Paulo Machado of C6 Bank: The energy to get to the top – and start again

“Sometimes you just think about the final challenge and struggle along the way, however, the construction path should be more pleasant. Most of life is the path. You are supposed to have fun along the way, celebrate each accomplishment.”

Paulo Machado

In 2009, a dozen BTG partners—scattered in buildings in Rio de Janeiro and São Paulo—had been in a videoconference for hours trying to reach a crucial decision for the bank, which had recently been acquired by UBS. Paulo Machado, the only non-partner participant, had an idea that could resolve the roadblock. “I had figured it out,” Machado recalls. “Someone said, ‘That means you’re thinking like a partner.’ So, I raised my hand again and said I also wanted to become a partner.

Machado says that moment changed his career. “I belonged to a generation that wanted a job; at that moment, I became an entrepreneur and a partner—even though I didn’t have the formal position yet. I moved up to the next level.”

That event sped up the promotion, which Machado says would have happened anyway. “I have always believed things happen at the right time. It’s important to do your part: get ready, study, develop interpersonal relationships—and let things happen.” The beginning of his own career is an example. At 23, Machado had finished a degree in Economics and completed a post-grad program in capital markets when he was invited to a selection process at Banco Pactual, which he was unable to attend. Almost four years later, a new opportunity came up at the very same Banco Pactual (now, BTG Pactual). By then, working as a consultant had solved his shyness and allowed him to learn how companies in different economic sectors worked. It was his “right time.”

A very busy sabbatical

In two decades at BTG, Machado had myriad experiences (and almost as many bosses) in BTG’s fast-paced environment and worked with different teams. At the end of 2016, he thought he had completed his cycle in the financial markets and, in an attempt to slow down a bit, became an advisor. “But, since people knew I had more free time, they started inviting me to join different projects,” he remembers. He sat on different boards, became a member of the governance committee at the Rio de Janeiro Board of Trade, began teaching at the Stock Exchange and became a professor at Fundação Getúlio Vargas, a prestigious business school in Brazil. “I had always been such a workaholic and suddenly I had too much free time on my hands…I just got busy [again].”

Machado would soon become even busier, with his sabbatical year ending in less than six months, when his ex-boss, Marcelo Kalim, invited him to found the C6 Bank. “When he told me about this project, I thought: yes, a retail bank is a completely different animal—unlike anything we’ve ever done. We will begin to study new things,” he recalls. In a little more than two years, the bank went from zero to 3.5 million clients without a single brick-and-mortar branch. Everything is done via the app.

Machado accepted the new challenge, but kept all the other commitments. This new routine, which also included working in São Paulo from Monday to Thursday and hopping on a plane to work from Rio on Fridays, was largely driven by Machado’s admiration for Kalim. “He has gone beyond any measure of professional and financial success. Anyone would just go live on the beach—any beach on the planet. But not a true entrepreneur like Kalim. He just stepped out of his comfort zone to start a retail bank.”

If Kalim was going all in, putting his wealth, experience and effort into the project, how could Machado not follow suit? It meant working in a new area; also, starting a business in a consolidated market in Brazil required a new mindset. For example, instead of the usual “uniform suit” with a blue or white shirt and a fancy office on Faria Lima Avenue—São Paulo’s Wall Street—Machado and Kalim were working in Jardins, a fancy but low-key residential neighborhood, wearing jeans and sneakers, just like their technology-savvy staff. “If we didn’t let go of our preconceived notions, we wouldn’t have been able to build that new concept we had in mind,” Machado says.

Balance between efficiency and joy

Dealing with new generations means learning. “They are not here for the money,” Machado believes. “Their interest is in the projects. And our challenge is to keep their motivation.” His advice for this generation: enjoy the journey. “Sometimes we focus too much on the final goal and forget we should enjoy the journey itself. What does a climber do when he reaches the peak of a mountain? He climbs down. Life is mostly about the journey anyway, so you should have fun while you pursue your goals and celebrate each accomplishment.”

Machado wishes that someone had told him to believe in himself and fear nothing when he was younger. “I have suffered many times and had many doubts. There is no need to suffer, just engage yourself with a lot of study effort; seek innovation. I’m not just talking about formal education—be a self-taught person, learn from other professionals. Knowledge drives you to success. But none of this will matter unless you have the inner strength to believe in yourself and your purpose in life,” he concludes.

Likewise, he says you must dream big, dare and aim to do the best—working to keep the professional environment pleasant and collaborative. “You really have to commit to your goals, but keep it light at the same time. You don’t have to become stern to be efficient. But, you can’t be playing around all the time either. It’s all a matter of balance.”

Machado believes that to build high-performance teams, which can maintain a nice and efficient work environment, accessing people’s potential might be more important than identifying their competencies. “Sometimes people aren’t ready yet, but the potential is there,” he says. This perspective leads to diversity. “For me, everybody is equal—there is no difference regarding gender or skin color or sexual orientation or profession. I have always sought to build teams with different characteristics and skills.

Keeping focused and making fast decisions

In almost three decades, Machado has witnessed and been part of several inflection points in the Brazilian market. For example, when Luis Inácio Lula da Silva was first elected president in Brazil, most companies feared a rupture in the market; or the major depreciation of the U.S. dollar in 1998, which bankrupted several companies; or the dramatic consequences of Operation Car Wash in the business sector. However, he believes that the technological revolution is the most important one. “Today, technology means having better products faster, and the whole world is moving in this direction. The Brazilian financial market is especially good,” he says.

His professional experience has strengthened his belief in the importance of finance. “Banks are always hit hard by whatever happens in the political arena. It’s great, but often challenging, to have to make very fast decisions—more credit, less credit.” The pandemic is another example. “We have had to make decisions and occupy some empty spaces. Making fast decisions is a good thing about the banking sector, but it demands much more focus.”

This draining routine makes Machado miss nature. “When I was little, I loved to be on the beach with my friends. I should have enjoyed it more,” he says. Therefore, he tries to make the most out of his weekends in Rio de Janeiro. “I recharge my batteries when I’m in nature. I love tracking and going to the beach.” He also loves meeting his friends. “I talk a lot, but I also like to listen to people and learn from different ideas and experiences.”

This attitude has helped him build an extremely successful career and given him the energy to start from the beginning again when the project calls for it.

Disclaimer: The views and opinions expressed in this blog are those of the authors and do not necessarily reflect the official policy or position of Bloomberg.

Bloomberg invited the GETTERS of the financial market in Latin America to share their insightful stories about their careers, their success stories and the challenges they had to face while not only witnessing the development of this fast-paced environment, but actively contributing to its evolution by creating new tools, sharing best practices and inspiring change.