On Sep. 26, BRZ CB issued remuneration policy for administrators.
BRZ CB issued Resolution 5.177 regarding the remuneration policy for administrators of financial institutions and other institutions that are authorized to operate by BRZ CB.
Remuneration Policy
Entities must implement and maintain a management remuneration policy that is compatible with the nature, size, complexity, structure, risk profile, business model.
So as not to encourage behavior that increases risk exposure above levels considered prudent in the short, medium and long-term strategies adopted by the institution.
Remuneration policy for administrators referred to in the caput must be implemented based on transparent criteria, in order to prevent any form of discrimination occurring.
Including sex, sexual orientation, gender identity, ethnicity, race, color, age or religion.
Institutions must establish a body required by law called a remuneration committee.
Committee is responsible for fulfilling the duties in relation to credit cooperatives and service confederations formed by central credit cooperatives that are part of system.
Sets out required composition of the committee, and its mandates and attributions.
Remuneration committee must prepare annual remuneration committee report.
Provisions do not apply to consortium administrators, payment institutions, securities brokerage firms, foreign exchange brokerage firms and securities distribution firms.
Revocations
Revokes art. 8 of Res. 4,595 of Aug. 28, 2017; art. 10 of Res. 4,879, of Dec. 23, 2020; Res. 3.921 of Nov. 25, 2010; Res. 4.656 of Apr. 26, 2018, #109403, #94255, #34789.
Effectiveness
This Resolution shall come into force on Jan. 1, 2025; the remuneration policy approved in accordance with the caput must be applied as of the 2026 fiscal year.
Sets staggered effective dates for institutions initially exempted from the requirements
Regulators
BRZ CB
Entity Types
Bank; CNSM; Corp; Ins; Inv Co
Reference
Res 5.177, 9/26/2024; Rpl Res 5.177, 4,595/2017, 4,879/2020, 3.921/2010, 4.656/2018;
