CMN Resolution No. 5,177 — Governs the Remuneration Policy for Administrators of Financial Institutions and Other Institutions Authorized by the Central Bank of Brazil

CMN Resolution No. 5,177 establishes the remuneration policy for administrators of financial institutions and other entities authorized by the Central Bank of Brazil, excluding certain specific entities like payment institutions and securities brokers. The resolution mandates that remuneration policies align with risk profiles, ensuring fixed and variable pay are balanced, with at least 50% of variable pay paid in equity or similar instruments and at least 40% deferred for a minimum of three years. Institutions meeting specific size or complexity criteria must establish a Remuneration Committee with defined composition, mandates, and reporting obligations, while others must assign these duties to the Board of Directors or Executive Management. Compliance deadlines require new policies to be implemented by December 31, 2025, with full application starting in the 2026 fiscal year, and a phased implementation of equity and deferral requirements for previously exempt institutions through 2028.

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01 Res CMN - Remuneration of Administrators

CMN RESOLUTION NO. 5,177,
OF SEPTEMBER 26, 2024

Governs the remuneration policy for administrators of financial institutions and other institutions authorized to operate by the Central Bank of Brazil.

The Central Bank of Brazil, in accordance with Art. 9 of Law No. 4,595, of December 31, 1964, makes public that the National Monetary Council, in a session held on September 26, 2024, based on Arts. 4, caput, item VIII, of the aforementioned law, 20, § 1º, of Law No. 4,864, of November 29, 1965, 1º of Decree-Law No. 70, of November 21, 1966, 7º and 23, caput, item “a”, of Law No. 6,099, of September 12, 1974, 1º, caput, item II, of Law No. 10,194, of February 14, 2001, 1º, § 2º, of Provisional Measure No. 2,192-70, of August 24, 2001, and 1º, § 1º, of Complementary Law No. 130, of April 17, 2009,

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Lineage: In force

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Show all related documents (9)

Supersedes: Resolution No. 4595 dated 2017-08-28not in RegAlert
Amends: Resolution No. 4879 dated 2020-12-23not in RegAlert
Issued under: Complementary Law No. 130, of April 17, 2009 – National Cooperative Credit System2009Act No. 2192-70 dated 2001-08-24not in RegAlertAct No. 70 dated 1966-11-21not in RegAlertLaw No. 10194 dated 2001-02-14not in RegAlertLaw No. 4595 dated 1964-12-31not in RegAlertLaw No. 4864 dated 1965-11-29not in RegAlert
+1 more
Law No. 6099 dated 1974-09-12not in RegAlert

Source: Banco Central do Brasil — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works