02101cas a2200241 a 4500 AALejournalIMF018922 230101c9999 xx r poo 0 0eng d 5.00 USD 9781484387566 1934-7685 BD-DhAAL BD-DhAAL International Monetary Fund. Monetary and Capital Markets Department. Brazil : Financial Sector Assessment Program-Technical Note on Stress Testing and Systemic Risk Analysis. Washington, D.C. : International Monetary Fund, 2018. 1 online resource (143 pages) IMF Staff Country Reports <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students The financial system has been resilient through the severe recession. Banks and investment funds dominate Brazil's financial system landscape. The banking sector has continued to be well-capitalized, profitable, and liquid. Profitability has been supported by prudent lending standards, high interest margins and robust fee income, despite record loan losses. Outstanding nonperforming loans have increased marginally during the recession largely because banks have actively written off bad loans. The investment fund industry has also been solid, enjoying a steady growth of assets under management without experiencing net outflows, in aggregate, during the recession. Market-based indicators point to relatively low levels of systemic risk in 2017. However, the outlook for the nonbank sector will become more challenging in the environment of lower interest rates, as lower returns will affect investment income and a search for yield may increase risk-taking. Mode of access: Internet IMF Staff Country Reports; Country Report ; No. 2018/344 Full text available on IMF http://elibrary.imf.org/view/journals/002/2018/344/002.2018.issue-344-en.xml IMF e-Library