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Ricardo Annes Guimaraes says that the Brazilian population growth among other favorable conditions have played an important role in the growth of the consigned credit industry. This is because the Gross Domestic Product is increased, which equates to an increase in credit explanatory. For instance, in 2004, the credit explanatory was reported to be at 22 percent but has since grown to approximately 50 percent by 2015. As such, when BMG Bank started to make a name in 2004, it only had a 20 percent market shared with a net worth of six billion dollars but that has changed to an 80 percent market share equating to at least 100 billion dollars in 2015. Back in 2004, the bank had recorded 85 billion dollars net worth, which is approximately 60 percent the current personal credit in the consigned credit market today.
Therefore, Ricardo Annes Guimaraes argues that the consigned credit market is experiencing the highest growth in its history. In addition, he recounts that the BMG Bank has been able to keep up due to its dedication, teamwork and discipline in the industry. As such, BMG Bank boasts of the largest distribution channel in the consigned credit market equating to at least 3000 point of sale and more than 50,000 agents in one municipality. This means that BMG Bank has a better chance of reaching any potential client let alone serving the current clients at a faster and highly efficient manner.
BMG Bank records the highest number of clients due to its cheap credit and low return on equity. It is no doubt that these factors have placed the bank as a first mover and has developed a sense of loyalty with its clients. This way, the bank can easily contact or follow up potential clients. BMG Bank has also invested in neighboring countries as part of its international market policy in a bid to spread its wings. The company also sponsors several basketball, soccer and volleyball teams in the first and second league.
Ricardo Annes Guimaraes joined the Banco BMG S.A. in 1989 as a financial executive officer before becoming the president and chief executive officer. He has also served as the director of Grupo BMG S.A. de C.V. and a board member of the Board of Councilors of Banco BMG S.A. He graduated with a bachelor’s in business administration at Una-Faculdade de Ciencias Gerencias. He is currently the President and Owner of BMG Bank.