Company: BBD
Filing Date: 2025-03-31
Form Type: 20-F
Source: 0001292814-25-001244
Chunk: 102

Company: BANK BRADESCO
Filing Date: 2025-03-31
Form: 20-F
Item: Item 4
Chunk 102
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 net cash outflows in the next thirty days in a stress scenario;                   
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·   Net Stable Funding Ratio (NSFR): consists of verifying the structural funding sufficiency to finance the
                                     long-term assets of our balance sheet;                                 
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·   Deposit losses for different time horizons;
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·   Funding concentration maps by different variables (product, term and counterparty); and
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·   Integrated stress exercises in which different risk dimensions are addressed.
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 For the main metrics, limits have been established, which can be strategic (approved up to the level of the Board of Directors) or operational (approved by the Executive Committee), based on flags, which trigger different levels of governance according to the percentage of use (consumption) of their respective limits.
 

52 – Form 20-F 2024 | Bradesco
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4.B.20.01-05 Operational risk
 Operational risk is represented by the possibility of losses arising from faulty, deficient or inadequate internal processes, human and system error, or external events.
 Our operational risk is represented by the possibility of losses arising from external events or failure, deficiency or inadequacy of internal processes, systems or personnel. This definition includes the legal risk associated with our inadequacy or deficiency in contracts we enter into, sanctions resulting from non-compliance with legal requirements and indemnity claims from third parties arising from our activities.
 
4.B.20.01-06 Social, Environmental and Climate Risks
 The social, environmental and climate-related risks represent the possibility of financial losses to the Group due to the potential impacts arising from climate changes and the damage that an economic activity can cause to society and to the environment.
 These risks, when associated with financial institutions, are mostly indirect and arise from business relationships, including those with the supply chain and clients through financing and investment activities. As defined in Article 38-C of CMN Resolution No. 4,557/17 (i) social risks include the violation of rights, fundamental guarantees or acts harmful to the common interest, such as slave labor and child labor, (ii) environmental risks cover degradation of the environment and excessive use of natural resources, and (iii) climatic risks refer to the possibility of losses to the institution caused by events associated with frequent severe weather conditions or long-term weather changes, which may be related to changes in the climatic standards (physical risks). In response to the increase of these risks, socioeconomic changes need to happen, potentially exposing the institution to losses