Nov. 17 (Bloomberg) -- Brazil’s Banco Cruzeiro do Sul SA, which specializes in payroll-deductible loans, is transferring management of half of its asset-backed receivables fund to Banco Bradesco SA to help lure financing.
Cruzeiro do Sul, based in Sao Paulo, is handing administration, management and custodianship of half the assets to Osasco, Brazil-based Bradesco, Luis Octavio Indio da Costa, chief executive officer of Cruzeiro, said on a conference call with analysts today.
The move will allow Cruzeiro do Sul to raise more money in the domestic market by improving transparency for investors, Indio da Costa said.
Asset-backed funds, known in Brazil as fundos de investimento em direitos creditorios, or FIDCs, are typically backed by trade receivables, mortgages, and other consumer or corporate loans.
--With assistance from Cristiane Lucchesi and Ney Hayashi in Sao Paulo. Editors: Brendan Walsh, Glenn J. Kalinoski
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