Company: BBD
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001292814-25-001244
Chunk: 233

Company: BANK BRADESCO
Filing Date: 2025-03-31
Form: 20-F
Item: Item 5
Chunk 233
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 revision of the footprint and strict cost management, our other administrative expenses registered growth of 3.0% compared to 2023, below the inflation rates.
 

148 – Form 20-F 2024 | Bradesco
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5.B. Liquidity and Capital Resources
 
5.B.10 Asset and liability management
 Our general policy on asset and liability management is to manage interest rate, liquidity, foreign exchange and maturity risks in order to maximize our net interest income and our return on assets and equity, in light of our internal risk management policies, and maintain adequate levels of liquidity and capital.
 As part of our asset and liability management, we seek to avoid material mismatches between assets and liabilities by matching, to the extent possible, the maturity, currency and interest rate structure of loans we make to the terms of the transactions under which we fund these loans. Subject to our policy constraints and the limits established by our Board of Directors, we occasionally take mismatched positions in relation to interest rates, maturities and, in more limited circumstances, foreign currencies, when we believe such positions are justified in view of market conditions and prospects.
 We monitor our asset and liability positions in accordance with the requirements and guidelines of the Central Bank of Brazil. Our Asset and Liability Management and Treasury Executive Committee meets every two weeks to:
 
·   evaluate action strategies relating to asset and liability management, within the limits established,
        based on an analysis of the political-economic scenarios, at national and international level;   
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·   monitor and endorse the pricing strategies of asset, liability and derivative operations with our clients;
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·   define internal prices for the transfer of resources (Funds Transfer Price – FTP) of liabilities
                               and assets in local and foreign currency;                            
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·   approve the proposal on the limit of tolerance for exposure to risks to be submitted to the approval of
                                  the COGIRAC and the Board of Directors; and                              
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·   monitor and endorse results, strategies, behaviors and risks of mismatch and indexes maintained by us
                                         and managed by the Treasury.                                    
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 In making such decisions, we evaluate not only our exposure limits for each market segment and product, but also market volatility levels and the extent to which we are exposed to market risk through interest, maturity, liquidity and currency mismatches. We also consider other potential risks, as well as market liquidity, our institutional needs and perceived opportunities for gains. Our Treasury Executive Committee for Asset and Liability Management holds extraordinary meetings as required in response to