InstitutionalPresentation1Q19

Agenda

2

History

Corporate Governance

Products

Funding

Ratings

History

3

FoundationPayroll Loan

BMG Card

• Beginning of the payroll credit card business

• Pioneer and benchmark in payroll loan in Brazil

PayrollLoan

Acquisitions

• Acquisition of 100% of Banco GE and Banco BCV

• Creation of Joint Venture with Itaúdedicated to Payroll Loans

JV with Itaú

Payroll Credit Card

Exclusive Margin

• Exclusive margin to operate payrollcredit cardin INSS

Help /Insurance

• Launch of the franchise network “help!”

Digital Payments

1930 90s-00s 20112005 20152012 20182016

• TheGuimarãesFamily creates the Banco de Minas Gerais, focused on individual and corporate credit

• Partnership with Generali

• Launch of the Full Digital Bank

• Acquisition of Granito -acquiring company

• Sale of BMG participation in the JV to Itaú

Corporate Governance

Corporate Structure

Ownership Breakdown Board of Directors

IM: Independent Member

4

Shareholders % ON % PN % Total

Flávio Pentagna Guimarães 0.0% 55.0% 11.0%

BMG Participações S.A 38.6% - 30.9%

Ângela Annes Guimarães 12.9% 9.0% 12.1%

Regina Annes Guimarães 12.9% 9.0% 12.1%

Ricardo Annes Guimarães 12.9% 9.0% 12.1%

João Annes Guimarães 12.9% 9.0% 12.1%

Antônio Mourão Guimarães Neto 4.7% 9.0% 5.6%

Other 5.1% 0.0% 4.7%

Total number of shares (million) 400 100 500

Board of Directors Position

Flavio Pentagna Guimarães Honorary Chairperson

Ana Karina Bortoni Chairperson (IM)

Ângela Guimarães Member

Antônio Mourão Guimarães Neto Member

José Eduardo Dominicale Member

Olga Colpo Member (IM)

Regina Guimarães Member

Ricardo Guimarães Member

Temporarily vacant Member (IM)

Banco Cifra

BMG Leasing

Banco BCV

99.99% 100.00% 100.00%

BMG Bank Cayman

100.00%

CB Intermediações

100.00%

BMG Participações em Negócios

BMG SegurosME

Promotora

BMG Soluções

Eletrônicas

94.50%

CMG Corretora de

Seguros

Cifra Financeira

80.00%

99.99%

99.74% 100.00%99.00%

Help Franchising

99.98%

65.00%

Granito

Corporate Governance

5

Management and control

Audit Committee

Asset and Liability Committee

Transparency and quality of information

Disclosure Committee

Credit analysis

Credit Committee

Definition of policies and actions to prevent

money laundering

Money LaunderingPreventionCommittee

Organizational culture

Remuneration, People and Governance Committee

Initiatives to improve protection, technology

and innovation

Information Security

Committee

Evaluates and addresses market, credit,

operational and liquidity risks and manages

capital

Risk and Capital Management

Committee

3 Monthly 3 Weekly 5 Quarterly 3 Weekly

3 Monthly 5 Quarterly 9 Weekly 3 Weekly

# of permanent members

Main Committees

DeliberativeCommittee

Full DigitalBanking

6

Client-centricityOne-Stop Shop and Client Lifecycle

Tech-enabled

Direct debitLoan

Insurance Investments

Payroll CreditCard

CheckingAccount

Full BiometricProfile

DataAnalytics

ArtificialIntelligence

Omnichannel

3.6 mm Clients

+2.0k Third-party bankcorrespondents

+58 NPS

539Stores

(1) Average in 2018 (considers business days)

InvestorSaver

Consumer &Precautionary

No-choice borrower

Traditional borrower

Partnerships

Customers with different needs impact the channel strategy and define the products

Banco BMG

CreditCard

DudaVirtual

specialist

62%73%

75% 75%

1%

3%

5% 5%

1%

2%

3%4%

18%

15%

13%13%

18%7%

3%3%

8,486 8,633

9,5139,853

2016 2017 2018 1Q19

Payroll Credit Card Direct Debit Loan BMG Money Wholesale Portfolio Run off Total

Credit Portfolio

7

Retail63%

Retail

Retail83%

1 Payroll loan, lendico, home equity and vehicles

1

PAYROLL CREDITCARD

TRADICIONALCARD

Credit bureau No Yes

Annuity / sign-up fee No Yes

Interest rate 3% - 5% p.m. ~11% p.m.

Maximum number of installments

Up to 96 months Up to 12 months

Delinquency (NPL) 3% 35%

Target - retirees, pensioners and public employees1

Endorsement of 5% to 10%2 of salary

Minimum installment directly discounted from

payroll

Important mean of payment

Stable and predictable default rate

Main features

FAVORABLE REGULATORYENVIRONMENT

New Central Bank measures to

reduce bank spread strengthen

payroll credit card

8

1990

Law 8.112:Payroll loan

Law 10.820/03:Payroll loan for CLT employees, Social

Security retirees and pensioners

2003 2005

INSS/DC 121: Payroll credit cardfor Social security

(INSS)

2015

Law 13.172/15 : Exclusive margin of 5% onthe payroll credit card for

Social Security retirees and pensioners and

government employees

2For municipal and states employees, the consignable margin of the card may vary, reaching up to 10%

Payroll Credit Card

Competitive Advantages

ROBUST LEGISLATION

1Market can also operate with private company

3.73.9

4.1 4.2 4.3

1Q18 2Q18 3Q18 4Q18 1Q19

Federal Government

risk1

7,316

6,5206,805

6,9287,120

1Q18 2Q18 3Q18 4Q18 1Q19

Payroll Credit Card

Number of cards

9

Frequency the card is used for purchases2

81.7%

Million

94.5% 94.7% 94.9% 94.7% 94.1%

1Q18 2Q18 3Q18 4Q18 1Q19

Portfolio Quality – E-H

R$ Million

3.7% 3.9%3.3% 3.1% 3.0%

1Q18 2Q18 3Q18 4Q18 1Q19

Portfolio

1Social Security (INSS) + federal government employees2Frequency in which customers used the payroll credit card for purchases in the last 12 months

51% of the origination

comes from clients who receive the INSS benefit

at BMG

38% of the portfolio

comes from clients who receive the INSS benefit

at BMG

Direct Debit Loan

Portfolio

R$ Million / p.m.

10

BMG is payer of Social Security (INSS) benefit

Higher efficiency when collecting installments

Lower default rates

Better credit appraisal

Higher cross-selling potencial

Greater bargaining power on agreements

Direct Debit Loan features

Portfolio Quality

Personal credit with direct debit from the customer checking account aiming financial reintegration;

Maximum term12 months

303 358

400 447

532

21.3% 21.1% 20.9% 20.7% 20.5%

-19,0%

-14,0%

-9,0%

-4,0%

1,0%

6,0%

11,0%

16,0%

21,0%

-

100

200

300

400

500

600

1Q18 2Q18 3Q18 4Q18 1Q19

Portfolio Interest rate

29.8% 28.5% 31.1% 32.9% 30.0%

18.3% 17.1% 17.1%20.3% 19.3%

1Q18 2Q18 3Q18 4Q18 1Q19

E-H portfolio Overdue installments over 90 days

74% of Direct Debit clients have BMG Payroll CreditCard.

158

216266

299

358

48 56 66 7792

0

20

40

60

80

100

120

140

160

180

200

0

50

100

150

200

250

300

350

400

1Q18 2Q18 3Q18 4Q18 1Q19

BMG Money (R$) BMG Money (US$)

Other Portfolios

Credit Portfolio

BMG Money

BMG Money is an independent company that operates inthe United States with focus on payroll loan for the publicsector employees throughout 27 states;

The transaction is reflected in Banco BMG throughparticipation agreements entered into between BMGMoney and BMG Bank (Cayman).

R$ Million

11

Run-off Portfolio

Credit PortfolioR$ Million

Portfolio Quality

5.5% 5.8% 5.6%6.7% 6.8%

1Q18 2Q18 3Q18 4Q18 1Q19

E-H Portfolio

Portfolio Quality

Banco BMG has the following run-off portfolios: payrollloan, Lendico, home equity and vehicle financing;

Represents 3.4% of total portfolio.

566520 479

432333

1Q18 2Q18 3Q18 4Q18 1Q19

12.4% 12.8% 15.1% 15.9%19.2%

2.9% 3.1% 3.6% 3.9% 4.7%

1Q18 2Q18 3Q18 4Q18 1Q19

E-H Portfolio Overdue installments past 90

12

R$ Million

Partnership with Generali

BMG CardCredit InsuranceAverage Ticket: R$ 100

Direct DebitCredit InsuranceAverage Ticket: R$ 92

September 2016, BMG and Generalisigned a 20-year exclusivity agreement for the sale of retail insurance products

in BMG’s distribution network

Mass Insurance

29

4944

48 47

1Q18 2Q18 3Q18 4Q18 1Q19

R$ 6 million in service revenue net of

commission expense in 1Q19;

Profit share (R$ 12 million in 2018);

Earnout after 2021;

Reduction of provision expense.

79% of penetration in the

Direct Debit portfolio

27% of penetration in the Payroll Credit Card

portfolio

Sources of income:

Life InsuranceAverage Ticket: R$ 31

Loss and TheftAverage Ticket: R$ 4

Partnership with high cross-selland up-sell potencial

Portfolio Penetration Issued Premiums Evolution

*Insurance is sold through CMG Corretora - BMG's indirect subsidiary

13

Means of Payment

Acquiring company focused on small business establishments located near help! stores and bank

correspondents

Microregionhelp!

Ecossystem

Bar

Beauty shopLocal shop

Gas station

Newstand Bakery

Construction store

In 2018, the Bank acquired 65% of Granito, with the purpose of bolstering its

product portfolio and increasing its capillarity with BMG's existing

distribution channels.

Complete retail ecosystem in Brazil: in addition to payment solutions, the Bank aims to offer complete banking

services for each establishment and their employees.

Complete Biometric

Profile

Asset Light Omnichannel

Third-Party Bank Correspondents

+2KCorrespondents

14KConsultants

539stores

One-Stop Shop

Digital Bank

User-friendly

Any time, anywhere, any device

+300Kdigital accounts

opened

14

Long history of partnership with BMG

+210Ktraditional cards

Points of SaleWhite Label

partnership with soccer clubs

Franchises network with culture of being fair with customers

1.1 new store per dayin 1Q19

641 537 507 469 439

-

200

400

600

800

1.000

1Q18 2Q18 3Q18 4Q18 1Q19

637 658 686 747

875

1Q18 2Q18 3Q18 4Q18 1Q19

Wholesale Portfolio

CompaniesStructured Operations

Portfolio Quality

15

R$ Million R$ Million

30.9%37.0% 35.2% 32.8%

25.5%

11.0%18.1% 17.9% 14.8%

9.3%

1Q18 2Q18 3Q18 4Q18 1Q19

E-H Portfolio Overdue Installments over 90

1.8% 1.5%1.0%

1.5%

2.3%

0.2% 0.1% 0.1% 0.1% 0.2%

1Q18 2Q18 3Q18 4Q18 1Q19

E-H Portfolio Overdue Installments over 90

The portfolio consists of structured operations for bankingcorrespondents and soccer clubs, with collateral thatmitigates the issuers' risks.

The Companies portfolio is composed of financing and ofstructured financial services for medium and largecompanies.

Credit Portfolio Credit Portfolio

Portfolio Quality

BMG Seguros

Created in July 2016, BMG Seguros is an insurance company focused exclusively on the Surety Bond

Segment.

Company belongs to Banco BMG;

Target Audience: Corporate & Large-

Corporate;

Main modalities: Bid Bond, Performance

Bond, Judicial Guarantee, Guarantee of

Payment.

Written Premiums 1Q19: R$ 72 million

Retained Premiums 1Q19: R$ 34 million

Net Income 1Q19: R$ 0.2 million

Financial HighlightsBMG Seguros

16

4th largest insurer in the country in theSurety Bond segment1

1Source: Susep – February 2019

Board Members Position

Temporarily Vacant Chairperson (IM)

Leonardo André Paixão Member (IM)

Marcelo Maziero Member (IM)

Board of Directors

IM: Independent Member

Diversified Funding

17

55%

70%76% 77%

24%

14%

13% 13%

12%

8%6% 6%

6%

5%3% 2%

4%

2%1% 1%

10,215

11,93912,354 12,234

2016 2017 2018 1Q19

Deposits External Funding Credit Assignment + Securitization Financial Bills Other Total

Time deposits

43%

Time deposits

77%

+135k direct and indirect retail

investors

+50brokers anddistributors$

1. Considers CDB with the Market2. Funding started in April 2019, therefore not reflected in the 1Q19 financial statements

1 1

+R$ 87 millionPerpetual and Subordinated

Financial Bills2

13.2%

15.7%

19.0%

22.7%

5.6%

9.7%

12.9%14.8%

2016 2017 2018 1Q19

NIM NIM adjusted to cost of credit

+9.5 p.p.

+9.2 p.p.

% per year

18

Profitability

Margin Evolution

1) Methodology: interest margin + Income from services rendered / average interest-earning assets.

2

2) Methodology: interest margin after loan provision expenses net of recovery and agents commission + Income from services rendered / average interest-earning assets.

1

Main Indicators

19

Financial Highlights (R$ Million) 1Q19 4Q18 3Q18 2Q18 1Q18

Net Income - Recurring1 99 61 77 67 53

Net Income 77 40 55 45 31

ROAE - Recurring1 17.2% 10.4% 13.1% 11.7% 9.5%

ROAE 12.1% 6.0% 8.3% 6.9% 4.9%

ROAA 1.8% 0.9% 1.3% 1.1% 0.8%

Basel Index 12.4% 12.4% 13.1% 13.9% 14.1%

Net Interest Margin 22.7% 22.6% 20.2% 19.8% 18.9%

Efficiency Ratio 50.6% 45.6% 54.3% 52.3% 52.8%

NPL2 – E-H Portfolio 6.0% 6.6% 6.7% 7.2% 7.0%

NPL3 – Overdue installments 3.6% 3.9% 3.9% 4.5% 4.0%

Balance Sheet (R$ Million) 1Q19 4Q18 3Q18 2Q18 1Q18

Total Credit Portfolio 9,853 9,513 9,265 9,096 8,824

Retail Portfolio4 8,206 7,866 7,593 7,380 6,980

Wholesale Portfolio5 1,314 1,215 1,193 1,196 1,278

Run-off Portfolio 6 333 432 479 520 566

Total Assets 16,830 16,938 16,959 16,170 16,148

Shareholders’ Equity 2,673 2,640 2,757 2,701 2,635

Total Funding 12,234 12,354 12,489 11,852 11,822

1) Recurring Net Income and ROAE, excluding the effects of goodwill, see "Net Income and Profitability“ in the Earnings Release.2) Methodology: Portfolio classified by E-H/Total Portfolio, including overdue plus falling due installments.3) Methodology: Installments overdue more than 90 days/Total Portfolio. 4) The retail portfolio includes Payroll Credit Card and Personal Credit.5) Wholesale portfolio includes structured operations and companies6) The run off portfolio includes the payroll loan, Lendico, vehicles and home equity loan.

Ratings

20

Agency Date Rating Perspective

FITCH January 2019

Local currency A- (bra)

Stable

Foreign currency B+

Moody‘s March 2019

Local currency Baa2.br

Stable

Foreign currency B1

RISKbank May 2019 9.85Low Risk Medium

Term 2

21

Contact & Disclaimer

INVESTOR RELATIONS TEAM

Tel.: +55 11 3067-2048

ri@bancobmg.com.br

www.bancobmg.com.br/IR

We make forward-looking statements that are subject to risks and uncertainties. These statements are based on the beliefs and assumptions of ourmanagement. and on information currently available to us. Forward-looking statements include statements regarding our intent. belief or currentexpectations or that of our directors or executive officer.Forward-looking statements also include information concerning our possible or assumed future results of operations. as well as statements preceded by.followed by. or that include the words ''believes'' ''may'' ''will'' ''continues'' ''expects'' ''anticipates'' ''intends'' ''plans'' ''estimates'' or similar expressions.Forward-looking statements are not guarantees of performance. They involve risks. uncertainties and assumptions because they relate to future eventsand therefore depend on circumstances that may or may not occur. Our future results and shareholder values may differ materially from those expressedin or suggested by these forward-looking statements. Many of the factors that will determine these results and values are beyond our ability to control orpredict.