Health) SEGUROS (Life and Pension Plans) Elopar, Cielo Digio, Alelo, Elo
Bradesco Capitalização Bradesco BSP Credit Management (Capitalization) Empreendimentos and Recovery (RCB)
B
BRADESCO Integrated Report | Shortened Version 2020 OUR STRATEGIC POSITIONING 33
Bradesco Leasing Losango
Bradesco Cards BITZ Bradesco Financiamentos (Financing) BRAM
BBI BAC
Bradesco Next Consórcios (Consortia) Bradesco Ágora International
Bradesco Correspondent Agronegócios bank network Shopfácil Market Place (Agribusiness) (Shop easy) Bradesco Corporate Institutional
TARGET MEI Portal INITIATIVES Autoline AUDIENCES Non-account holder Private
Prime Bradesco BIA inovabra Public Retail Authority
B
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Main Insurance Activities Life and personal accident insurance Health insurance Vehicle insurance Liability and property insurance Accident insurance Complementary pension plans (individuals and companies) Capitalization bond Pension investment contracts COMPANY
INSTITUTIONAL SEGMENT 1
INDIVIDUAL LARGE COMPANIES AND CORPORATE BUSINESSES Annual revenues PRIVATE BANK CLASSIC from R$4 billion Investments equal to or greater than CORPORATE R$5 million Annual revenues from R$500 million Monthly to R$4 billion income of up to PRIME R$4 thousand CORPORATE ONE Annual revenues Annual Monthly income equal EXCLUSIVE from R$30 million revenues of up to or greater than Monthly income of to R$500 million to R$30 million R$10 thousand R$4 thousand to R$10 thousand Or Or Investments equal to or greater than Investments of up to R$100 thousand R$40 thousand 1. Asset management, pension funds and brokerage houses. 2. Individual or company clients who use Bradesco’s products and do not have an existing checking account.
NON-ACCOUNT HOLDERS2
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Much more than a Bank
We are an Organization that is dedicated to securities and for relationships with institutional offering the best banking, financial, capital clients and encompassing a number of sectors and insurance services to our entire client and public companies in São Paulo, Buenos base, who can always rely on the support of Aires, Mexico, New York, London and Hong Kong. expert and accessible professionals in our various communication channels. Bradesco Corretora (Broker): exclusive service for institutional clients. Through Ágora Investimentos: an open Bradesco BBI, there is analysis coverage of and independent investment platform companies and sectors. Through Bradesco that offers proprietary and third-party Securities units, we cover the North American, products to all types of investors European and Chinese markets in brokering (Individuals and Companies) and Bradesco shares and American Depositary Receipts account holders as well as non-account (ADRs) and in dealing public and private holders. To help choose the best securities for investors. investments according to the investor’s profile, each client’s goals and personalized Cards: electronic payment solutions, services assistance, the client can use streamlined and consumer loan solutions for our individual and secure platforms through the Ágora and corporate clients from all socioeconomic App or the agorainvestimentos.com.br levels. We work with major credit card brands website. These services contain exclusive and offer Private Labels cards in partnership content and information that is updated with the leading brands. daily, which make it possible to invest in a complete grid, allowing clients to rely on International Operations: currency a curator to select the best investment exchange, export, import, financial transfers and products. trade finance. We offer specialized units and service points in Brazil and abroad, where we also Investment Banking: we provide advice provide a network of correspondent banks. to clients on primary and secondary stock offers; merger transactions; acquisition and BAC Florida: in 2020, regulatory approvals sale of assets; structuring and distribution were secured for the purchase of BAC Florida of debt instruments; structured corporate Bank in the United States. The bank offers finance transactions; and finance projects. traditional banking services, including checking The global markets area is responsible for accounts, cards, loan options and investments.
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Cash management: offering a wide Real Estate Financing: 100% digital portfolio of products and services; contracting for residential properties and sturdiness; security; customized solutions; online processes conducted by real estate and an integration of systemic platforms, partners through APIs, reinforcing our which facilitate the financial management strategic positioning for product growth of companies, public services and agencies through digital journeys. We work with 39 for managing accounts receivable and real estate platforms and their branches payable and the collection of taxes and with coverage throughout the country, fees. The global cash management area dedicated to assisting in prospecting and structures solutions for international monitoring new businesses/enterprises companies operating within the Brazilian before their launch, providing improved market and domestic companies that leverage in the stage of financing (transfer) operate abroad, maintaining a partnership units to individuals. with 53 international banks and providing access to the Swift Network, supporting Agribusiness: we have maintained our the opening of company accounts top position among private banks in the designated by partner banks. sale of products intended for rural loan and we are the largest transfer agent of Consortia: products targeted to all BNDES funding to the agricultural industry, segments, available through the Bradesco promoting business through agreements branch network as well as internet and partnerships with companies in the banking and mobile digital platforms, major links of the production chain. We in addition to the Corporate Digital have 14 agribusiness platforms available Electronic Signature, available on that are spread throughout Brazil, which Net Empresa. include agronomist experts and engineers, providing assistance to the service Loans and financing: provider of loan network and rural producers. solutions for individuals and companies of all sizes, including a complete product Payroll-deductible loans: first option in portfolio to address immediate needs for providing loans to individuals, offering a funds; acquisition of goods and services; swift and practical digital journey, with just and investments to support expansions three clicks to apply. The loan is targeted and modernization projects. Some of the towards retirees and pensioners from the products in the portfolio include: INSS (National Institute of Social Security), employees of private companies, federal, state, municipal public employees and the Armed Forces, with support throughout the country through digital channels, bank branches and correspondents.
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Capital markets: diversified Investment platform: solutions and services, like fiduciary designed to provide the client management of investment with personalized investment funds, qualified custody of advice either online or at a branch, securities and representation for comprising all the products non-resident investors. from Banco Bradesco, Ágora Investimentos and Pension Plans, Offers to public given the client’s stage of life, authorities: support need and profile. throughout Brazil, featuring business managers who are qualified to offer high-quality and secure products, services and solutions to federal, state and municipal Executive, Legislative and Judiciary authorities, in addition to councils; public foundations; public and semi-private companies; and armed and ancillary forces.
New Model for Branches
We reached the target of 700 branches converted into service points in 2020. With the new model, these service points operate with only ATMs and account managers. The expectation is that, in addition to reducing costs, this shift will increase the relevance of Bradesco Expresso’s network of banking correspondents. The structure will also be used by Bitz, Bradesco’s digital wallet.
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International presence
LONDON • •
LUXEMBOURG • NEW YORK • •
MIAMI •• MEXICO• HONG KONG • • GRAND CAYMAN • •
• Branches ARGENTINA • • Subsidiaries • Representative Office
Main Companies
Insurance, supplementary pension Banking segment and capitalization segment
- Banco Bradesco S.A. - Bradesco Seguros S.A. - Banco Bradescard S.A. - Bradesco Auto/RE Cia. de Seguros - Banco Bradesco Financiamentos S.A. - Bradesco Vida e Previdência S.A. - Bradesco S.A. Corretora de TVM - Bradesco Capitalização S.A. - Ágora Corretora de Títulos e Valores Mobiliários - Bradesco Saúde S.A. - Bradesco Asset Management (BRAM) S.A. - Mediservice Operadora de Planos de Saúde S.A. - Bradesco Leasing S.A. Arrendamento Mercantil - Atlântica Companhia de Seguros - BEM DTVM - Bradesco Saúde – Operadora de Planos S.A.
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Bitz Bradesco’s brand new digital wallet app, Grocery and Meal cards and payments via Bitz makes it easy to receive, pay and even QR code at locations with Cielo machines. collect money from other people via mobile. Any balance deposited in the wallet will have a 100% daily return of CDI. Bitz was created with a comprehensive ecosystem and features a virtual and In September 2020, Bradesco physical Elo branded debit card with NFC strengthened its digital wallet with the to use the digital wallet balance for both acquisition of the fintech DinDin. After the online and in-store purchases. Bitz also transition, all of the fintech’s clients will includes others services like cell phone become part of Bitz. top-ups, credit, integration of Alelo
Payment Physical Card: Strategic account: easy to debit for all partnerships: open, completely expenses and to deliver offers, free and available use in any benefits and to everyone machine amenities (companies and individuals)
Virtual Card: Payment via online and in- QR code: on app purchases Cielo machines
Bradesco Asset Brazilian capital market while employing Management (BRAM) methodologies that analyze the risks, One of the leading third-party asset opportunities and potential impacts managers in Brazil, BRAM manages that stem from environmental, social investment funds and portfolios for and governance aspects (ESG) on the clients with varying backgrounds and from performance of its assets. different segments. BRAM currently has a total of R$529 billion As a signatory to the Principles for in assets under management. Out of this Responsible Investment (PRI), BRAM total, 99.5% were analyzed, including combines the Bradesco name with an environmental, social and governance understanding and participation in the issues in 2020.
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Bradesco Seguros – Exclusive services, like Meu Doutor Novamed We are the market leader in Brazil. clinics, for policyholders of Bradesco Saúde Our diversified performance and Mediservice, including outpatient care, combined with over 30.6 million medical appointments and laboratory and policyholders and clients consistently diagnostic exams. contributes to the Organization’s consolidated results. – Meu Doutor (My Doctor) Program, which enables Grupo Bradesco Seguros provides online scheduling of doctor appointments with solutions in a number of segments; an exclusive network of physicians. The program including Auto/RE (Vehicle/P&C) features 549 doctors who have made more Insurance (home and property for than 2.2 million medical appointments. individuals and companies); Health Insurance; Dental Insurance; Life insurance; Capitalization and Private – Dirija Bem App, which captures driver information Pension Plans. In addition, it offers from the vehicle on a smartphone and generates credit cards with exclusive benefits a report on the driver’s performance. Since its for policyholders. introduction, Dirija Bem has been installed by 17,651 people, with 3,976 downloads in Through the joint venture Swiss Re 2020 alone. Corporate Solutions Brasil Seguros S.A. (SRCSB) between Grupo Bradesco – Bradesco Seguros App, providing information Seguros and Swiss Re Corporate and assistance on every product from all Solutions, we are also active in the categories. 116% increase in Bradesco high risk segment, targeting medium Seguros App users and 32% surge in app and large corporate clients for the downloads compared to the same period in 2019. airline, automotive, heavy industry, and other sectors. – BIA (Bradesco Artificial Intelligence), also available to Grupo Bradesco Seguros’ clients.
– Operação Calamidade (Operation Calamity), intended to handle responses to claims and payments of compensation to policyholders who were affected by natural tragedies in the shortest possible time. It was triggered three times in 2020 to assist cities in the South and Southeast regions of the country that were hit by severe storms, when around R$16,709,000 was paid out to 2,660 policyholders.
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Bradesco Seguros headquarters (São Paulo – SP)
BRADESCO Integrated Report | Shortened Version 2020 42 Sustainability at Bradesco
In an ever-changing environment Sustainability beset with challenges, Strategy organizations need to be resilient Given the significant challenges and able to generate value for and trends of the sustainability clients, employees, investors and agenda, we reviewed and society. Coupled with economic structured the Sustainability factors, managing ESG matters Strategy in 2019 in an effort to has become a crucial element to further accelerate the development the consistency and long-term of the issue at the Organization. success of companies. The Strategy covers six pillars At Bradesco, sustainability is aligned with the United Nations’ integrated into our strategic Sustainable Development Goals guidelines and we continually that are priorities for Bradesco, invest in the combination of the Relevance Matrix and policies, governance, engagement Bradesco’s business objectives. and management of ESG elements, strengthening our commitment to our mission of playing a key role in the Country’s sustainable development.
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Broadening the results and impacts of our social investment in Brazil.
Addressing and promoting diversity among our employees and clients.
Diversity Social Investments
Ensuring that our businesses are prepared for the climate Leveraging our innovative challenges, in addition to strength in support of further transparency as Sustainability. Climate to climate impacts in the Innovation Change Organization.
Sustainable Customer Businesses Relationship
Supporting clients in the Assisting clients with excellence, according transition to a more sustainable to their needs and goals. economy.
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Sustainability Governance Bradesco boasts a robust governance structure integrated with its businesses to help implement its Sustainability Strategy. Governance encompasses various expertise and hierarchical levels as a way of delivering better management, engagement and performance for facets of ESG.
SUSTAINABILITY BOARD OF SUSTAINABILITY AND SUSTAINABILITY STRATEGY DIRECTORS DIVERSITY COMMITTEE COMMISSION MANAGEMENT
Semiannual meetings to The Committee at The Commission at In order to accomplish determine the strategy bimonthly meetings bimonthly meetings each pillar of the and sustainability is comprised of Board is made up of Sustainability Strategy, guidelines and to track of Directors members executive officers and we are supported by ESG performance. and executive officers, managers from various a sponsor (executive including the CEO and departments. level) who is responsible *Meetings were annual executive vice-presidents. The forum is tasked with for promoting the up to 2020. The Committee has the proposing initiatives Organization’s progress authority to draw up and providing advice in the proposed performance strategies on the committee’s indicators and initiatives and ensure that decisions, putting them with the other corporate guidelines are into practice within the departments involved. implemented. departments. Meetings to discuss the strategy occur on a *Meetings were *Meetings were monthly basis. quarterly up to 2020. monthly up to 2020.
DEDICATED TEAMS
Alongside the Sustainability team, there are over 40 professionals comprising teams that are dedicated to managing ESG aspects within various structures at the Organization. They are also responsible for connecting and communicating the Sustainability Strategy.
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Voluntary Commitments The sustainability strategy is further bolstered through adherence to voluntary sectoral and multi-sectoral commitments. We adopt and integrate voluntary commitments within our internal processes that are focused on including ESG aspects in our practices and businesses.
Sustainable Development Sustainable Businesses
Diversity and Human Rights
Environment and Climate Change
Transparency
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Sustainable Development Goals The prioritization process took place Aligned with the Sustainability Strategy in 2019 and included discussions with and leveraging our commitment to stakeholders; a comparative study of generating value for our stakeholders, we sector benchmarking; relevance matrix; have made six of the SDGs our priorities, strategic pillars of the Organization; which reinforce the commitment to align Brazilian scenario (key social and the business with the 2030 agenda, environmental issues); reporting and tracking the impact and contribution to performance recommendations and society’s goals as well as their progress guidelines, and more. The result and the in implementing the Principles for prioritization process were checked by Responsible Banking (PRB). external consultants and given a positive assessment: Environmental Resources Management (ERM) Brasil Ltda.
Climate Financial Bill We made the first issue of a Bradesco ESG bond. Issued in December 2020, the Financial Bill was based on the Climate Finance Framework, verified by a third party, and raised Commitments R$1.2 billion to finance assets that support the transition to a less to the Climate carbon intensive economy. In 2020, we pledged to have 100% of Bradesco’s operations supplied using energy from renewable sources as of the end of that year. Upon launching the initiative, we began 2021 as one of the first major financial institutions in the world to complete the transition.
We have also committed to neutralizing 100% of greenhouse gas emissions derived from our operational activities, covering points 1, 2 and 3, and becoming the first major Brazilian bank to comply with this level of carbon offset.
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Bradesco’s work in the Amazon In the midst of the pandemic in 2020, Financial inclusion is an important new challenges emerged for the riverside aspect of Bradesco’s work and has been communities in the Amazon. Nevertheless, central to the bank’s performance since Unibrad took on the Financial Well-being its founding. As such, we are active in Times of Crisis – FAS Leaders Project. throughout the country. Content is shared at the lectures on how to deal with the pains and complexity We reach even more remote regions of the times; to make the right choices; through correspondent bank network and plan and control accounts; and tips and the PAs. For example, our floating branch information channels. Voyager has been in the Amazon since 2009 and, traversing the Solimões River Amazon Plan (1,600 km round trip), it serves people who Bradesco, Itaú and Santander have formed live in remote regions of Northern Brazil. an unprecedented partnership to draft the Previously, these people had to travel Amazon Plan, a set of 10 measures focused to larger cities to make withdrawals and on promoting environmental conservation perform other banking transactions. and the development of the bioeconomy in the biome, investments in sustainable Through micro-credit, we provide infrastructure, and to guarantee the basic information, training and loan access rights of the Amazonian population. to encourage local development and entrepreneurship. We started offering this The experience of coping with Covid-19 product in 2014. served as the inspiration for developing this broader and longer-term agenda. Several communities in the Amazon The pandemic has revealed the enormous are involved in financial education and potential that banks and the overall business entrepreneurship incentive initiatives, sector have in working jointly to solve conducted in partnership with community problems that are bigger than their day-to- leaders and the Bradesco Corporate day business schedule. University (Unibrad). In 2014, we started with lectures and, in 2016, we introduced Coming up with solutions for a region with personal finance workshops for so many contrasts and such complexity community leaders. will only be achieved from coordinated actions between companies, civil society and government agencies. The motivation is to therefore act together as a bank in order to direct efforts towards the socioeconomic development of the region.
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We began our activities prioritizing four Performance and Highlights measures among the 10 announced: In 2020, Bradesco posted a performance that was largely above average, according
– Meatpacking industry and deforestation to assessments of the leading indexes Working towards zero deforestation in the and ESG ratings in the domestic and meatpacking sector, reinforcing internal international markets. Some of these efforts, supporting the transition and results included: coordinating companies and associations to create a commitment within the sector. • We are the top performing Brazilian bank on the Dow Jones Sustainability Indexes
– Sustainable chains (DJSI) and rank fifth globally. In 2021, we are Through collaborative efforts providing continuing participation in the World and financial and non-financial support for Emerging Markets portfolios of the Index. sustainable crops, we are attempting to stimulate the productive sectors, including • We are part of the B3 (Brazilian Exchange cocoa, açaí (acai berries) and chestnuts & OTC) Corporate Sustainability Index (ISE) through diversified financing lines, along for the 16th consecutive time. with other financial and non-financial tools. • We received an upgrade in the MSCI ESG
– Property regularization Index rating from A to AA. Studies with experts to understand the obstacles and identify ways to contribute • We were evaluated with concept A by the to land regularization efforts in the region. Carbon Disclosure Project (CDP), becoming Any outcomes will help the banks pinpoint part of the class of leaders in climate change possibilities to take action on the topic. management.
– Bioeconomy • Placing in the Silver category for the third We plan to invest and attract investments consecutive year in The Sustainability in research and development to scale Yearbook 2021, published annually by S&P, the bioeconomy – the natural calling of which recognizes companies with the best our Amazon. This is why we have been practices in sustainability throughout the identifying forest chains and assets world. We are the only Brazilian bank in that have short, medium and long-term the category. market potential.
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Grupo Bradesco Seguros’ Sustainability The Insurance Group introduced its sustainability page in 2020. Performance Performance The new portal contains ESG guidelines 87 pts. 75 pts. and practices, demonstrating how sustainability is linked to Bradesco Seguros’ business. Discover the new environment at bradescoseguros.com.br/ sustentabilidade.
Best EM Performers Grupo Bradesco Seguros’ Performance Performance Sustainability Committee A- 45 pts. We work alongside the Grupo Bradesco Seguros’ and BSP Empreendimentos Imobiliários’ sustainability Committee to evaluate the best market practices, propose strategies and initiatives and Performance promote the culture of sustainability, 24.3 pts. which is reflected in the evolution of Refers to a risk score, Performance our results. Restructured in 2020, the the closer to 0, 3.2 pts. the better. committee reports to the Executive Board of Bradesco Seguros S.A. and includes officers from different areas and companies of the Group.
Social and Environmental Responsibility Policy of the Insurance Group Performance Performance The social and environmental AA C responsibility guideline of the Sustainability Area – which incorporates environmental, social and governance criteria (ESG) – is under the scope of its activities. It ensures that the preservation Learn more about our sustainability strategy in the full version of the Integrated of the environment is reflected in the Report, available on our IR website. development and offering of its products and services and in the management of real estate projects. BRADESCO Integrated Report | Shortened Version 2020 OUR STRATEGIC POSITIONING
Solid and Transparent Governance
The Red Building (Prédio Vermelho) Cidade de Deus, Osasco – SP SOLID AND TRANSPARENT GOVERNANCE 51
Resilience, firmness and promptness to adapt to the needs of the market and stakeholders can only take place when they are based on a robust, transparent and sound governance.
As a publicly traded company, we are listed on UNDER THE TERMS OF THE PREVAILING B3’s (Brazilian Exchange & OTC) tier 1 of Corporate LEGISLATION, SHAREHOLDERS HOLDING Governance, reflecting our high standards of corporate COMMON AND/OR PREFERRED SHARES governance, an effort designed to align financial aspects WHO ARE NOT A PART OF THE CONTROLLING with socio-environmental aspects. GROUP MAY ELECT THEIR REPRESENTATIVES FOR THE BOARD OF DIRECTORS AND FISCAL Our principles are based on guidelines from the Brazilian COUNCIL IN A SEPARATE VOTE FROM THE Corporate Governance Code and the Securities and MAJORITY ELECTION. Exchange Commission (SEC) Rules in the United States.
We are deeply committed to generating value for all our stakeholders, and the power of our governance is an essential part of this long-term outlook. As the supreme governing body, the Annual Shareholders’ Meeting is responsible for deciding on our business and electing members of the Board of Directors, for a 2-year term, and the Fiscal Council (a permanent body that oversees the actions of management), for a 1-year term.
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Major Shareholders
46.30% COMMON 53.70% COMMON 100.00% PREFERRED BBD PART. S.A. 26.07% Total NOVA CIDADE 73.93% Total FUNDAÇÃO (managers/ DE DEUS BRADESCO¹ employees)
47.93% COMMON 47.93% Total
16.63% COMMON 35.44% COMMON AGUIAR 16.63% Total CIDADE 35.44% Total FAMILY DE DEUS
45.64% COMMON 0.02% PREFERRED 22.88% Total 74.72% COMMON 25.13% COMMON 39.51% Total 100.00% PREFERRED 60.41% Total MARKET NCF
0.15% COMMON 0.08% Total 28.86% COMMON 8.43% COMMON 97.73% PREFERRED 2.25% PREFERRED 63.22% Total 5.35% Total
1. Bradesco’s Management (Board of 17.07% COMMON 8.55% Total Executive Officers and Board of Directors) is BANCO part of the Fundação Bradesco’s Managing BRADESCO Board, the highest decision-making body of this entity.
Comprised of 6 external members of the company require such a The Fiscal Council includes five and 3 independent members, meeting. With its own Charter, effective members and their including one woman, all over the Board also has a Manual and respective alternates, two of 50 years of age (who choose an Annual Calendar of Meetings whom are elected by minority amongst themselves the defined by its Chairman. The shareholders. In addition to the Chairman and Vice-Chairman of Board is advised by a Governance Fiscal Council, there is also an the body), the Board of Directors Secretariat and seven supporting Internal Audit which reports to the is responsible for defining the committees, each with its own Board of Directors business strategy, election or charter, with statutory being Audit dismissal of the members of and Compensation and non- the Board of Executive Officers, statutory being Integrity and Ethical supervising the work performed Conduct; Risks; Integrated Risk To find out more by the CEO and selecting or Management and Capital Allocation; about our structure and the removing independent auditors. It Sustainability and Diversity; and membership of our Board, regularly meets 6 times a year and Succession and Appointment. committees and boards of at special times when the interests e x e c u t i v e o f fi c e r s , p l e a s e v i s i t www.banco.bradesco/ri
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party activities and exercising Integrity and ethics are an leadership. Moreover, the code inherent part of any decision also now includes the guidelines taken by Bradesco and the that are intended to apply to the people who are part of relationship with the different the Organization. Essential stakeholders, public agents and principles for designing any politically exposed people. strategy, integrity and ethics are handled in a clear, transparent In order to safeguard and reinforce and objective manner within all the importance of the issue at the levels of the Bank. The Code Organization, we are equipped of Ethical Conduct serves as with the Grupo Bradesco Seguros’ the driving force for Bradesco’s Code of Ethical Conduct, the managers, employees, interns, Purchasing Professional, the apprentices, service providers, Auditors and Inspectors and the suppliers and business partners. Bradesco Organization’s Financial and Capital Markets Professional. It should be pointed out that, Additionally, we also maintain in February 2020, the code was the Integrity Program and the updated to reflect behaviors Competitive Compliance Program UNIBRAD’S COMPLIANCE, that are expected and those to prevent, detect and address any CONDUCT AND ETHICS that are not tolerated by possible behaviors and acts that DEPARTMENT AND THE HUMAN Bradesco, including issues violate the provisions of the Anti- RESOURCES DEPARTMENT involving transparency, Corruption Laws (No. 12,846/2013), MADE A SERIES OF “PILLS OF conflicts of interest, privileged Anti-trust (No. 12,529/2011) and INTEGRITY” AVAILABLE ON THE information, valuing people, other laws, sub-legal regulations CORPORATE PORTAL (INTEGRA socio-environmental and recommendations from the RH) FOR REFLECTIONS ON responsibility, political Regulatory or Self-Regulatory Bodies EVERYDAY ATTITUDES TOWARDS and the Codes of Ethical Conduct INTEGRITY AND ETHICS. that are applicable to the activities.
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In September 2020, training was in September and December as specifically restructured in an a virtual event in celebration of effort to make content more International Anti-Corruption Day. practical, easy and dynamic. By The week featured an opening the end of 2020, 73 thousand by the CEO, Mr. Octavio de Lazari employees had taken the course Júnior; a lecture by Board member through the online platform. Mr. Alexandre da Silva Glüher; in-house and external speakers; In the continuous pursuit to final remarks delivered by Vice- improve our branch network President Mr. André Rodrigues in terms of product offers and Cano; and conclusions by the recommendations that fit our Chairman of the Board of Directors clients’ profiles, we created Mr. Luiz Carlos Trabuco Cappi, who Customized Training in August discussed issues involving integrity 2020, targeted towards specific and ethics. The event was attended subjects in which the branches by 7,224 employees who interacted present additional needs for with questions and comments via enhancing service quality. In 2020, chat. Additionally, 1,085 employees 296 branches were involved in the have undergone on-site and virtual Country’s main capitals, with the training on the subject of integrity participation of 2,876 employees and anti-corruption. between August and December. As a complement, Unibrad’s With the support of the Corporate Compliance, Conduct and Ethics University of Bradesco (Unibrad), Department and the Human the Compliance, Conduct and Resources Department made Ethics department, in partnership a series of “Pills of Integrity” with the Grupo Bradesco Seguros, available on the Corporate Portal held the Bradesco Integrity Week (integra rh) for reflections on everyday attitudes towards integrity and ethics.
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Training
In 2020, Ethics Training went through a complete restructuring and was announced to employees in September to provide employees with an updated view of the precepts listed in the Bradesco Organization’s Code of Ethical Conduct. Following the release, 74 thousand employees have taken the course through the online platform. In 2020, we hosted Integrity Week through digital channels, with online lectures and participant interactions through chat. Over 7 thousand employees took part in the Integrity Week activities. In addition to these highlights, we also offer courses on anti- corruption, procuring suppliers and an Integrity Program. All told, the solutions had 94% adoption in 2020.
Employees in conference calls
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In addition, we employ consistent processes (methodologies, models and tools for measurement and control) to proactively identify, measure, track and report risks so that they are prevented or mitigated.
The Organization monitors and controls the sufficiency of capital and liquidity in order to comply with both the minimum regulatory levels (established by the Central Bank of Brazil and disclosed quarterly in the Risk Management Report – Pillar 3, available at: banco.bradesco/ri) and the Risk Appetite levels (buffers) defined and approved by the Board of Directors. This process relies on the use of stress test scenarios to help calibrate and define As a financial institution in a diversified and the buffers. globalized business, the risk management process requires a strong and integrated structure. This is an In addition to enhancing and promoting knowledge essential process for maintaining transparency in the about the Organization’s risk profile, the stress tests business and adhering to compliance standards. At play a role in anticipating potential weaknesses, Bradesco, we abide by the guidelines established by mitigating stressful situations and assessing their the Board of Directors and our committee structure. impacts on the business. We also offer a Business These guidelines define the global objectives Continuity Management (GCN) program, which provides related to the topic, which are broken down into guidance to departments on the ongoing planning of goals and limits that need to be fulfilled by the risk responses to incidents that may cause a disruption in management business units, which lends support to our activities, thereby mitigating possible impacts. management on monitoring these risks. Emerging Risks Our governance model also includes policies, The Organization strives to continuously improve standards and procedures that establish the the process for managing emerging risks – which basic operational guidelines determined by senior includes identifying, assessing and monitoring management in accordance with our standards of themes – seeking to properly manage risks and integrity and ethical values; and according to the permitting preventive measures to be taken to nature of our operations and the complexity of prevent them from occurring, minimizing their products and services. They are also reviewed at adverse effects and maximizing opportunities. least once a year by the Board of Directors and made available to all employees and related companies through the corporate intranet.
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Board of Directors CEO
Bradesco Seguros Risk Committee Integrated Risk Executive Committee Management and Capital for Risk Management, Allocation Committee Actuarial Control and (COGIRAC) Compliance
Executive Committees for the Business Areas
Executive Committee Executive Committee Executive Committee for for Risk Management for Risk Monitoring AMLTF/ Sanctions and Information and Cybernetic Security
Risk Map
CREDIT UNDERWRITING STRATEGY CONTAGION
MARKET LIQUIDITY REPUTATION COMPLIANCE
OPERATIONAL SOCIO-ENVIRONMENTAL MODEL CYBERNETIC
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Risk Management at Bradesco Seguros As part of this process, a calculation The Grupo Bradesco Seguros maintains of capital buffer is conducted annually its own risk management structure. It is through the stress test in each capital primarily designed to ensure that there is a installment through deviations noted in formal risk management process in place the key insurance and economic variables. and to establish processes, methodologies There are also capital supplementation and tools to identify, evaluate, measure, scenarios included, such as losses arising address and monitor the risks it is exposed from catastrophic risks of the companies to. Included in this context is the solvency Bradesco Auto/RE (Vehicle/P&C); Bradesco ratio, which includes regulatory risks, such Saúde (Health); and Bradesco Vida e as underwriting, operational, market and Previdência (Life and Pension Plans), cyber credit risks, in addition to the calculation of risk, strategic margin and other non- minimum required capital. regulated risk scenarios. This exercise is meant to ensure a capital surplus to the regulatory amount that is consistent with the Organization’s risk appetite.
Grupo Bradesco Seguros includes an Underwriting Risk Management Policy, which, among other guidelines, ensures that the underwriting risk exposure inherent to new activities, products and processes is previously identified and properly assessed.
Socio-Environmental Risk in Insurance The Risk Area includes a guideline for Socio-Environmental Risk that is intended to establish processes for managing socio- environmental risks and climate change, incorporating environmental, social and governance criteria within the sphere of its activities in developing and offering its products and services and in managing real estate projects through identification, assessment, classification, control and mitigation of these risks.
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BBI headquarters, in São Paulo – SP Corporate Policy on Information and Cybernetic Security
We maintain a Corporate Policy for Information and Cybernetic Security, which provides information to all Bradesco employees and executives on confidentiality and the proper protection of the Organization’s and clients’ data, including other points. The matter is managed by the Departments of Corporate Security and of Information Technology Infrastructure, and involves a number of areas and operates on different fronts.
In light of the global Covid-19 pandemic, our employees are working from home or in rotation to maintain the appropriate level of service to our clients. We have therefore stepped up publicity efforts on the guidelines related to information security and cybernetics, data privacy and fraud prevention to our employees and clients.
BRADESCO Integrated Report | Shortened Version 2020 SOLID AND TRANSPARENT GOVERNANCE 60 Management of Socio-environmental Risks
The scope of managing socio- Furthermore, we have been environmental risk comprises the subscribers to the Equator assessment of clients who are Principles since 2004 and we active in sectors with a potential ensure that projects financed and socio-environmental impact and advised by the Organization and have significant credit exposure. In that fall under these principles this assessment, ESG aspects are are carried out in accordance with addressed that cover a number applicable legislation and adopt of analyses. They include the “supra-legal” practices established NOTABLY, 144 PROJECTS impact on biodiversity; impact in the International Finance WERE ANALYZED IN 2020 on traditional communities; Corporation (IFC) Performance FROM THE PERSPECTIVE OF involvement with slave-like and Standards and the World Bank’s SOCIO-ENVIRONMENTAL RISK. child labor; legal compliance; Health, Safety and Environment THE ORGANIZATION ALSO and climate change, with the Guidelines, including climate CURRENTLY MONITORS 44 performance of these clients in change, biodiversity, human rights PROJECTS THAT HAVE BEEN ESG aspects resulting in a socio- and indigenous peoples. CONTRACTED SINCE 2008. environmental rating classification.
Learn more about our governance activities and take a look at the updated list of the Voluntary Commitments at www.bradescosustentabilidade.com.br.
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Supplier Management Suppliers are vital in accomplishing our goals Bradesco and delivering the best solutions to clients, while Suppliers maintaining quality and efficiency. In 2020, our base recorded 7,581 registered suppliers and, over the year, Meeting 1,377 new suppliers and 2,492 suppliers with relations We hold the Bradesco Suppliers were approved (active contracts). Meeting annually. The 18th annual meeting in 2020 was To become a Bradesco supplier, a potential vendor held 100% online and was needs to go through an approval process under the attended by 393 people and responsibility of the Purchasing Department. This 171 companies. The meeting process is performed by the Supplier Management, presents a perfect opportunity which reviews the suitability of companies from to educate our partners on registration, commercial, economic-financial and themes related to sustainability. socio-environmental points of view. The socio- environmental issues that are examined include labor The event’s theme this year practices through public certificates, prohibitions was on Ethics and Integrity in on slave-like or child labor, environmental risks and Times of Crisis. In partnership negative media. with the Compliance, Conduct and Ethics Department, we After this information is analyzed, the supplier is introduced Bradesco’s Integrity approved and adopts our Code of Conduct and other Program, in addition to the policies and standards. Our contracts also contain results from the audit program, clauses on forced and child labor, anti-corruption and and the Bradesco Supply Chain socio-environmental matters. Social Responsibility Program (PBRSA SC). We also recognized six suppliers for social and environmental practices and we concluded with a lecture All standards can be viewed at by Professor Leandro Karnal, bradescofornecedores.com.br and/or bradescori.com.br. addressing the theme of our event in a practical way – ethics and integrity.
BRADESCO Integrated Report | Shortened Version 2020 Generating Value
Grupo Bradesco Administrative headquarters on Faria Lima, São Paulo – SP GENERATING VALUE 63
At Bradesco, we work as an integrated business ecosystem that looks to generate value for all our stakeholders – clients, employees, shareholders, society and the government – through a diversified and accessible range of financial and insurance solutions, products and services.
To this end – and as part of our commitment opportunities and tackle the challenges to ethics and transparency – we manage posed by the market to maintain a steady all the themes that are considered to be trend of value generation. highly relevant to the Organization within a business model and a strategy that takes On the next pages, we outline the into account the generation of value in the principal challenges and results for 2020, short, medium and long term. taking into account the connectivity and interdependencies between each of our Pursuing our mission of contributing to material and capital themes (financial, the fulfillment of people and sustainable manufacturing, intellectual, human, social development, we are committed year after and natural). year to expanding our capacity to seize
BRADESCO Integrated Report | Shortened Version 2020 64 Results in a Challenging Year
The pandemic has shifted intuitive for clients so they can priorities and forced the financial restructure their commitments. system to test its adaptability We have also pushed significant and look for solutions to make innovations in credit and debt payment conditions feasible and recovery policies by implementing flexible, extend debts and rethink new algorithms based on BigData its way of providing services in platforms and real-time decision record time, amplifying digital making, allowing us to quickly and autonomous solutions in all react to the abrupt shift in the its areas. loan capacity to clients imposed by the pandemic. Some of the more important measures include flexibility Our goal continues to be to offer our in payment dates and rates, clients a break during this time of diversification of contracting crisis, allowing them to reorganize channels, and the progress of their accounts in a sustainable digital journeys, making them more manner over the long term.
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Extended IN R$ BILLION R$2.9 bi operations R$1.1 bi 0.6% R$0.2 bi 0.2% 0.0% In order to provide a better overview of the extended loan portfolio, we began 56.0 55.3 publishing the book balance of operations, 48.0 net of amortizations, in the fourth quarter of 2020. The R$48 billion portfolio in December 2020 includes the following 42.8 42.0 components: 37.5
Mass Market On time: R$41.4 billion Wholesale 13.2 13.3 Overdue: R$2.9 billion 10.5 Overdue (over 30 days)* In a grace period: R$3.8 billion (50% paid in January 2021) Jun20 Sep20 Dec20 *More than 30 days overdue calculated based on the balance of the Central Bank of Brazil’s (Bacen) Portfolio.
BALANCE BY PRODUCT IN R$ BILLION
R$48 billion Book balance net of amortizations Credit profile of clients who requested an extension Dec20
Were on time – clients who had no overdue 92% payments over the 12 months prior to the pandemic. 0.1% Payroll/cards 8.7% Vehicles 94% With AA to C rating 19.6% Real estate 4.2% Personal loans 70% With a real guarantee
Working capital BNDES/Rural Average time 11.2% 4.2% 13 years of relationship
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Return, Income quarter without impacting our high level of and Efficiency provisioning, as noted in our coverage ratio for loans more than 90 days overdue, which soared by 403% in December 2020. In 2020, our recurring net income amounted to R$19.5 billion, a decrease compared to Our operating efficiency ratio (ER) 2019 (-24.8%), reflecting the effects caused reached 46.3%, representing the best by the Covid-19 pandemic. However, in the ratio in our historical series, registering an fourth quarter of 2020, our recurring net improvement of 2.7 p.p. compared to the income totaled R$6.801 million, performing previous year. The result reflects efforts very well compared to the previous quarter by Management to maintain tight control (+35.2%), and posted a return on average over costs, mainly related to a reduction equity of 20%, returning to the same levels in operating expenses, which decreased observed in 2019 before the pandemic. by R$3.2 billion in 2020 (excluding the provision for the difficult economic The operating income for the quarter landscape for the Insurance Group), in performed extremely well, a reflection of addition to the growth in net interest the higher net interest income and service income even with the lower spreads. income. There was also a decrease in all expenses, which dropped by 18.3% in the
RECURRING NET INCOME IN R$ MILLION
6,645 6,238 6,462 6,542 6,801 5,830 18.8 28.8 28.9 29.1 28.4 5,031 30.6 3,753 3,873 26,3
30.9 35.1 81.2 71.6 71.2 71.1 69.4 70.9 73.7 69.1 64.9
4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20
Share of Financial Activities % Share of Insurance Activities %
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ROAE % CUMULATIVE AND QUARTERLY
21.2 20.5 20.6 20.5 19.7 20.0 20.5 20.6 20.2 20.6 19.0 15.2
11.7 11.9 14.8 12.9 11.7 11.8
4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20
ROAE – quarterly ROAE – accumulated
% RISK-ADJUSTED ER/ER
77.4 78.1 72.2 72.0
65.6 64.5 64.2 63.9 63.5 70.5 70.2 65.2 66.7 63.5 63.3 63.3 63.4 62.4
49.6 49.5 49.4 49.5 49.0 49.1 47.8 47.2 46.3
50.4 48.6 49.2 49.9 48.3 49.3 44.0 47.6 44.6
4Q18 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 4Q20
Quarterly ER 12-month risk-adjusted ER 12-month ER Quarterly risk-adjusted ER
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Highlights
Recurring Net Income* +35.2% for the quarter R$6.8 billion +2.3% over 12 months (4Q20 vs 4Q19)
ROAE quarterly* +4.8 p.p. for the quarter 20.0% -1.2 p.p. over 12 months (4Q20 vs 4Q19)
R$3.2 billion ER accumulated over 12 months reduction in 46.3% operating expenses for the year Improvement of
(excluding the provision for the adverse economic 2.7 p.p. (12M20 vs 12M19) scenario for the Insurance Group)
Expanded Loan Portfolio +10.3% over 12 months R$687 billion +3.4% for the quarter Companies Individuals
+9.4% over 12 months +11.7% over 12 months +1.4% for the quarter +6.9% for the quarter Expanded ALL* -18.3% for the quarter R$4.6 billion +14.7% over 12 months (4Q20 x 4Q19) Coverage Ratio 90 days* 90-days overdue* 402.8% 2.2%
*4Q20
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Rapid responses In 2020, among the total loans granted by the Organization, 25.3% were carried out Spurred on by social distancing independently by clients through digital requirements, we have developed our channels. Compared to 2019, this allowance digital channels rather quickly, with an 11% has grown 29% for individuals and 7% for growth compared to the previous year and companies. There was an 18 p.p. increase in a 62% drop in transactions conducted at the number of Individuals using the Mobile teller windows. channel, from 61% of the total loans granted in 2019 to 79% in 2020.
Loans Authorized on Digital Channels
INDIVIDUALS IN R$ BILLION Highlights 32.9 Loans Authorized Loans Authorized by Product Mobile Channel 25.5 2020 vs 2019 for Individuals 304 17.4 79% 61% Personal loans + 4% 182 49% (22.0 billion origination) 100 39% 51% 21% Payroll-deductible 2018 2019 2020 loans +159% 2018 2019 2020 BASE 100 VARIATION (10.6 billion origination) Mobile Other digital channels
COMPANIES IN R$ BILLION Highlights
32.2 Loans Authorized Loans Authorized 30.1 by Product Mobile Channel 16% 12% 2020 vs 2019 for Companies 287 21.5 PRONAMPE* 8% (2.7 billion origination) 210 88% 84% *Production of 92% Sep. 20 and Dec. 20. 100 Advances to 2018 2019 2020 2018 2019 2020 Suppliers +13% BASE 100 VARIATION (7.0 billion origination) Mobile Other digital channels
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Individuals Companies ACCOUNTS OPENED THROUGH THE APP Through Dec. 2020, over IN THOUSANDS 82.4 thousand accounts were opened. 897 In addition, an application for MEI 163% corporate accounts was released in May 2019. 341 2019 2020
Retail
The Retail segment reorganized its entire For Companies, our managers have structure, with teams working on-site remained focused on supporting at the branches and remotely, to ensure entrepreneurs to help them get through the highest level of customer service, the pandemic with the best and most providing essential services to society suitable loan solutions as a means to ensure during the pandemic. Security protocols business and corporate continuity. were implemented to protect clients and employees against Covid-19 and Access to the Individual Microentrepreneur clients were supported so they could Platform (MEI) has increased and was honor their commitments and organize decisive in supporting this profile. their financial matters. Digital platforms have broadened their Exclusive Clients received a new range operations and have become even more of products and services based on their effective at supporting clients remotely. personal experiences.
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Branch façade at Av. Praça Benedito Calixto São Paulo – SP
Bradesco Prime
Targeted to high-income We are further improving our seeking a curation of the products individuals, Prime’s mission is to model for financial advisory offered and a deep knowledge of be a digital and contemporary services through the use of the market to meet their needs. bank focused on a complete managers (responsible for the relationship model that adapts overall customer relationship) Additional relevant distinctions for to the profile and needs of each and investment specialists, who this segment include: credit lines person. Based on customized are focused on advising clients with varied rates, international solutions and assessed by qualified on investment decisions through solutions through BAC Florida, professionals, we are focused on Ágora Investimentos for both their special benefit programs, and establishing a solid relationship own products and those of third a business platform dedicated with the Prime client while parties. In order to do this, we to our foreign clients in Brazil, simultaneously working to attract a work diligently in qualifying and with customer service offered in new generation of investors. training these professionals to English, French, Spanish, Mandarin manage the wealth of our clients and Japanese.
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Wholesale Bank
The Wholesale segment has also reinvented itself in terms of communicating with clients through a new, more personalized, predictive and integrated platform, creating a transformation in the commercial journey with the integration of CIB; International and Foreign Exchange; Bradesco Asset Management (BRAM); and Private, which has provided synergy with the insurance company and the entire Bradesco Group, forming a system containing algorithms and processes with more than 150 indicators and additional speed and quality in risk management.
The specialties that make up the service include: Cardiology, Family Bradesco Seguros Medicine, Dermatology; Endocrinology; Gastroenterology; Geriatrics; Gynecology Digital acceleration in Insurance area and Obstetrics (in these cases, they need to is increasing. Besides that, the prior be Novamed patients); and Pediatrics. auto inspection model is 100% digital, respecting the specific needs of the Since the service was introduced, broker, the client and the vehicle. 772 patients have used telemedicine, Payments to the repair shops are also enjoying the practicality and made entirely online. convenience of being assisted from the comfort of their own home. Digital reimbursements for health care now account for 90% of the total. In July, Business in Focus Campaign: to assist clients also began using Telemedicine for clients in the corporate segment and help remote care from professionals through the protect more companies at a time when digital platform, reducing their exposure the novel coronavirus pandemic has posed to hospital environments. The initiative challenges to business, Bradesco Auto/RE is noteworthy for offering services from (property and casualty) released a special Novamed doctors via video-appointments, initiative: the Business in Focus promotional providing optimal primary care and serving campaign. The initiative grants a 15% the patient in complete safety without the discount on new insurance, endorsements need to leave home. or renewals for the corporate sector.
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Vehicle Self-Inspection and Home motorcycle and cargo) can therefore use this Self-Inspection: due to the inability to feature. After the broker sends the proposal inspect vehicles at a specific area or at the in, the insured receives a link to conduct Insured’s residence on account of social the self-inspection via SMS. On top of that, distancing measures, a self-inspection was clients who possess Bradesco Residencial extended to all Auto businesses. Owners Sob Medida (Customized Residential) can use of all kinds of vehicles (passenger cars, this feature starting in December.
Next became an affiliate of the Bradesco Organization in 2020, offering it greater autonomy to implement the models that a fintech needs: conducting significant and strategic movements in the search for exponential and sustainable growth, and a focus on the core customer relationship. It reached the mark of 3.7 million accounts at the end of the year, including over 730 million transactions carried out, which was 95% greater than the previous year.
AMOUNT OF TRANSACTIONS IN MILLIONS ACCOUNTS 3.7 million 236 202 125 171 126 106% 1.8 million
4Q19 1Q20 2Q20 3Q20 4Q20 Dec19 Dec20
Average growth 17% Source: Economic and Financial Analysis Report 3Q20, page 16.
CLIENT PROFILE 77% 70% 4.8% were not Bradesco between 18 and Churn account holders 34 years old
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Bradesco Marketplace
The first sales marketplace in the national channels, and has inspired us to expand financial system, created in 2019, emerged our portfolio to address the needs of out of the potential to serve over 70 clients. Our challenge is to develop and million clients, including account and non- improve this platform, by democratizing account holders, who can use the channel access to financial products, thereby to purchase products. The primary focus promoting financial inclusion, banking, of this platform is the 38 million non- entrepreneurship and social mobility. account holders. In 2020, this initiative won the Cantarino Launched at the end of 2019, the channel Brasileiro Digital Transformation Banking has created a number of business Report award in the Banking Inclusion opportunities, providing essential training category with the Bradesco Marketplace — in consumer propensity models for this Portal for Non-Account Owners case. This target group. This demonstrates the recognition is the most prestigious in the heightened interest in offers in digital industry and highlights its best practices.
Alphaville Prime Branch – SP GENERATING VALUE 75
Ágora Investimentos
Providing personalized consultations to clients through investment experts, Ágora – our open investment product platform for both account and non-account holders – ranked third throughout 2020 in the B3 custody ranking WITH ÁGORA INVESTIMENTOS, WE REACHED THE MARK OF MORE THAN (Brazilian Exchange & OTC). We reached a milestone of over 547 thousand investors at the 547 THOUSAND INVESTORS end of December 2020 with more than R$62.4 AT THE END OF DECEMBER 2020, AND STOOD AT THIRD PLACE IN THE B3 billion of assets under custody, and we crossed CUSTODY RANKING the R$151 billion mark for trades on the B3 in 2020 through over 4 million transactions in the period.
CONSISTENT GROWTH IN 2020 IN R$ BILLION Variation Mar20 vs Dec20 547.7 490.0 449.5 31.7% 416.0 62.4 50.6 51.4 40.7
53.3%
Mar20 Jun20 Sep20 Dec20
Assets under custody Number of Investors (in thousands)
Source: Economic and Financial Analysis Report 4Q20.
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Focus on the Client
Focus on the client since inception
It is worth pointing out that, at Bradesco, the focus on the client does not just begin with customer service, but also in Client centrality is the focal point that the creation of products. Our mission is permeates our entire strategy, and it was to further understand our clients’ needs no different in 2020. We understand that and offer products that properly suit our negotiations only endure when there each profile. For example, we decided is trust in the business and when we know in 2020 that it was not just necessary to exactly who we are talking to. Remaining offer national services, but that regional client focused is a requisite, an essential services at Bradesco Seguros were also decision in all of Bradesco’s strategies. fundamental. This led us to create unique products that are based on demand. The ultimate goal is to always provide Another example is the creation of a fun the best experience – whether in person financial education package targeted at or online – and ensure the highest level children and teenagers in nextJoy. Our idea of satisfaction within our Organization. is to offer a product that is tailored to a This is why we have a targeted and segment that is already a digital native. customized structure for our Individual and Corporate clients, while offering We believe that keeping the client digital solutions that make everyday central means considering all the stages interactions between clients and the bank of their journey with the Bank. Starting even more user-friendly. from the creation and sale of products, a relationship emerges focused on their continuity and satisfaction. All processes increasingly use technology and are oriented towards understanding, supporting, maintaining and satisfying the client – ensuring they are always provided the best experience.
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Branch in Alphaville – SP
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Financial Inclusion Portal MEI
Being a client-focused Bank means understanding In 2018, Bradesco released the that there are multiple demands and needs for each MEI Portal as a way to provide individual. As such, it is important to point out that our portfolio includes solutions that are designed financial and non-financial and targeted to small and medium-sized enterprises services for individual operating within the context of Local Production microentrepreneurs, whether Groups (APLs, in Portuguese), clusters of companies they are Bradesco clients or not. and enterprises located in the same territory, and which feature productive expertise and possess To help them on their paths to some linkage and governance. becoming entrepreneurs, we assist with content about the We are the only private Organization in the sector to benefits of forming a business participate in working groups for APLs, an initiative and managing their businesses, by the Federal Government. such as creating a virtual store,
Other examples include our university account, issuing invoices, accounting which can be opened without income verification advice, issuing the DAS tab (MEI and features exclusive products and services, and tax) and other services. We also Click Conta Bradesco, focused on youths of up to 17 offer the possibility to open an years old. We also feature an MEI account, a 100% MEI Digital Account through the digital product that includes exclusive advantages Bradesco Net Empresa App, with for Brazilian microentrepreneurs. exclusive conditions and purchase
In addition to products, we also offer solutions to of payment terminals for the MEI facilitate people’s access to the banking and loan to allow them to sell even more. system. Through correspondent bank network and service points (PAs), we are in small towns or remote cities where banking options are still limited. In 2020, Bradesco had 1,411 PAs in cities without any financial institutions.
Financial education – exclusive page with content on financial education drawn from national and international benchmark studies and tests with users, with economic psychology serving as the basis of the content. banco.bradesco/educacaofinanceira
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Financial Education Unibrad conducts financial education BROAD REACH: FINANCIAL EDUCATION programs for the Organization’s senior ACTIVITIES ARE AVAILABLE TO THE management, employees and for the PRIVATE AND PUBLIC SECTOR, AND general public, effectively promoting THE THIRD SECTOR. inclusion and access to the topic, democratizing information – working UNIBRAD HAS 39 FINANCIAL towards a society with healthy consumption EDUCATION SOLUTIONS IN ITS habits, instituted through financial discipline PORTFOLIO, AVAILABLE EITHER – and focusing on people’s quality of life and ON-SITE OR DIGITALLY. financial well-being.
Featured Solutions for In-house:
• Financial Education in Your Hands: a • How to Prepare Financially for Retirement: program designed to help people contemplate, the goal is to contribute to the culture of manage personal finances and make good the rational use of money, educating people consumption and investment choices, in on the importance of controlling spending addition to teaching them how to use tools and creating a family budget now to to avoid that provide improved financial control. compromising the future.
• Financial Education for Senior Management: • Those Who Dream Save! Parents & intended to provide their team with guidance Children: was designed to promote a shift on the topic of financial education and its in family behavior in relation to the use of importance to society, in addition to showing money through activities and workshops. their employees the measures needed to manage their personal finances. • Financial Education Multipliers: designed to enable account managers for Individuals to act as multipliers of personal finance concepts to educate clients, family members and community members about the benefits of building a more balanced financial life.
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Featured solutions for people • Na Real Series: partnership Citizenship and outside the company: between Bradesco and LIT, a digital learning platform from Philanthropy • Financial Education Lectures: Saint Paul School of Business, created to demonstrate that which provides free content on Through Private Social Investment, creating and maintaining a family personal finance. With curated, the Bradesco Organization also budget is something that is state-of-the-art technology and supports projects and initiatives available to anyone, produced in instructions from the teachers of throughout Brazil, playing a role a simple and playful way. During Saint Paul, this program seeks to in socioeconomic development the lectures, the “Take Care teach participants how to maintain and environmental preservation, of Your Money” booklets are a healthy relationship with their as well as raising the awareness of also distributed, which provide money. Videos can be accessed thousands of people. guidance on the topic. In 2020, the through a mobile app and through Financial Education in Times of a computer – anytime, anywhere. All activities involving the Social Crisis lecture was made available, Investment agenda follow the including practical tips for getting • Partnership with the Amazonas guidelines established by the through the pandemic. There were Sustainable Foundation: with following policies and guidelines: more than 2,600 participants in support from Bradesco, Unibrad companies across the Country. participates in a project partnered • Corporate Donations with the Amazonas Sustainable Policy (https://api.mziq. • Financial Education Portal: Foundation (FAS, in Portuguese), com/mzfilemanager/v2/ available to the general public, which promotes initiatives on d/80f2e993-0a30-421a-9470- the Portal provides users with entrepreneurship and financial a4d5c8ad5e9f/38c4d2f9-9478- best practices involving budget education in 16 conservation units 44fc-8267-fca8c7102625?origin=1) control and sourcing products and in Amazonas. services. It is available on the Bank’s • Sponsorship Policy main website and includes, among • NextJoy: in partnership with next (https://api.mziq.com/ other things, Responsible Credit, I Bank, we have created financial mzfilemanager/v2/ am in the Red, Expenses, Incomes, education content geared d/80f2e993-0a30-421a-9470- Family Money, My Projects, towards guiding children and a4d5c8ad5e9f/887adc5c-0e8b- Financial Products and Tools. It is adolescents, who are the newest 4758-acd1-b4871e9c0087?origin=1) available in an accessible layout young clients of next’s digital for people with visual impairments accounts. The educational tracks • Donations and Sponsorships and can be adapted to any mobile are developed by educators and Regulation (https://api. device, increasing the opportunities include activities proposed for mziq.com/mzfilemanager/ to access a range of relevant young people between the ages v2/d/80f2e993-0a30-421a-9470- information on financial education of 3 and 17. a4d5c8ad5e9f/740e96f9-8985- and banking inclusion. 4910-a77a-ccefb096f1d9?origin=1)
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In 2020, we invested in a number of projects stimulate self-knowledge, creativity, and initiatives through donations and socialization, and interaction among the sponsorships made by the Organization participants. The program helped 292 and through tax incentives focused on children and adolescents in 2020. health (PRONON and PRONAS), the elderly, sports, education (FUMCAD) and culture SOS Mata Atlântica (Atlantic Forest SOS): sectors (Rouanet). Some of the projects we the partnership with Bradesco, since supported include: 1989, aims to promote actions for the preservation and conservation of the Sports and education: volleyball and Atlantic Forest biome. basketball classes to help the development of girls aged from 8 years with guidelines Amazonas Sustainability Foundation on the prevention of drug use and teenage (FAS, in Portuguese): with over a decade pregnancy, as well as health insurance, working together, the Bradesco Organization, transportation, food and aid grants, and in partnership with FAS, has been active in other benefits for participants. Classes the Amazon biome to promote initiatives take place at Fundação Bradesco schools, involving education and environmental municipal sports centers, state and private conservation, education, financial inclusion schools and in our Sports Development and entrepreneurship. The FAS’s mission is to Center, located in Osasco, São Paulo. contribute to the environmental conservation of the Amazon by promoting standing Musical Education: Bradesco promotes forests and their biodiversity and improving the psycho-social development of socially the quality of life of riverside communities, vulnerable children and adolescents which benefits 647 communities in 16 who are sheltered in six partner protected areas. institutions in Curitiba and the metropolitan region, offering health insurance and free music education activities (such as children’s choirs) that Accelerating Efforts
By keeping clients at the center of our decisions, we were better prepared for the numerous demands brought on by the year of the pandemic. Despite this, certain priorities needed to be reconsidered, as attention began to be focused not only on people’s financial health, but on physical health as well.
Through the use of data, we are able to better target the offer of products, better segmenting the groups and attempting to efficiently respond to the specific needs of each client.
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Social and Incentive The incentivized donations were Donations allocated to finance specific programs: • Projects supported by the ECA Bradesco remains committed to making a (Statute of the Child and Adolescent) positive social impact, investing in projects Programs for the protection and well-being that are geared towards improving access to of children and adolescents who are under education, health and culture. threat or whose rights have been violated.
Making sure that sustainability-related • Elderly issues continue to be aligned with our Projects that ensure social rights for the mission, we are focused on reaching all elderly and for creating conditions that levels of society by recognizing their promote their autonomy, integration and shortcomings in social matters so that effective participation in society. we can help with the promotion of equal opportunities; personal and community • National Oncology Care fulfillment; and as a way to construct a Support Program (Pronon) more dignified, fair and productive society. Projects designed to improve the provision of health services in the oncology area; supporting the education, training and improvement of human resources; conducting research; and developing actions to prevent and combat cancer.
OVER 5.5 MILLION HITS ON THE GRUPO BRADESCO SEGUROS VIVA LONGEVIDADE (LONGEVITY) PROJECT PORTAL
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Social Activities by Donations and Sponsorship Grupo Bradesco Seguros We also have Donations and Sponsorship Viva a Longevidade (Longevity) Project regulations. Its purpose is to provide Content is published periodically adequate and transparent governance on the Viva a Longevidade portal related to all donations and sponsorships (vivaalongevidade.com.br) with tips, made by the companies under reflections and inspiring stories for people Grupo Bradesco Seguros and BSP who want to start living more and better. Empreendimentos Imobiliários, which are In 2020, the portal reached over 5.5 million promoted as part of the commitment to views and has published over 1,500 pieces society and need to be aligned with the of content. company’s principles and values, and conducted with honesty and integrity. Bradesco Seguros Cultural Circuit Sponsorship for theater plays, exhibitions and dance and music shows. Because of the pandemic in 2020, events were held in a new digital format with the broadcast of the “Simples Assim” and “Loloucas” show on the Bradesco Seguros YouTube channel, with digital content from the musical “A Cor Púrpura” and “Museu de Arte do Rio” on Instagram by Bradesco Seguros.
Company-School Integration Project
Starting in 2004, the group has been running the Company-School Integration Project (PIEE, in Portuguese), working together with the Fundação Bradesco with children from the Rio Comprido neighborhood in the city of Rio de Janeiro. With 858 spots, it includes cultural and sports practices, as well as socio-environmental actions. In 2020, 921 children were assisted before the pandemic hit. In order to make sure children had activities during the Covid-19 outbreak, we created an online platform in June where teachers could post classes to be taken at home with their guardians. We created 868 accounts to access the platform and over 200 classes were posted.
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Customer Experience (CX)
Customer experience is a strategy that way to take our clients on a journey that places the client at the center of the satisfies their needs, aligned with our experience, addressing their hurdles and business and technical feasibility – a needs. It is the field of human activity fundamental tripod of any solution. that studies behavior, tests hypotheses, recommends the best avenues for The purpose of a UX Studio area is to products and services, and measures the study, plan, coordinate and create UX performance of the channels – all with strategies and solutions, journeys, and the intention of meeting and exceeding graphic and voice interfaces that address people’s expectations. business challenges and people’s needs. These steps are intended to provide the The activity takes place with a focus on best corporate experience targeting all customer experience, either through direct client contact points – physical and digital contact channels or through the experience – as well as any potential Bradesco clients of a manager, which directly reflects on in their corporate channels. the process and the relationship with the end-client during the procurement, use and To do this, we work with our entire team after-sale of a product. structure: UX Lead, UX Strategist, UX Research, UX Design, UX Writing, VUX and Thinking about CX means employing UX Inclusion in over 93 squads, distributed User Experience (UX) from the beginning in villages and in the department’s initiatives to the end of a product, service and/ to provide fluid journeys that deliver an or channel. It is also the most efficient end-to-end experience to people.
CONNECTED WE ARE ACTIVE ON FACEBOOK, TWITTER, LINKEDIN, INSTAGRAM, SPOTIFY, TIKTOK AND YOUTUBE, WHERE WE HAVE EXCEEDED 4 MILLION SUBSCRIBERS AND 3 BILLION TOTAL VIEWS SINCE 2006.
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Service Channels
Besides social networks, we also offer many service channels designed to facilitate our clients’ access to our services and information. One of our notable features is accessible service for people with hearing and speech impairment, provided via a Telecommunications Device for the Deaf (TDD) or in an equivalent translation.
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In addition to the metric, a cultural transformation
We believe that the client is the client on an ongoing basis as a crucial leading figure and is at the center pillar of the Organization’s strategic of all our efforts. Bradesco has plan. This voice is heard through been using the Net Promoter Score research (NPS) and direct contacts (NPS) since 2017 to help us get a between employees in the areas and more comprehensive understanding clients (conducted at all levels of the of client needs and satisfaction Organization, from the frontline of levels. Established by use and service to department executives), in results, NPS measures the level of an effort to identify the root causes recommendations and client loyalty for why our products and services are in the relationship with the Bank and or are not recommended. Using these the service channels, products and tools, we can act strategically to improve services offered. customer experience in a continuous and scalable way. We then hold discussions in We expanded the NPS System in 2020, structured and recurring forums where cementing a culture of listening to the plans of action are established and subsequently executed.
Feedback, Learning and Continuous Improvement
Focus meeting
Feedback Structuring cycle actions (Inner loop) (Outer loop)
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Corporate after-sale service for listening to the client In accordance with our strategic pillar that places the client as central, we have also instituted corporate after-sales in an effort to optimize the collection of client feedback and determine the level of satisfaction – arranging ways to make improvements in products and services if needed. The initiative is grounded in a cooperative strategy shared by all areas of the Organization.
The Bank actively ...raising awareness engages with clients about the products and through an After-Sales services offered... Program...
...discovering their opinions/ ...and improving perceptions and customer needs... experience.
To improve relationships and leverage potential new business opportunities, we have been contacting our clients after they have engaged in a product or service to make sure that the service was performed correctly and the product they procured matches what was offered to them. Collecting feedback from the client’s perspective allows us to delve deeper into identifying potential improvements throughout the product’s life cycle and in the client’s journey, as well as to detect opportunities for both customer relations and commercial offerings.
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After-Sales also enables strategic These findings act as leverage Executive Committee contacts to be established throughout the client journey in for Conduct in Customer Relationships based both on the opportunities an effort to drive the relationship identified in the first process and the offer towards achieving and on the bank’s internal sustainability in business with strategies for distinct purposes, our clients, and are overseen by such as providing the offer of senior management. Conduct in Customer Relationships new products, ensuring their Commission assertiveness, conducting It’s about making our service the boutique commercial campaigns differential so the client becomes for products and services, opening our fan. It’s understanding that, new channels, etc. without trust as a foundation, there is no relationship between client Operational and company that can be sustained. This premise guides the daily activities of all employees.
Customer Relationship Management (CRM) 2.0
Conducted in partnership with Salesforce, this Having relevant implementations in 2020, program transforms the experience of our clients the program made it possible for the Bank during their interactions with the Bank through to introduce strategic actions, such as loan a deep restructuring of processes, governance extensions, PIX and emergency measures and CRM technology combined with the intensive related to Covid-19, in addition to relationship, use of real-time data, analytics, testing and activation and retention activities, and many optimization methodologies. other initiatives.
An integral part of a larger digital transformation Personalized experience: 88% more qualified initiative designed by the Bank, this program contacts in the last 6 months, resulting in a 11% will help better understand the needs and increase in the Organization’s total share of preferences of our clients, providing a more sales for the year. personalized and contextualized interaction through the use of an omnichannel. Advancements in the digital approach: in addition to being the most remembered Bank, Bradesco ranked first in PIX key registrations.
Client-centricity: significant gains of scale, control and management in active contacts with our clients.
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Integration in Autonomy in diverse channels Support
This focus on the client also drives us Operating in the five regions of Brazil, the to work in a holistic and systemic way self-service channel provides clients with through a combination of channels and autonomy, offering a portfolio of products their increasing integration with digital employing intuitive browsing and focused media. As such, we consistently pursue the on digital convergence, maintaining high latest technology to deliver practicality availability and capillarity. and security to users, an evolution that also provides other opportunities, such as There are now over 54 thousand active reducing the number of branches. About machines divided between own network 700 branches have become business units and the shared network – Banco24Horas over the year. –, all equipped with biometric security. In addition to convenience in the “Proof of Life” Even with this progress, we have not let for INSS clients, security in the palm of one’s go of the importance of our capillarity and hand adds flexibility to carrying out all types face-to-face service: we currently have of transactions without a card, whether it is 3,395 branches, 79,870 service points, activating tokens on the cell phone or proxy 39,100 Bank correspondents and 54,522 access of individual accounts without the ATMs, 30,694 of which are Bradesco need for an employee present. machines and 23,828 are shared network machines – Banco24Horas. In addition, We offer services that place us in a correspondent bank network offers a pioneering position, including banknote complete banking experience model to recycling machines that make it possible to clients and is responsible for 1,571,344 of deposit cash with immediate credit in the new accounts opened at Bradesco. recipient’s account, eliminating the use of envelopes (reducing consumable costs), and disruptive services, like being able to buy dollars and euros – two currencies in just one machine. Compared to 2019, there was an
increase of 2.7 million clients In order to enhance the customer with a digital profile6. experience, Bradesco self-service also We had over 21.2 million offers features that facilitate your day-to- day routines, such as: withdrawals with the clients with this profile in2020 . possibility of choosing denominations, quick withdrawal and sending receipts via e-mail. 6. It includes clients using Mobile and/or Internet channels (Individuals and Companies).
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Actions focused on client demands
Repositioning efforts in the Prime Our managers work alongside category we are looking to attract new investment analysts to advise clients. generations through loan instruments. One The focus is on having a deep understanding of these is real estate financing. of each of their needs.
New Internet Banking fresh interface, Ágora Investimentos is an open usability and availability of funds, where investment platform for account holders the user can personalize their home screen and non-account holders, and besides being with the features they feel are most important, on Ágora Investimentos’ website or app, it thereby providing an improved experience on is also on the Bradesco, Next, and Bradesco the channel. internet banking apps, ensuring countless possibilities for investments in proprietary and third-party products.
The New Bradesco App featuring a Disney+ subscription for the streaming modern and attractive layout, the App platform through the Bradesco App, can be customized according to the Internet Banking and Bradesco Cards client’s account tracking, giving them the App with special conditions. ability to choose the transaction that will be set on the main screen.
Expanding the offer to satisfy PIX the product’s features are made the demands we now offer available in all Bradesco channels, international investments through including the ability to sign up, delete, BAC Florida Bank. portability, Pix claim procedure and/ or transactions for individual and corporate accounts. With Pix credit, clients can complete transfers even if they do not have a balance, through an online loan solution.
BRADESCO Integrated Report | Shortened Version 2020 91 Technology and Innovation
We are pioneers, motivated by change and Technology and innovation play an the pursuit for what is new, anticipating important role in our business. The trends and turning challenges into analytical use of data, artificial intelligence opportunities so that we can always go and other technologies have allowed us even further. to evolve the experiences offered over the last few years. Our team works in a This reality that we face each day is multi-disciplinary way on a number of challenging and leads to shifts in behavior disruptive projects that are based on the across all layers of society. This is why our concept of user experience. This includes extensive use of technology has been a key increasingly friendly and simplified ways part in understanding our clients better, to offer products and services, which offering specific solutions to fulfill their Bradesco clients put to the test each day. demands while measuring their level of Our technology investments have reached satisfaction and staying ahead during this R$6 billion per year. new era – one that increasingly demands speed and simplicity in daily routines.
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Brain (Bradesco enhanced BIA’s transactional and Fone Fácil Business Intelligence) conversational skills, providing (Easy Phone) Focused on loan products and guidance on transactions through Emergency responses during the solutions and using advanced WhatsApp on the Home Broker pandemic: advisory messages in analytics in real time applied and assisting clients who are the URAS of the main Call Centers, at scale, the initiative maps the initiating transactions on the stock providing information on branches needs of our clients in order to exchange with clarifications on and the hashtag #Aguentefirme deliver the best product, limit and the purchase and sale of shares, (Hang in There); shift in office price, while accounting for the scheduling of orders, share hours and a higher concentration conditions and context of each subscriptions and consultation/ of Fone Fácil attendants during one with a fluid and multichannel blocking of limits. To gain a better business hours; extension of approach. This initiative is related understanding of clients’ needs debts through Fone Fácil; and to refinancing, extending loan and provide accurate responses, emergency benefit support and payments, renegotiations and we have also worked on BIA’s assistance. contracting in the channels and short-term memory and voice allowing clients to financially interpretation to fully grasp restructure, in addition to clients’ intentions. Digital interfaces emergency loan during the Through continual investments pandemic, introducing new in our digital channels focused products and evolutions Bitz on improving our customer of journeys. Officially introduced into the experience, we provide a unique market in September 2020, Bitz is account access app for individual a digital wallet that contains a free clients that recognizes their profile BIA payment account, with a balance and automatically adjusts to their BIA (Bradesco Artificial yielding 100% of the CDI. The segment. This helps the client Intelligence) has been helping application includes features such personalize their initial access with to make people’s financial lives as: pay and receive via mobile, free the most commonly used services even easier. It logged over 671 TEDs (Express Wire Transfers), cell and also introduces new solutions, million interactions in 2020 and phone top-ups, a debit card and such as applying for Mortgage was able to answer the requests a virtual card to make purchases Loan Letter (LCI) and consortium from initial service in Fone Fácil, on the internet and on the most plans by cell phone and the in addition to assisting with popular apps in the country. In internet. Using the Cards App, registering a PIX key, information addition, all purchases with the Bitz clients can quickly choose to pay on extending loans and assistance card yield cashback for clients as a their bills in installments, selecting during the pandemic. We have way to encourage the reuse of the the best plan, down payment and payment method. As a startup, Bitz the number of installments. We will run with the agility needed to have made significant progress in advance in its category. client service processes for our corporate clients by extending our self-services via cell phone or Net Empresa, and can now update
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registration data using digital Next with the Next platform, Ágora capture of documents, pay bills Next, a disruptive platform Investimentos and on the MEI by credit card, manage limits for introduced in October 2017 platform (mei.bradesco), we payment of bank slips and bills to complement the Bradesco established a partnership in 2020 according to the sector, without Organization’s ecosystem of with OLX Brasil for 100% digital ever having to visit the branch to solutions and address the hyper- real estate financing through the complete the transaction. connected market, is a 100% use of APIs. In 2020, we opened more than digital bank. Today, it has over 3.7 979.4 thousand accounts directly million clients, 77% of which were on the App and 98% of banking not Bradesco account holders and PIX transactions were done via Mobile, 70% of them are clients between Bradesco launched Pix in internet, ATM and Contact 18 and 34 years old. November 2020, an innovative Center channels. Significant strategic moves payment method created by the were made in 2020, including: Central Bank of Brazil that allows Bradesco Marketplace integration with Ágora for making payments, transfers The Bradesco Marketplace merges Investimentos, introduction of and receive money at any time of innovation and market pioneering the nextJoy account for minors in the day, 365 days a year, even on in the provision of mass market partnership with Disney, release weekends and holidays, with the digital banking products. Until of the protection area, which recipient’s account credited in just then, products were offered in offers four types of insurance, a few seconds. Pix can be carried a decentralized manner with and decoupling – beginning to out from a checking, savings or different standards. The initiative operate with a proprietary CNPJ as payment account. Transactions symbolizes innovation combined a related company of the Bradesco are done by simply entering the with the reach of banking Organization. registered Pix key (CPF (Individual inclusion, with: Taxpayer’s ID) or CNPJ (Corporate Taxpayer’s ID), cell number, email • A focus on customer experience Open Banking or random key) or QR Code online, • Increased interaction Through Open Banking, clients through digital channels. As of • Digitizing the sales experience will be able to view their bank December, more than 14.6 million • Personalized approach details and make payments keys were registered. On top of • Quality and convenience using their account from other all the advantages that this new offered to clients platforms, not just through the system offers, like being instant • Service to all segments and channels traditionally offered by and simple to use, we offer extra client profiles financial institutions. It represents value by providing the ability to an opportunity to develop new request a loan in Pix in the event partnerships with third parties of an insufficient balance for and to create products and transfer, with optimal solutions services that add capabilities so that the client can handle to existing financial services, everything online. Notably, we boosting the value proposition to were the first bank to include a clients. Already used at Bradesco provision of loan as part of the Pix journey, whereby the offer takes place in a contextualized way.
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inovabra INOVABRA VENTURES Through inovabra, we maintain a full A proprietary capital fund started in 2016 and innovation ecosystem, stimulating currently holding R$400 million. It is managed innovation inside and outside Bradesco by the Private Equity area to invest in startups through collaborative work with with innovative technologies and/or business employees, business areas, clients, models, helping to grow the valuation of these companies, startups, technological startups and to expand the entrepreneurial partners, investors and mentors, all in an environment when – above all – they involve effort to fulfill the needs of our clients and solutions that address the needs of our clients. ensure long-term business sustainability. So far, ten startups have been vested. Inovabra is comprised of a number of complementary activity programs: INOVABRA RESEARCH A multidisciplinary team, complete with analysts INOVABRA CENTERS and researchers who delve into studies on new The internal innovation program has technologies and business models to keep the been motivating our employees to Organization at the forefront of knowledge. intrapreneurship since 2012, promoting the Continually interacting with partners, culture of innovation at the Organization. universities and research institutes in Brazil Innovation projects are prioritized, and throughout the world, the team supports structured and executed right from the inovabra with specific knowledge that is used design stage, all the way through the entire to make decisions on the innovation portfolio. process of building the case and validating It is responsible for conducting research on the business model. There are over 200 emerging technologies like artificial intelligence, professionals from diverse areas of the blockchain, IoT, quantum computing, and many business interacting with each other and others, including their impacts and applications with external startups and focused on in financial products and services. creating innovative solutions to provide better experiences to our clients.
Inovabra is focused on fulfilling the needs of our clients, ensuring business sustainability over the long term.
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INOVABRA LAB INOVABRA INTERNACIONAL Unveiled at the end of 2017, it is a 1,700 At the start of 2018, we introduced square meter facility located at the inovabra international, a program Bradesco Center in Alphaville (SP), which structured in a climate of innovation hosts 16 laboratories in the technology based in New York with connections areas, designed to operate in a cooperative in London, which works as a radar work model with major technology for global innovation and in the partners that reside in that area. The model entrepreneurship ecosystem. A highly- creates gains in operational efficiency, committed team of employees work optimizing and reducing the certification together in a collaborative space and periods for new technologies by up to partnered with a specialized company 60% (hardware and software); prototyping; as well as 8 global banks. The intention experimentation; proof of concept; and is to identify solutions that add value launches and solutions for new challenges. to the Organization’s business and In addition, it provides ideal conditions for keep track of trends in new business, connecting business areas with IT areas technological and behavioral models. and technology partners, thereby drawing the Organization closer to the frontlines of emerging technologies. As of December 2020, 666 certifications and 115 POCs had been granted.
INOVABRA STARTUPS Released in 2014, it is an open and innovation program that facilitates strategic partnerships between Bradesco and startups with applicable solutions or the possibility of adapting to financial and non- financial services that can be offered or used by our Organization. These solutions are tested in the inovabra lab and a total of 69 proofs of concept have been completed and 20 startups have been retained.
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Inovabra habitat co-innovation space, located at Av. Angélica in downtown São Paulo - SP
INOVABRA HABITAT more than 1,200 people working to digital. The new format, which AND DIGITAL HUB PLATFORM cooperatively to innovate. Also, as complements the physical one, In February 2018, we opened of 2020, more than 400 contracts can accommodate startups and the inovabra habitat, a building had been signed by and between companies from all over the with over 22,000 square meters companies, startups residing in country that wish to have access located in the economic, innovation the space, and Bradesco. to open innovation. The inovabra and cultural heart of the city digital platform hub also conducts of São Paulo: between Avenida Besides promoting the universe searches and connections with Angelica and Rua da Consolação of entrepreneurship in Brazil other startups from various regions near Avenida Paulista. It’s an area and the culture of innovation in of Brazil in order to access business where major companies, startups, organizations, inovabra habitat opportunities with Bradesco and investors and mentors work helps Brazil in its pursuit for a the Bank’s partner companies. collaboratively to co-innovate and position of greater prominence in There are currently over 2,600 generate business. The environment global innovation. Since September startups registered that can be includes over 174 startups and 78 2020, the operational model of analyzed to participate in specific major companies, representing inovabra habitat has also expanded business challenges.
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Greater Reach
The inovabra habitat has established partnerships with other innovation centers to help connect the business demands of Bradesco and the large companies that have a relationship with the Bank with the innovative entrepreneurship distributed throughout various parts of the country.
Partners are selected based on their potential to connect entrepreneurs in their operational area within their various segments, in addition to qualifying their network in terms of human capital, technology and innovation. Centers with this profile receive the designation “inovabra Partners” and become Learn more about inovabra at part of Bradesco’s innovation ecosystem. Currently, ACATE, Porto www.inovabra.com.br Digital and Hospital do Amor are inovabra partners.
Inovabra awards in 2020
Efma-Accenture’s Banking Corporate Startup Stars Awards Innovation of the Month Bradesco/inovabra February, M-Token case Top 100 Open Corps 2020 Value Innovation Award Bradesco/inovabra First place – Bradesco in the Banks sector Ninth place in the 2020 ranking Empresas mais 2020 Bradesco – second place in the World’s Best Financial financial services sector – commercial banks Innovation Labs 2020 inovabra habitat case Sixteenth Banking Report Award Operational Efficiency – Project Office 365° case Whow! prize in Innovation 2020 Financial Inclusion – Bradesco Marketplace case Bradesco – third place in the Banks category Ágora Investment Platform – third place Financial Personality of Innovation 2020 Fernando Moraes de Freitas Efma-Accenture’s Banking Innovation of the Month May, Speech Analytics case – by Banco Bradesco
The Best of Dinheiro 2020 Bradesco – second place in the Banks category
BRADESCO Integrated Report | Shortened Version 2020 GENERATING VALUE 98 inovabra in Figures
6,900+ people working 78 companies reside in 174 startups reside in collaboratively in the innovation the habitat the habitat ecosystem
430 contracts signed between companies, startups R$400 million and Bradesco 20 startups retained proprietary capital fund
184 proofs of concept performed in the inovabra lab 55+ trials were completed 10 startups invested and startups
2,6 thousand 1,800+ companies in the startups registered in the 666 certifications inovabra ecosystem Digital Hub platform
IN 2020, WE CONCLUDED 430 CONTRACTS BETWEEN COMPANIES, STARTUPS AND BRADESCO. WE HAVE 1,200 PEOPLE WORKING COOPERATIVELY TO INNOVATE, AND WE CLOSED THE YEAR WITH 20 CONTRACTED STARTUPS
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Innovations implemented with the support of inovabra:
Implemented by the Centralized Disney + Operations department and with First corporate project to sell the support of inovabra, the a non-financial product within solution extracts information from Comparison of Funds in the Bradesco channels. It was the documents and interprets it Investment System (SINV) developed with the support of in order to conduct an analysis A tool that was created in inovabra, Cards and Corporate of signatures and powers. The the investment department and involved a number of areas increased efficiency in the analysis in conjunction with inovabra at the bank. The case posed the process contributed to: with the goal of comparing all challenge of integrating a non- investment funds available in financial product to the bank, reduction in operational costs; Brazil. This facilitates a more as well as constructing a new increased productivity, leading objective approach for managers business model with a focus on to higher quality analyses being and investment specialists in customer experience. produced; terms of product offerings. The scalability for other types of solution is designed to be used documents that are used for by relationships managers and additional financial transactions; investment specialists, providing a standardization in the process speed and effectiveness (in of analyzing and interpreting addition to educational content) Pioneering in the financial documents; in assisting investor clients. market with the use of artificial boosted quality, reducing intelligence in complex operational errors; One of the key features is that documents a reduction in service time. the tool provides two ways of Bradesco is the first bank comparing between Bradesco in the financial market to Investment Funds and their introduce artificial intelligence respective competitors through into the analysis of complex recommendations. documents, including proxies Digital checklist platform and corporate contracts. It is an Designed with support from application made up of a number inovabra and the Assets and Liability of technologies like OCR, NLU department, this solution ensures and NLP, which constitutes an centralization and optimization for automatic solution for reading managing construction projects and interpreting unstructured and managing non-conformities, documents such as social contracts in addition to simplifying the and powers of attorney. collection and processing of information, making them all totally digital. One of the key benefits is the speed for applying checklists and the amount of time saved.
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MEI platform, solutions for individual Artificial Intelligence for Social microentrepreneurs Networking Playing an important role in developing A chatbot service specialized in social entrepreneurship in Brazil, Bradesco’s networks based on knowledge of MEI Platform integrates open banking natural language, grammar, slang and initiatives into the entrepreneurs’ journey. expressions, hashtags and emojis, that The solution was implemented with automates some of the most common support from inovabra, Varejo (Retail), interactions on Facebook Messenger. DCPS and Bradesco Experience. Including all social media platforms, Bradesco The MEI Platform is a pioneering initiative receives an average of 45 thousand mentions whose mission is to provide financial per month. There are many different types and non-financial services involved in of messages: questions, complaints and the daily routine of microentrepreneurs, suggestions about the bank’s products and concentrating a number of information services, campaigns, among others. services on education, training, consulting and entrepreneurial performance in The greatest volume of interactions is a single environment, in partnership through Facebook Messenger. For this with startups and companies that are reason, with the support of inovabra, the specialized in the subject. Bradesco Experience adopted the use of a chatbot in this channel. Alongside For MEI clients, we provide everything text messages and emojis, the bot is also from pre-approved credit lines and able to interpret and respond to audio microcredit to easy account openings messages, helping to foster an even closer via mobile, in addition to providing the and more inclusive relationship. convenience of access to banking and financial services to a growing number In all, the bot alone is already able to of entrepreneurs, helping to promote the provide answers on over 100 topics. country’s economic development as well In December, we managed to reach the as financial inclusion and education, and 90% accuracy mark, streamlining our creating decent work for society. It also network service. The artificial intelligence increases small businesses’ access to utilized allows conversations to be created financial services and tools to support with context, memory and logic in order to and manage their businesses. choose the most appropriate answers for each question.
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100% Real estate financing Culture of Innovation A partnership was established in July 2020 In an effort to expand the culture of with OLX Brasil to offer a new feature to innovation and to support the Organization’s users in a buying and selling platform: transformation movement, the Ideação 100% digital real estate financing. Program was introduced in 2020. The idea is to help all areas of Bradesco promote The partnership underlines the strategic innovation in their businesses through a group importance of real estate credit for Bradesco, of influencers who can spread knowledge as well as the bank’s positioning in the and the attitude of innovation and form a product’s digital journey. As such, the Bank transformation network that has an impact on and OLX systems could be integrated via the Organization’s culture. APIs, making it possible to provide benefits, such as data security and simplicity in Each week, the team is influenced sending documents and resulting in greater by content intended to expand their agility in enrollment. The solution was knowledge of the innovation ecosystem implemented with the support of inovabra (inovabra); national and international and the IT Architecture departments; market radar; performance of the Bradesco Experience; Loans and Financing; Organization’s business areas; successful Data management; and Systems. cases; and training and workshops for the practical application of knowledge. In December 2020, the group consisted of 239 influencers, representing 75% of the Organization’s departments.
MORE THAN 108 TALKS AND PRACTICAL SESSIONS WERE HELD DURING THE YEAR, WITH OVER 18 THOUSAND PARTICIPANTS. THE INOVABRA HABITAT IS AT THE EPICENTER OF THIS COMMUNITY’S INITIATIVE AND VALUE CREATION. THIS IS DONE THROUGH THE CONNECTION OF ITS ENTIRE ECOSYSTEM WITH BRADESCO EMPLOYEES VIA EVENTS OR THE PRESENTATION OF STARTUPS.
BRADESCO Integrated Report | Shortened Version 2020 102 People: Our Team
We are constantly working to bring the We also strive to ensure a safe and best services to our clients. This is our healthy work environment, and we offer a overall mission. In order to fulfill this goal, compensation and benefits package that we depend on our key raw material: the is not only attractive, but also aligned support, talent and commitment of our with the market. All of this translates team. It is through human potential that we into attracting and retaining talent, are able to evolve and achieve results that engagement and satisfaction, which are are based on excellence. reflected in the way we work and serve our clients. We therefore believe and recognize the value of plurality, respect and transparency in our relationships. We have WE INVEST IN THE also been investing in the development DEVELOPMENT AND GROWTH OF OUR and growth of 89,575 of our employees, while encouraging knowledge sharing. OVER 89 THOUSAND EMPLOYEES
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Our human capital
GENDER
50.6% 49.4%
Female Male
TIME OF SERVICE
29% 32% 24% 15% up to 5 years between 6 between 11 over 21 years and 10 years and 20 years
TYPE OF POSITION EDUCATION
30% non-commissioned
70% commissioned 71% 22% 7% higher education graduate degree others 89.575 funcionários 89,575 employees
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Diversity and Inclusion Guide our Activities
We believe in the power of The Diversity and Inclusion embracing and promoting two Working Group is made up of fundamental attributes in our selected employees and focuses Organization: diversity and on strengthening the topic within inclusion. These two pillars help activities and businesses. Sustaining to ensure the sustainability of our the pyramid, Groups involved in in-house career model. As such, Gender Affinity, Sexual Orientation we provide selection and training and Gender Identity, People with processes and work with a number Disabilities, and Ethnic-racial issues of affirmative actions, giving are composed of employees who everyone a chance to follow their volunteer to discuss, propose actions own path of professional growth. and advise on their respective topics, reporting to the Diversity and Because of its importance within Inclusion Working Group that also the Organization, the topic is include their coordinators. incorporated into the Code of Ethical Conduct, the Human Brought together for the Resources Management Policy and same purpose, Bradesco’s HR the Diversity and Inclusion Policy. Department has an area dedicated exclusively to managing Diversity We have established a robust and Inclusion. The Diversity governance for diversity and Management team is responsible inclusion at the corporate level, for making sure that groups WE HAVE A SUSTAINABILITY AND DIVERSITY COMMITTEE; helping to maintain the topic who are underrepresented in DIVERSITY AND INCLUSION as a strategic pillar for our the labor market can enjoy WORKING GROUP; AND Company. The Sustainability greater representation on our AFFINITY GROUPS: GENDER, and Diversity Committee is staff and are able to evolve in ACCESSIBILITY, RACE/ETHNICITY, SEXUAL ORIENTATION AND represented by senior executives an environment that values real GENDER IDENTITY. at the Organization, including the inclusion. The team operates President and the Chairman of primarily on four pillars: People the Board of Directors. with Disabilities, Gender, LGBTI+ and Race/Ethnicity.
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We maintain a staff who is allied with those who are usually under-represented respect and trained in diversity and in the labor market. This includes people inclusion. In 2012, Treinet Diversidade of color, people with disabilities, people in introduced our learning solutions that social vulnerability, trans-gender people specifically address the topic. Currently, and women in the technology field, an area solutions such as Unconscious Biases, commonly associated with males. Growth through Differences and Diversity as a Leadership Strategy provide its Through the FIA Employee Experience survey participants with the opportunity to in 2020, we were named as one of the 100 reflect on the topics. The latter is part Incredible Places to Work thanks to the of the Leadership Trail, an initiative that quality of our people management practices, leaders go through at the time they the excellent work environment, inspiring assume their first management role leadership and the sound management of so that they are able to make the best our CEO. Among more than 300 companies decisions when managing their teams. that participated in the project, we were recognized in the category of Most Incredible Even more, the commitment to Company in Diversity and Inclusion. transformation allows Bradesco to expand its operations, providing information, The excellence of our practices has also reflection and practical guidance to earned us acclaim in the Diversity Exam partners as well. Guide, which evaluates and recognizes the best diversity and inclusion initiatives Through the English school Education First, adopted by Brazilian companies. Our we offer 1,000 scholarships to partner practices were deemed to be above average institutions for studying the English in the overall ranking and in specific language in an effort to promote diversity initiatives for gender, race, people with and inclusion. The idea is to leverage the disabilities and the LGBTI+ population. employability of minority groups and
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Race/Ethnicity We have enjoyed a successful partnership In 2020, we participated in the FAZP with Faculdade Zumbi dos Palmares (FAZP) Professions Fair. The fair promotes, provides over the last 16 years, one of the most and expands the social and intellectual robust and consistent social inclusion training of students and participants. At and professional training programs in our stand, visitors were able to obtain the country. Through this program, we information on how to take part in our hire interns to work in different business selection process and learn about career areas. The Bradesco Corporate University opportunities at the Organization. (Unibrad) also takes part in the initiative, helping to develop young people’s skills. We were also supporters of the AfroPresença movement and conference Since its implementation, more than 450 this year, a virtual meeting between young people have been assisted. Upon public authorities, the private sector and completion of the internship period, national and international organizations whenever there are open opportunities, to promote empowerment and further job the Organization recognizes those who opportunities for young people of color. We performed well by integrating them into were present at all three days of the event! the staff. The effectiveness rates are Our professionals inspired participants excellent, reaching 80% in some classes. through panels on self-knowledge, career, leadership, technology, finance, accessibility Another significant project is Somamos and more. – Diversity Inclusion Network. Resulting from a partnership between Bradesco, At Virada da Consciência 2020, an event INFI-Febraban, The Ministry of Labor, that combines a variety of initiatives to Ambima, Faculdade Zumbi dos Palmares, promote and appreciate racial diversity, Business Initiative for Racial Equality and we took part in the Black Tek Fest – a others, the program is intended to provide tradeshow involving Technological free professional training for young Experiences, Innovation, Afro- people of color, expanding opportunities Entrepreneurship and Business, with in the labor market. lectures such as IT as an Opportunity for People of Color and Presentations on the Online Universe.
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In addition to sponsoring Diversity Days, in the Corporate Racial Inclusion Index, which holds seminars on racial diversity in produced by DataZumbi, a research the corporate environment, the coordinator institute at Faculdade Zumbi dos Palmares of the AfroBra Affinity Group was part of the and created by the Business Initiative for panel The Role of Racial Diversity Committees Racial Equality in partnership with Faculdade in Companies: Practices and Challenges. Zumbi dos Palmares and Afrobras.
We were also sponsors and took part in the We also received additional positive OF Yes to Racial Equality Forum, hosted by the indicators concerning the impact of 26.5% EMPLOYEES ARE Instituto Identidades do Brasil (ID_BR), which our initiatives in 2020. For the second BLACK connects black professionals to companies consecutive year, we placed highly in that, like us, promote racial diversity. the Ethnic-Racial ranking sponsored by Great Place to Work (GPTW), in which the We are standing signatories to the Organization recognized us as one of the Business Initiative for Racial Equality, best ethnic-racial companies, and in the a platform for coordination between Yes to Racial Equality Award promoted by companies that are committed to pursuing Instituto ID_BR and GPTW. meaningful results in addressing the ethnic-racial theme. Bradesco was one of the companies that topped the racial inclusion ranking in 2020. We were listed
2020 was an important year for the anti-racist movement. In that year, we broadcast the Bradesco de Vozes Brasileiras (Bravoz) meeting, a multimedia project to celebrate music and art in Brazil, empowering black artists and leadership in their businesses. The series culminated on November 20 – Black Consciousness Day – with a live event in partnership with YouTube. The online event garnered over 2.5 million views and more than 10,000 comments.
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Inclusion of People with Disabilities We have made all of our campaigns In March 2020, we began a new featured a discussion with three AG accessible to people with visual class in the Bradesco Training member employees, educating the and hearing impairments since June Program for People with Disabilities over 300 participants on how they 2020. In keeping with Bradesco’s in an integrated effort to learn can all build a more inclusive and commitment to promote inclusion, more about the various areas they diverse company together. all filmed advertising campaigns can join during their career at the include versions with translation, Organization, such as Unibrad and We also sponsor and exhibit at the subtitles and Libras (Brazilian sign the Affinity Group and Volunteering. International Expo of Technologies language), in addition to audio In addition, new employees were in Rehabilitation, Inclusion and description, in an exclusive playlist given a tour of Cidade de Deus and Accessibility (Reatech), held biannually on Bradesco’s YouTube channel. This Fundação Bradesco so they could and regarded to be the top Expo for ensures that the Bank democratizes find out more about their stories the sector in Latin America. In 2019 at access to the content of the brand and activities. our stand, we sponsored a space for for this demographic. inclusion, transformation, empathy We also used the occasion to and connection through chats with The Bradesco Qualification Program take new employees for a visit to employees and attendees. for People with Disabilities has the Brazilian Paralympic Center. run in partnership with Fundação The tour included a guide who To aid our employees who Bradesco since 2010 and promotes showed off the facility and the communicate in Libras (Brazilian Sign inclusion, equal opportunities, sports activities, and connected Language) and are working from economic emancipation and entry employees in conversations with home, we provide interpreters to into and permanence in the labor coaches and athletes. Later on at support meetings with managers. market. Immediately after being Unibrad, employees were able to Interpretation using Libras also hired, new employees begin the share a pleasant conversation with appears in relevant topics discussed Banking Management course. a former Paralympic table tennis on live streams. As a way to ensure Over a six-month period, they are athlete, reflecting on the athlete’s inclusion, our marketing emails are trained in theoretical and behavioral role in his training and competitions sent with a link at the end of the elements, including practical and the professional’s role in the communication that provides access activities within the network of corporate world. to the content in Libras. branches. Throughout this period, they already receive compensation Mindful of the social distancing Since 2019, we have been part of The and benefits. requirements due to the Covid-19 Valuable 500, a global movement pandemic, our course was that encourages inclusion for people adapted to operate virtually. with disabilities in the corporate leadership agenda. In 2020, we In observance of the National received the People with Disabilities Day of Struggle for Persons with Distinction from the GPTW Institute Disabilities, Bradesco held the Eu as a result of our recruitment Somo event, an initiative by the practices, assistive technology and Affinity Group for People with accessible work environment. 4,248 Disabilities, Somar. The meeting employees with disabilities
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Accessibility Initiatives in 2020
In a climate as challenging as that which we faced in 2020, accessibility has emerged as a key component for delivering digital experiences and solutions that provide widespread reach to our financial products and services. Sites and applications were tested to identify compliance with accessibility in a number of our projects.
With this shift in behavior, it was very important that we continue our support for employees who assisted in customer service at the network of branches through information and training addressing relationships with people with disabilities and covering questions such as “How can I lead a visually impaired person without physically touching them?” and “What is the best way to communicate with a deaf people when wearing a mask?” Over 7,000 employees were provided with information.
The role of accessibility in this regard has made it possible for us to minimize people’s exposure to the virus and their need to travel. Electric bus that travels within Bradesco headquarters in Osasco – SP
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Gender Equality Many of our benefits focus on women, Currently, our more than 45 thousand such as Together for a Healthy Pregnancy, female employees account for 50.6% of which monitors the development of an Bradesco’s total workforce. The numbers employee or family member’s pregnancy. demonstrate our commitment to a We also are members of the Citizen more balanced and discrimination-free Company Program, which guarantees our corporate environment. employees a maternity leave extension to 180 days. We voluntarily adhere to national and international commitments on the theme, The subsequent follow-up for parents which support our efforts and keep us on returning from leave is made possible top of the best strategies for diversity and by Lig Viva Bem, one of the channels the the inclusion of women. We are signatories Organization has made available that of the Women’s Empowerment Principles focuses on Quality of Life, which also (WEPs) and HeforShe, established by the supports employees during this transitional United Nations, and we have joined the time. In addition, Daycare and Nanny Business Coalition to end Violence against Assistance can help to ease the double Women and Girls. shift women need to work. Some of our main administrative centers have begun to We also have a partnership with include breastfeeding support rooms. Laboratória, which offers a six-month program for training women who have Commemorated throughout the world, graduated from public schools or have we are part of Pink October. Bradesco a scholarship, in various specializations encourages all employees to participate in the field of technology, in addition in awareness campaigns on preventive to helping students obtain jobs in the care measures that can be adopted in the area. Some outstanding students are fight against breast cancer. Throughout interviewed by our Human Resources the month, female employees and their Department and Bank executives and dependents are exempt from co-pays become part of our team. Over the three when they undergo colposcopy and years of our partnership, we have hired 34 mammography exams. people, in addition to providing training for over 240 students.
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In 2020, thanks to the Bradesco’s Well- March 2020. In a clear indication that there being and Quality of Life Program – Viva are opportunities here for the professional Bem, we now have an exclusive hotline development of our leaders, encouraging to provide support in the event of confidence and motivating them to be domestic violence. It provides numerous more courageous, the events posed professionals who are trained to handle relevant questions for those who look complaints from employees or their for ways to balance a happy and healthy families through psychological, social, personal life with their career success. legal and other support and guidance Participants at the meetings included measures, including the opportunity the Organization’s upper management, to receive on-site assistance at home, in addition to journalist Mariana Ferrão, a hospitals and police stations. Viva Bem movement supporter.
First launched in November 2020, the Again in March, as part of the Violence against Women insight and International Women’s Week, we held awareness campaign is one of our priorities. the #InvistaComoUmaGarota (Invest The initiative includes a booklet, video, Like a Girl) workshop, which introduced podcasts and other content on the topic, practical lessons on investments to around updated monthly, reporting and publicizing 200 employees. It is a theme generally the support provided by the Organization. associated with men, who currently represent the majority of investors in Brazil. To inspire and empower Bradesco’s female management, we held two Women’s Leadership Forum seminars in January and
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women to establish successful pathways in One of the prominent meetings is the their personal and professional lives. On-site Bradesco Women event. The initiative events for women from different economic promotes female entrepreneurship and profiles were also held, which included economic empowerment and, in 2020, was community leaders, microentrepreneurs, a live streamed event. Despite the fact that major entrepreneurs, employees and this year’s version did not have an in-person experts in a variety of areas involving audience, it was a true artistic expression. knowledge and entrepreneurship. It wrapped up with a special series of live streams focused on eight Bradesco Women, In 2020, as a further reflection of our which included names such as Luiza Helena commitment to the topic, we were Trajano, Mafoane Odara, Djamila Ribeiro selected as one of the Best Companies and Carla Tieppo, moderated by Ana Paula for Women to Work for through a survey Padrão and Rita Batista. The event totaled conducted by GPTW, taking first place nearly 1 million views. among financial institutions and sixth place in the overall ranking. The Bradesco Women platform encapsulates the Bank’s initiatives geared Recognized as a company that supports towards a female audience. The goal is to and contributes to gender equity in the promote discussions around empowerment Organization and society, Bradesco remains and to share visions that are intended a part of the Bloomberg Financial Services to encourage and inspire contemporary Gender-Equality Index (BFGEI), and is one of the four Brazilian institutions to appear in the ranking.
IN THE PRIME SEGMENT, 71% OF THE WORKFORCE IS FEMALE.
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LGBTI+ Inclusion In 2020, respecting the health measures At Bradesco, there have been major and social distancing brought on by advances in commemorating LGBTI+ the coronavirus pandemic, we adapted inclusion. The topic received more the celebration without abandoning prominence and our commitment to the respect and strength with which respect was reinforced through our we deal with the topic. We invited all entry into the LGBTI+ Business and our employees to a virtual event called Rights Forum, an ongoing business Being LGBTI+: From Stonewall to 2020, movement that assembles large which discussed the most significant companies around commitments to achievements and challenges of the respect and to promote LGBTI+ human LGBTI+ community over the past 50 years. rights in the business environment, as well as society as a whole. On that date, the launch of the online course LGBTI+ Community Inclusion and By reaffirming our commitment to respect Career in the Labor Market was announced. for human rights and equal opportunities, It is available to all employees, and is we are ensuring that our employees intended to promote an understanding of and their dependents, regardless of the topic and raise public awareness of their their sexual orientation, can enjoy the role as a collaborator and citizen in relation very same opportunities and benefits to LGBTI+ issues, whether or not they are as everyone else, like having spouses part of that community. included in health and dental plans and maternity leave. For the second consecutive year, we took part in the DiverS/A Event, formerly The programs that promote quality Reaching Out Brasil. Adapted for the of life and that are extended to virtual environment, the event featured dependents – such as partnerships with lectures with experts and professionals, pharmacies, gyms, beauty salons, flu along with development workshops vaccination and the right to use the and mentoring sessions, often with the recreational areas located at Cidade de companies that hold a prominent role Deus in Osasco – are also extended to in the appreciation of diversity and the homosexual couples. inclusion of LGBTI+ professionals.
We would like to highlight that our We also remain supporters of the systems allow employees to be identified OUTStand movement, made up of by their social name. companies in the financial market that encourage and engage in reflections on the LGBTI+ theme at their work environments, promoting diversity and inclusion.
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Focus on Health and Wellness
We believe in health as a vector of We believe that it is essential for transformation in people’s lives. This is our employees to be able to balance why an Organization prevails in a culture their personal and professional lives. based on prevention and the promotion of Accordingly, the program is designed to healthy habits and behaviors. Bradesco’s strengthen the Organization’s well-being Well-being and Quality of Life Program and quality of life. – Viva Bem, based on three key pillars – balance, health and movement, offers In addition to on-site activities, the the requisite support so that employees program offers ample digital content – a can receive our care at all stages of format that helped the program adhere to their journey, both professionally and the social distancing requirements in 2020. personally. For these practices, we The content is available on the corporate received the National Quality of Life Award portal, where employees have free access (PNQV) in 2020, with Gold Certification to updated information on health, well- and Excellence in Management. being and quality of life through videos, podcasts and the getAbstract application, which includes summaries of books and TEDs with varied content. The digital content was accessed over 140,824 times in 2020.
The program is divided into three components: Viva Bem in Balance, Viva Bem Health and Viva Bem in Movement.
EMOTIONAL HEALTH PROGRAM VIRTUAL MEETINGS ARE CONDUCTED BY DOCTORS AND PSYCHOLOGISTS AND INCLUDES CONSCIOUS BREATHING AND MEDITATION.
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Viva Bem in Balance over 9,000 participants. The Maternity It includes initiatives that promote and Paternity Support Program emotional health and prevention, such offers assistance to employees who as the Emotional Health Program, are returning to work. For the other which provides personal meetings with employees who take leave and return employees to raise awareness on the to the Organization, the Professional topic, prioritizing prevention. Starting Rehabilitation Program is intended March 2020, due to the pandemic, to properly reintegrate them into the we held virtual meetings to discuss work environment. Another project, the emotional health and other topics Organizational Development Program associated with health and well-being, for Continuous Improvement of Work including techniques or exercises for Relationships, focuses on educating body awareness, such as mindfulness managers to ensure a healthy, safe and breathing, with employees that included cooperative environment, which boosts employee satisfaction.
THE 0800 580 0207 EXCLUSIVE CHANNEL OFFERS FREE AND CONFIDENTIAL SERVICE FOR SITUATIONS INVOLVING DOMESTIC AND GENDER VIOLENCE, 24 HOURS PER DAY AND 7 DAYS A WEEK. EMOTIONAL, SOCIAL AND LEGAL ASSISTANCE IS OFFERED, ALONG WITH Yellow September FINANCIAL GUIDANCE AND SUPPORT. Campaign
In September, we raised awareness within the company on the importance of preventing and valuing life through corporate announcements about support channels to promote mental health and offer support to those who need help. Through the Lig Viva Bem program, we provide listening and support assistance, including the opportunity for employees and their dependents to receive personal emotional supp.
We also promoted our exclusive channel for dealing with cases of gender-based violence through the hotline 0800 580 0207, which operates 24 hours a day, 7 days a week, and provides social, emotional, legal and financial support.
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Viva Bem Health We encourage healthy eating and a This program involves a number of change in attitude towards wellness. We initiatives for promoting health and provide snack machines with fruits, juices disease prevention. The Healthy and natural snacks, giving employees the Pregnancy Program is open to opportunity to adopt healthier habits within employees and their dependents, and the corporate environment. The program includes keeping track of a pregnancy also offers nutritional support and provides up to the immediate postpartum up to four free sessions with a nutritionist period to prevent, identify and monitor for employees and their family members. pregnancy risks. In 2020, the program monitored 132 pregnant women. We have made breastfeeding rooms available in some administrative buildings It also promotes activities focused on so that mothers returning from maternity cardiovascular diseases, blood pressure leave have a reserved area for pumping monitoring and bioimpedanciometry. and storing breast milk as an incentive to Employees whose exams indicated maintain breastfeeding. abnormalities were referred to specialized care. Medical Outpatient Clinics We offer 9 units of corporate medical Each year, we perform vaccination outpatient clinics in administrative campaigns to combat influenza and buildings, providing employees and H1N1 for all employees at no cost partners with prompt clinical care, lab tests and for their dependents at reduced and medical appointments with specialists rates. In 2020, 83,065 doses were such as gynecologists, cardiologists and administered. Over two weekends, we family doctors. These measures promote held a vaccination campaign in Núcleo health care and facilitate quality care while Cidade de Deus. reducing travel time.
The Pink October and Blue November Medical Assistance Campaigns are focused on raising Medical team available to assist and guide awareness about early screening for employees if they have any questions or cancers such as breast, cervix and concerns via telephone. prostate cancer. They include lectures with doctors, announcements on the corporate portal and co-pay exemptions for employees and dependents when taking preventive exams.
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Viva Bem in Movement In this program, the focus is on improving We also provide a spacious gymnasium for our the quality of life of employees and their employees at the headquarters, with classes families by encouraging physical activities. in different fitness activities to encourage a There are discounts and other advantages healthy lifestyle. We have agreements with for gyms throughout Brazil, and many beauty salons where we can ensure special of our units have bike racks available. prices to help with the self-esteem and well- Núcleo Cidade de Deus, in Osasco (SP), being of employees. We also have spaces that provides employees and their families include laundry, tailor, market, and hairdresser ample wooded space with swimming and manicurist within the headquarters in order pools, sports plaza with multi-sport to provide better practicality in our employees’ courts and a running track. In the sports daily routines. venue, there are activities such as yoga, pilates and zumba that are conducted Due to the pandemic in 2020, we adapted by physical education professionals. We the Vem Pra Pista Program to the online also hold volleyball, soccer and futsal environment. We also feature a sports championships between departments. consultancy, which coordinates online classes in yoga, pilates, functional training and dance, and includes over 1,200 participants.
Bradesco’s Well-being and Quality of Life Program – Viva Bem
Lig Viva Bem: psychosocial support Support programs, such as Healthy 24 service, with free 24 hours a day, 7 Pregnancy, Professional Rehabilitation days a week access. Available for and Socio-emotional Abilities meetings. employees and their dependents. In 2020, the channel took on incoming Cardiovascular, visual and oncological contacts for Covid-19 situations prevention actions. involving employees and family members, providing guidance, advice and support. 193,085 thousand Partnerships with gyms, beauty salons follow-ups were performed during and pharmacies. that period.
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Complete Care for Our People Some benefits offered:
Health and dental plan Daycare assistance – babysitter Food and meal vouchers Professional specialization Health care Language studies Psychosocial assistance Variable incentive Professional specialization Private Pension Plan Bradesco Corporate University Established in 2013, the Bradesco For this to happen, diverse groups need Corporate University (Unibrad) to be considered. There needs to be a promotes education for professional variety of solutions according to their skills excellence and social mobility. Its and level of maturity; information about mission is to become a standard in skills the career paths; access to solutions – and leadership training, entrenching stimulating independence and thereby being the value of the brand and social able to further improve efficiency in training commitment to the longevity of for the position – and more individualized Bradesco’s business. and effective career development. These are Unibrad’s responsibilities. The University provides innovative learning solutions and experiences and can be Unibrad seasonally curates its learning found in all regions of the country. The solutions that are based on 12 Bradesco online platform contains over two thousand corporate skills. This is done to identify and learning tools and the institution has offer our workforce a menu of diversified already been recognized nationally and solutions that address each of these internationally through prestigious awards abilities, thereby encouraging activities for from the Global Council of Corporate our employees’ professional improvement Universities, Cubic Awards and Micropower. and fulfilling the needs listed in the IDP.
Unibrad focuses on training by preparing the employee for the role that they will DURING THE PANDEMIC, WE OFFERED perform. Professional development is NEW DIGITAL CONTENT OPTIONS, ALL intended to prepare employees for their FREELY ACCESSIBLE TO EMPLOYEES AND careers. It is personalized, running through AVAILABLE ON AN EXTERNAL PLATFORM. learning paths to guarantee the fulfillment MORE THAN 50 LEARNING SOLUTIONS of the needs of each professional, while WERE CONVERTED FROM IN-PERSON clearly directing them to the essential CLASSROOM TO ONLINE skills they need to develop for the career they desire.
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The Corporate Education Schools both those that make up the corporate translate the Organization’s strategies agenda and those included in learning according to its strategic pillars (Clients, tracks – to the synchronous virtual training Efficiency, People and Sustainability). format (live course). This helps strengthen the relevance of the Corporate University for the More than 50 learning solutions were business, making sure that developmental converted from in-class to online. We activities are permanently aligned with introduced the Learn without Leaving the Organization’s objectives. The design Home Campaign, offering people the of the strategic map and its correlation opportunity to improve themselves with schools will ensure that Unibrad on multiple channels. Unibrad offers sets up educational initiatives in line with education remotely through digital organizational objectives. tools, adapting the course load in order to broadcast more concise information Our Corporate University could not stop without losing the core of the course. Even during the pandemic either. This is why we in the midst of the pandemic, we kicked off offer new digital content options, all freely an unprecedented initiative: a free English accessible to employees and available on distance learning program for the entire an external platform. We went through a Organization, including interns. movement to convert in-class courses –
Unibrad in Figures
2+ million 22% 85 million participants in of the workforce invested in learning tools learning solutions hold graduate and solutions degrees
379+ thousand on Unibrad’s website, which offers free educational content for the general public
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People Management
We have a People Management and Succession team The competency mapping process includes all that is dedicated to understanding the Organization’s employees at the Organization, using personal human capital and contributing to individual and team interviews, group dynamics or an electronic tool. training through competency mapping. In addition, it Implemented in 2017, management evaluates points out profiles that match strategic positions. employees through a behavioral assessment, and the employees assess themselves. The evaluations Through specific methodologies, processes are provide reflection on their own competencies and, conducted based on a detailed analysis of the for those in leadership roles, an analysis of their competencies and performance of the professionals subordinates as well. Annually, we make Competency who make up our workforce. We use a flexible career and Performance evaluations available to 100% of structure containing career axes, and the employee can the staff. Over 76 thousand Competency evaluations obtain information on feedback with the manager and and more than 73 thousand Performance evaluations apply for a selection process for internal recruitment. were completed. This ensured that the most recent employee data was available, helping to align the Based on this information, the Human Resources objectives and the direction of the teams’ efforts. Department and staff management establish actions focused on improving potential and enhancing Our integra rh online platform has been available since individual and collective performance. These inputs 2019, allowing our employees to take charge of their own are also applied in the succession process, in defining careers. The tool combines learning solutions that help Learning Solutions, in the ongoing practice of prepare professionals to reach their goal and provides feedback – when establishing individual development experiences and a repository for employees to tackle the plans that both drive and guide new challenges – and challenges on the path they choose to take. in the actions directed towards engaging talent. The platform contains concepts that are related to performance and competence assessments. Employees can include indicators for expected deliverables during the current cycle and the manager can view the team members’ profiles and assign Unibrad content and courses to their team. Feedback OUR HUMAN RESOURCES can also be submitted to colleagues at any time, and DEPARTMENT, ALONGSIDE TEAM users can participate in knowledge communities, LEADERS, DEFINES ACTIVITIES search for job openings and apply for them through an FOCUSED ON ENHANCING AND in-house process. IMPROVING THE INDIVIDUAL AND COLLECTIVE PERFORMANCE OF OUR EMPLOYEES
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Our CEO, Octavio de Lazari, presenting at Innovation Week* *before the pandemic
Our integra rh online platform has been available since 2019, allowing our employees to take charge of their own careers.
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Social work is rooted in Bradesco’s history. As one of the largest private donors in the country, we support many projects related to financial inclusion, as well as sports and educational practices. In 2020, the year of the pandemic, it was no different: we positioned ourselves on the front line to help society through a range of measures.
Fundação Bradesco In a year that was marred by the food and medical and dental pandemic, Fundação Bradesco assistance for around 41 thousand continued to pursue the mission students in basic education. 46,321 it has been fulfilling for over 64 STUDENTS years: delivering quality education Adapting on-site activities to the to socio-economically vulnerable remote model, Fundação Bradesco communities. In its 40 self-owned received support and partnered schools located in all states and with Banco Bradesco and the four the Federal District, it served largest telecoms in the Country. over 46 thousand students last This alliance provided free internet year divided into basic education service to Foundation students so 40 SCHOOLS (early childhood education and they could access the Education SELF-OWNED high school vocational education), portal, the virtual rooms and IN BRAZIL professional education, and youth the Virtual School. This allowed and adult education. classes to be given and educational activities to be held that had The 2020 budget was R$680.3 been expected for the year. We million, applied to conducting also provided mobile devices to and maintaining the institution’s students who did not possess any BUDGET OF operations. The amount was also means to access virtual classes. R$680.3 used for school supplies, uniforms, The devices allowed students to MILLION IN 2020
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not only access the classes, but enabled them to ask question to teachers and carry out research on the internet to complement their studies. UNIFORMS, SCHOOL MATERIALS, FOOD AND MEDICAL AND DENTAL ASSISTANCE FOR MORE Using technological tools and platforms, non-classroom classes were implemented THAN 41 THOUSAND STUDENTS IN BASIC at all school units. This allowed educational EDUCATION activities to continue, with working methods, meetings with teachers, remote classes and assessments all made available in the online format. The Office 365 learning platform was also made available to our students and teachers to help provide collaborative classes.
In an effort to enhance the classroom processes and make learning more efficient and collaborative, Fundação Bradesco offered training and education to its professionals. Teachers were given access to training guides containing best practices for producing their video classes and activities for encouraging socio-emotional competencies, which were extremely relevant given the current context.
THE VIRTUAL SCHOOL PORTAL BENEFITED MORE THAN 1.8 MILLION STUDENTS
Student from the Fundação Bradesco in a video class
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Bradesco Sports and However, activities conducted Education Program through the program needed to be Through our over 30-year program adapted in 2020 due to the social to teach women’s volleyball and isolation measures required by basketball, we have offered the public health authorities in view of sport as an activity that supports the pandemic. the development of children and young people. We promote health The activities were reformatted, and the appreciation of talents in with sports now presented all Fundação Bradesco schools, through mechanisms that municipal sports centers, state replaced personal contact with and private schools and in our virtual contact. This was able Sports Development Center, all to take place through the use located in Osasco, São Paulo. of applications that allowed students’ physical and mental Around 1,100 girls from the age health to be monitored and of 8 are assisted annually at the mentored, permitting all the Training and Specialist Centers. activities provided for in the Students must be enrolled program to continue, thereby in fulltime school in order to maintaining efficiency and the participate. The participants receive scale of the work as similar to citizen counseling on topics like what is usually done during preventing drug use and unwanted normal times. pregnancies, and those who are part of the Specialist Centers have Physical and technical activities IN 2020, THE INITIATIVES health insurance, transportation, were able to continue because of these tools, along with education- IMPLEMENTED BY THE PROGRAM meals and a scholarship, along with al lectures and relaxation exercis- WERE MAINTAINED, BUT THERE other benefits. es. Other strategies continued to WERE SOME ADAPTATIONS be applied to keep up personal routines, sleep quality and main- taining links with adults and other colleagues to help manage the stress resulting from social dis- tancing.
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Sports event sponsored by Bradesco* *before the pandemic
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Bradesco Volunteer Program Volunteers from various regions The program was created in 2007 around Brazil came up with and since that time, it has fostered initiatives to collect food, personal the exercise of citizenship, offering hygiene items, school materials its own actions and supporting and toys, which were delivered to initiatives by employees and socially vulnerable families and interns throughout Brazil. The benefited over 12,000 people. activities are planned and conducted in different ways and The program holds an annual focus on a variety of subjects. event to recognize volunteers They also actively contribute to who are distinguished for their the development of competences, work. In 2020, the event was held skills and relationships. in the online format, on National Volunteer Day (August 28) and The program’s agenda was broadcast live to attendees from affected by the Covid-19 pandemic all over Brazil. Under the theme in 2020. A portion of the actions “Attitudes that Inspire”, the were reshaped and others celebration was attended by the postponed, with a concern over officers of the areas involved, who not exposing employees, family paid tribute to their teams. members and the community to risks of infection, especially in face-to-face initiatives that Main items collected required people to gather.
KG OF FOOD To provide guidance to employees 6,585 on the precautions and possibilities 5,350 PERSONAL CARE AND of volunteering during this period, CLEANING PRODUCTS a special area was opened on the Bradesco Volunteer Portal. 1,811 TOYS 643 BASIC FOOD BASKETS 531 SCHOOL SUPPLIES 125 ARTICLES OF CLOTHING, SHOES AND OTHER ITEMS
7,133 OTHER ITEMS
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Volunteering efforts in 2020
16+ THOUSAND REGISTERED EMPLOYEES AND INTERNS Bradesco Volunteer Portal
The official platform of the program in which opportunities for engagement, news, calendar of actions and various useful content are posted, including the Organization’s Volunteering Policy. All activities that are performed are related to at least one of the Sustainable Development Goals (SDGs), ratified by the United Nations in 2015.
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One of the essential foundations of account for energy efficiency, our corporate strategy is efficiency. including using more natural This not only means offering varied light, efficient lighting, selective and accessible solutions, like collection, use of ecological gases, financial and insurance products a 100% renewable energy matrix, and services, but also working in neutralizing 100% of common a way that consistently strives for waste generated in the city of São more efficiency and reducing direct Paulo and implementing concepts and indirect impacts derived from of well-being. our operations. For example, among the many As part of the financial sector, projects underway, we installed our opportunities to generate a new drinking water reservoir in a positive impact are mostly Cidade de Deus in 2020, where indirect, by creating value for our the bank’s headquarters are stakeholders – especially clients located. A modern and automated and society in general. system was installed, and the water security of the complex was As our way to contribute, all of our increased while eliminating waste refurbishments and new buildings resulting from leaks. are designed to be environmentally sustainable. All projects now
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Water Energy Management Management
We work tirelessly to identify Just as we are doing with water projects, we continued to expand new initiatives and projects that consumption, we have been the free energy market to more can contribute to our goals for working since 2012 to reduce units, now reaching 32 Fundação reducing water consumption energy consumption through Bradesco schools using energy throughout Bradesco’s monthly monitoring for each from incentive sources in 2020. facilities (branch, offices and unit. We have also implemented headquarters). annual goals and are ranking the We also outsourced four solar most efficient units to encourage farms during the year to supply We continued our Racionalize in-house initiatives for saving. electricity to 137 branches in the campaign in 2020. It is an initiative interior of São Paulo. This initiative designed to raise employees’ We made an investment in 2020 secured savings of 12% in energy awareness of best practices for of approximately R$16 million in costs for all the units included. conscious water consumption, energy efficiency projects, including including in their homes, where building automation, replacing they have spent most of their time fluorescent lamps with LEDs in the over the last year working from branch network, replacing outdated home. Due to the pandemic and fixtures with more efficient the reduced number of people in equipment and streamlining our operations, there has been a operational processes. Among significant reduction in any target many of our major energy-related that had been set for normal situations. Because of the vacated buildings, we have also instituted some precautions, such as reducing the level of water tanks and adjusting chlorine levels. 100% renewable
In 2020, Bradesco became the first Brazilian bank to fulfill its commitment to have 100% of its operations powered by energy from renewable resources, covering the entire network of branches and administrative buildings, and totaling more than 3 million square meters.
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Waste Management
In terms of waste management, sorting. All common and organic There were improvements made we have just completed rolling waste generated in these locations in the planning and management out selective collection at 524 will no longer be sent to landfills. of demands for transporting branches in Greater São Paulo, Instead, they will be sorted, organic money from some bank units due and at all administrative buildings waste will be sent for composting to the ongoing actions focused nationwide. A structuring of the and common waste will be crushed on efficiency, which result in Solid and Technological Waste and transformed into waste- the reduction of greenhouse Management Plan contributed derived fuel (CDR). gas emissions. The efficiency to mapping and managing waste is a direct result of improved generated by the Organization – As a result, 30% of the total logistics from reducing the an effort to continuously improve amount of waste generated by number shipments and mileage the waste data each year. the Organization will no longer traveled. Of the quantity targets be sent to landfills. This equals established, we saw reductions We introduced the Aterro Zero approximately 2,000 tons of waste of 10%. For 2021, we will continue project in 2020, a project that disposed in a more sustainable way. managing demands and looking allowed 100% of the waste for alternatives that can reduce generated in the entire operation of The waste reduction efforts also travel (shipments). Greater São Paulo to be disposed include a specific goal to reduce of in a sustainable manner through the use of paper and to mitigate state-of-the-art technology, with greenhouse gas emissions from one of the most modern processes transporting printed documents in the world for automated waste to clients.
IN 2020, WE ROLLED OUT THE ZERO LANDFILL PROJECT, WHICH MADE IT POSSIBLE TO SUSTAINABLY DISPOSE OF 100% OF THE WASTE GENERATED FROM FULL ACTIVITIES IN GREATER SÃO PAULO
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Investor Relations
As a publicly traded company, our international investors. Because of the relationship with investors is built in a Covid-19 pandemic in 2020, all of these clear, complete and objective manner. communications were carried out virtually, Through our Market Relations department while still respecting the release schedule. (DRM), we are continually releasing information, perspectives, strategies and The market relations area has also our performance, helping the financial been working entirely remotely and has market properly evaluate our activities. maintained a continual dialog with the market. In the fourth quarter of 2020, All this information is gathered on we interacted with 545 domestic and our Investor Relations website and is international investors from 454 funds made available through meetings and through conference calls, and took part in conference calls, thereby ensuring 46 international conferences held virtually, our close contact with domestic and totaling 55 meetings that were attended by 172 investors from 135 institutional funds.
We launched a new Investor Relations website. See www.banco.bradesco/ri
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Limited Assurance Report
To the Management’s responsibility Other than Audit and Review Shareholders and Board of The Management of Bradesco is and ISAE 3000 Assurance Directors of responsible for the compilation Engagements Other Than Audits Banco Bradesco S.A. and adequately presenting of the or Reviews of Historical Financial Osasco - SP sustainability information included Information, issued by the in the Summary Version of the Brazilian Federal Accounting Board Independent Limited Assurance Integrated Report in accordance and the International Auditing Report to Banco Bradesco S.A. on with the criteria described under and Assurance Standards Board, the Sustainability Information section “Criteria for preparing respectively. These standards in the Summary Version of its the sustainability information require that we plan and perform Integrated Report included in the Summary Version our procedures to obtain a We were engaged by Banco of the Integrated Report” and for meaningful level of limited Bradesco S.A (“Bradesco”) to any other information contained assurance about whether the report on the sustainability in this report, and for designing, sustainability information included information included in the implementing and maintenance in the Summary Version of the Summary Version of Bradesco of internal controls relevant to Integrated Report is adequately Integrated Report for the year the compilation and adequately presented, in all material respect, ended of December 31, 2020, in presenting of the sustainability as the basis for our limited the form of a limited independent information included in the assurance conclusion. assurance conclusion if, based summary version of the Integrated on engagement performed and Report in order to ensure that the KPMG Auditores Independentes the evidence obtained, nothing information is free from material (“KPMG”) applies Brazilian and has come to our attention misstatement, whether due to international standards on quality that causes us to believe that fraud or error. control and consequently maintains the sustainability information a comprehensive of quality control contained in the Summary Version Independent Auditors’ system, including documented of the Integrated Report has not Responsibility policies and procedures related been properly prepared, in all Our responsibility is to review to the fulfillment of ethical and material respects, in accordance the sustainability information professional standards, in addition to with the criteria described in included in the Summary Version the applicable legal and regulatory section “Criteria for preparing the of Integrated Report prepared requirements. We comply with the sustainability information included by Bradesco and to report there comprehensive code of ethics, in the Summary Version of the on in the form of an independent including detailed independence Integrated Report”. limited assurance conclusion requirements, established based based on the evidence obtained. on ethical principles of integrity, We conducted our engagement objectivity, competence and in accordance with the NBC TO professional care, confidentiality 3000 - Assurance Engagements and professional behavior.
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The selected procedures depends Characteristics of and Conclusion on our understanding of the Limitations on the Sustainability Our conclusion has been formed sustainability information included Information included in the based on, and is limited to the in the Summary Version of the Summary Version of the matters outlined in this report. Integrated Report and other Integrated Report engagement circumstances, and Our conclusion does not include We believe that the evidence we our consideration of the areas aspects related to prospective have obtained is sufficient and where material misstatements are information contained in the appropriate to provide a basis for likely to arise. sustainability information included our conclusion. in the summary version of the The procedures performed in a Integrated Report, nor offers Based on the procedures we have limited assurance engagement any guarantee whether the performed and the evidence vary in nature and timing and its assumptions used by Management obtained, nothing has come to our extension is less than a reasonable provide a reasonable basis for the attention that causes us to believe assurance engagement. Therefore, projections presented. Therefore, that the sustainability information the level of assurance obtained in our report does not offer any included in the Summary Version a limited assurance engagement type of assurance on the scope of of the Integrated Report has not is significantly l smaller than the future information (such as goals, been adequately presented, in assurance that would have been expectations and ambitions) and all material respects aspects , in obtained, if a reasonable assurance descriptive information that is accordance with the information engagement had been performed. subject to subjective assessment. described in the section “Criteria for preparing the sustainability As part of this engagement, Criteria for preparing the information included in the we have not performed any sustainability information Summary Version of the procedures of audit, review or included in the Summary Version Integrated Report”. verification of the sustainability of the Integrated Report information contained in the The sustainability information Summary Version of the Integrated included in the summary version Osasco, March 05, 2021 Report or of the underlying of the Integrated Report for the records or other sources year ended of December 31, 2020 KPMG Auditores Independentes from which the sustainability has been prepared by Bradesco’s CRC 2SP-028567/F information contained in the Management in accordance with (Original report in Portuguese singed by) Summary Version of the Integrated the criteria described in the Report was extracted. section “About this report” at page André Dala Pola nº 21 of the Summary Version of Accountant CRC 1SP214007/O-2 the Integrated Report.
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Administrative Bodies Reference date March 4, 2021
Board of Directors
Chairman CEO Luiz Carlos Trabuco Cappi Octavio de Lazari Junior
Vice-Chairman Executive Vice-Presidents Carlos Alberto Rodrigues Guilherme Marcelo de Araújo Noronha André Rodrigues Cano Members Cassiano Ricardo Scarpelli Denise Aguiar Alvarez Eurico Ramos Fabri Milton Matsumoto Rogério Pedro Câmara Alexandre da Silva Glüher Maurício Machado de Minas Managing Officers Samuel Monteiro dos Santos Junior – Moacir Nachbar Junior Independent Member Walkiria Schirrmeister Marchetti Walter Luis Bernardes Albertoni – Guilherme Muller Leal Independent Member João Carlos Gomes da Silva Paulo Roberto Simões da Cunha – Bruno D’Avila Melo Boetger Independent Member Glaucimar Peticov José Ramos Rocha Neto
Deputy Executive Directors Antonio José da Barbara Edson Marcelo Moreto José Sergio Bordin Leandro de Miranda Araujo Roberto de Jesus Paris Edilson Wiggers Oswaldo Tadeu Fernandes
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Department Officers Officers Regional Officers Ademir Aparecido Correa Junior Adelmo Romero Perez Junior Alberto do Nascimento Lemos André Bernardino da Cruz Filho André David Marques Altair Luiz Guarda André Ferreira Gomes Alexandre Cesar Pinheiro Quercia Altair Naumann Antonio Carlos Melhado Alexandre Panico Amadeu Emilio Suter Neto Antonio Daissuke Tokuriki André Luis Duarte de Oliveira André Vital Simoni Wanderley Carlos Wagner Firetti Carlos Alberto Alástico César Cabús Berenguer Silvany Clayton Camacho Carlos Henrique Villela Pedras Deborah D’Avila Pereira Campani Santana Edilson Dias dos Reis Carlos Leibowicz Delvair Fidêncio de Lima Fernando Antônio Tenório Carolina Salomão Fera Hebercley Magno dos Santos Lima Fernando Freiberger Cristina Coelho de Abreu Pinna José Flávio Ferreira Clemente Fernando Honorato Barbosa Edmir José Domingues José Roberto Guzela José Augusto Ramalho Miranda Francisco José Pereira Terra Marcos Daniel Boll José Gomes Fernandes Jefferson Ricardo Romon Nelson Veiga Neto Julio Cardoso Paixão José Leandro Borges Paulo Roberto Andrade de Aguiar Klayton Tomaz dos Santos Juliano Ribeiro Marcílio Rogerio Huffenbaecher Layette Lamartine Azevedo Junior Julio Cesar Joaquim Telma Maria dos Santos Calura Leandro José Diniz Marcos Valério Tescarolo Manoel Guedes de Araujo Neto Mateus Pagotto Yoshida Marcelo Santos Dall’Occo Nairo José Martinelli Vidal Júnior Marcio Henrique Araujo Parizotto Nilton Pereira dos Santos Junior Marcos Aparecido Galende Renata Geiser Mantarro Marlos Francisco de Souza Araujo Roberto França Mauricio Gomes Maciel Romero Gomes de Albuquerque Paulo Eduardo Waack Rubia Becker Roberto Medeiros Paula Ruy Celso Rosa Filho Vasco Azevedo
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COMMITTEES REPORTING TO THE BOARD OF DIRECTORS
AUDIT COMMITTEE INTEGRITY AND ETHICAL CONDUCT COMMITTEE (being updated) Membership Alexandre da Silva Glüher – Coordinator Membership Paulo Roberto Simões da Cunha – Financial Specialist Carlos Alberto Rodrigues Guilherme – Coordinator Paulo Ricardo Satyro Bianchini Milton Matsumoto José Luis Elias Alexandre da Silva Glüher Amaro Luiz de Oliveira Gomes Maurício Machado de Minas Walter Luis Bernardes Albertoni COMPENSATION COMMITTEE Octavio de Lazari Junior Marcelo de Araújo Noronha Membership André Rodrigues Cano Luiz Carlos Trabuco Cappi – Coordinator Moacir Nachbar Junior Carlos Alberto Rodrigues Guilherme Glaucimar Peticov Milton Matsumoto Ivan Luiz Gontijo Júnior Fabio Augusto Iwasaki – Non-administrative member Renata Geiser Mantarro Edilson Wiggers
INTEGRATED RISK MANAGEMENT AND CAPITAL ALLOCATION COMMITTEE (being updated)
Membership André Rodrigues Cano – Coordinator Octavio de Lazari Junior Marcelo de Araújo Noronha Cassiano Ricardo Scarpelli Eurico Ramos Fabri Moacir Nachbar Junior Marlos Francisco de Souza Araujo Ivan Luiz Gontijo Júnior
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RISK COMMITTEE
Membership Maurício Machado de Minas – Coordinator Carlos Alberto Rodrigues Guilherme André Rodrigues Cano SUSTAINABILITY AND DIVERSITY SUCCESSION AND APPOINTMENT COMMITTEE COMMITTEE (being updated)
Membership Membership Luiz Carlos Trabuco Cappi – Coordinator André Rodrigues Cano – Coordinator Carlos Alberto Rodrigues Guilherme Luiz Carlos Trabuco Cappi Milton Matsumoto Carlos Alberto Rodrigues Guilherme Octavio de Lazari Junior Milton Matsumoto André Rodrigues Cano Alexandre da Silva Glüher Glaucimar Peticov Maurício Machado de Minas Walter Luis Bernardes Albertoni Octavio de Lazari Junior Cassiano Ricardo Scarpelli Eurico Ramos Fabri Marcelo de Araújo Noronha Moacir Nachbar Junior Glaucimar Peticov Leandro de Miranda Araujo Edson Marcelo Moreto Walkiria Marchetti Oswaldo Tadeu Fernandes
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CORPORATE INFORMATION
BANCO BRADESCO S.A. Cidade de Deus – Osasco (SP) CEP: 06029-900 www.bradesco.com.br
ASSISTANCE TO MARKET ANALYSTS, INSTITUTIONAL INVESTORS AND OTHER STAKEHOLDERS Market Relations Department Phone number: (55 11) 2194-0922 banco.bradesco/ri [email protected]
General Accounting Department Phone number: (55 11) 3684-3702 [email protected]
Controllership Department Corporate Sustainability Segment CREDITS Phone number: (55 11) 3684-8777 www.bradescosustentabilidade.com.br GENERAL COORDINATION Bradesco – Market Relations Department Shareholder service For the exercise of their rights or PARTNER CONSULTING FIRM information on share positions, dividends TheMediaGroup and other info, Bradesco companies’ (Editorial Coordination, GRI Consulting and Design) shareholders can go directly to the Bradesco branches that hold their TRANSLATION accounts. For all other information, Global Translations.BR please contact: PHOTOGRAPHY Shares and Custody Department Luxboxestudio - Fernando Gardinali Phone number: 0800 701 1616 Bradesco’s photo archive [email protected] Shutterstock
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