AQRisk announces partnership in Brazil

One year ago, Danish fintech company and Copenhagen Fintech lab resident, AQRisk went with us on a delegation to Brazil, in an effort to grow their network in Latin America.

Now, they have officially announced a partnership with S?o Paulo based financial advisory firm, Nordic Brazilian Capital.

Over the past decade, Brazil's banking market has undergone significant changes, leading the way in financial inclusion in Latin America - innovative fintech companies, digital banking, and central bank-led initiatives have provided banking for millions of people who were previously unbanked.

However, with an economic slowdown looming and digital newcomers gaining ground, traditional banks in Brazil are facing increasingly difficult times, and now need to optimise the use of interest rates and fees to offer sharper and differentiated pricing to increase profitability, competitiveness, financial inclusion, and better standing with supervisors.

This is where AQRisk comes in - since presenting their first solutions to the market in mid-2018, the fintech has specialised in enabling progressive banks of all sizes to operationalise their risk-return requirements through dynamic, differentiated, and improved cost- and risk-based pricing.

Through the delegation and further market analysis, the start-up was able to pinpoint four dynamics in the Brazilian banking market that call for further optimisation: high interest rates, high levels of competition, strict regulatory requirements, and a large population of unbanked individuals.

In order to allow AQRisk access to the market in order to implement these optimisations, Nordic Brazilian capital – which was founded to help Nordic companies achieve the most cost-efficient capital structure when entering and operating in the Brazilian market - has decided to help them with their entry into LATAM.

- At Nordic Brazilian Capital, we fully agree on this analysis, and we see great opportunities for partnerships between Brazilian banks and AQRisk. We believe that both the traditional banks and the neo banks can benefit greatly from AQRisk’s solutions and expertise, states the company in a press release.

?- Brazil is a highly attractive market to us - not only does it represent a very large market – it is amid of a rapid digital transition with new tech-driven neobanks, and heavy development in new innovative fintech solutions with and within incumbent banks. I see AQRISK being a natural part of that journey - making it much easier for banks to improve profitability and optimize their banking business states Morten Virenfeldt, Founder & CEO of AQRisk in the same press release.