Royal Bank of Canada (RBC) opens a new investment advisory business in Brazil. The firm’s new headquarters in Sao Paulo’s financial district of Itaim marks RBC’s start in the domestic investment advisory services industry in Brazil, a country where it has had a presence since 1919.
Under the direction of Jose Lima, general manager, RBC Brasil DTVM, the new entity will allow RBC Wealth Management to provide investment advice through an open platform of third-party domestic securities – mutual funds, multi-market hedge funds, and equities – to high net-worth residents of Brazil, Latin America’s largest economy.
RBC advisors will work with local fund managers and advise clients on asset allocation of domestic financial instruments. In the future, the business may also offer international clients access to domestic financial products and services. A native of Brazil, Lima joined RBC in 2001 and most recently served as general manager for RBC Wealth Management’s Latin American sales offices.
Initially, close to a dozen financial advisors will be assisting clients in RBC’s Sao Paulo and Porto Alegre offices, with plans to hire additional advisors as the year progresses.
New entity in Latin America complements the wave of expansion which included the opening last year of new offices in Chile and Panama. The firm also has offices in Argentina and Venezuela.
“This marks a new era for RBC in Brazil,” says Michael Moodie, head of Americas Region, RBC Wealth Management. “We continually look for opportunities to grow in select markets where our history and brand are strong and where we can meet the needs of our clients. In Brazil, our goal is to be perceived as one of the best advisory firms in the country.”
“This enhancement will be of great benefit for our clients and offers RBC a terrific market opportunity,” says Jose Lima. “The long-term outlook for Brazil’s economic growth is very positive. Its economy is the region’s largest, its funds industry is very developed with hundreds of billions of dollars in assets, and it has a sophisticated financial system and a stock exchange as large as the Toronto Stock Exchange.”
“Despite the current market environment, we are actively seeking to expand our global footprint and points of distribution in key areas outside of North America in geographies that complement our strengths,” says Michael Lagopoulos, international head, RBC Wealth Management. “RBC is a strong and stable bank. Our consistent financial strength and discipline in managing risk should provide our clients around the world with confidence.”
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