Resolution CMN No. 5046 — Organization and Operation of Investment Banks

RESOLUTION
CMN NO. 5,046, OF NOVEMBER 25, 2022

Provides for the organization and operation of investment banks.

The Central Bank of Brazil, in accordance with Article 9 of Law No. 4,595, of December 31, 1964, makes it public that the National Monetary Council, in a session held on November 24, 2022, based on Articles 4, items VI, VIII, and XIII, of the aforementioned Law, and Article 29 of Law No. 4,728, of July 14, 1965,

R E S O L V E S:

Article 1. This Resolution provides for the organization and operation of investment banks, financial institutions of a private nature, specialized in temporary equity participation operations, financing of productive activity for the supply of fixed and working capital, and management of third-party resources.

Article 2. Investment banks must be constituted in the form of a joint-stock company, and their corporate name must necessarily include the expression "Investment Bank".

Article 3. Investment banks are permitted, in addition to carrying out activities inherent to the achievement of their objectives:

I - to carry out purchase and sale operations, for their own account or for third parties, of precious metals, in the physical market, and of any securities and financial assets, in the financial and capital markets;

II - to operate in commodity and futures exchanges, as well as in organized over-the-counter markets, for their own account and for third parties;

III - to operate in all modalities of credit granting for financing of fixed and working capital;

IV - to participate in the process of issuance, subscription for resale, and distribution of securities and financial assets;

V - to operate in foreign exchange, in accordance with specific regulation by the Central Bank of Brazil;

VI - to coordinate processes of reorganization and restructuring of societies and conglomerates, financial or not, through the provision of consulting services, equity participation and/or granting of financing or loans; and

VII - to carry out other operations permitted by legislation or specific regulation.

Article 4. Investment banks may employ in their activities, in addition to their own resources, those derived from:

I - time deposits, with or without the issuance of certificates;

II - resources originating from abroad, including through interbank transfers;

III - transfer of official resources;

IV - interbank deposits; and

V - other forms of fundraising permitted by legislation or specific regulation.

Article 5. Investment banks are admitted to maintain non-interest-bearing deposit accounts, not negotiable by check, whose resources are destined for the realization of operations or the contracting of services related to their corporate object.

Article 6. Investment banks must permanently observe minimum limits of paid-up share capital and net equity of R$12,500,000.00 (twelve million and five hundred thousand reais).

Sole Paragraph. For investment banks that operate in the foreign exchange market, R$6,500,000.00 (six million and five hundred thousand reais) must be added to the capital values established in the main text.

Article 6. (Revoked by Joint Resolution No. 14, of 3/11/2025.)

Article 7. The following are revoked:

I - item II of the main text of Article 1 of the Annex II Regulation of Resolution No. 2,099, of August 17, 1994; and

II - Resolution No. 2,624, of July 29, 1999.

Article 8. This Resolution enters into force on January 1, 2023.

Roberto de Oliveira Campos Neto

President of the Central Bank of Brazil