Good afternoon, ladies and gentlemen, and welcome to Caixa Seguridade's video conference to discuss the results for the Q4 2023. This video conference is being recorded, and the replay can be accessed on the company's website at www.ri.caixaseguridade.com.br. The presentation is also available for download. Please be advised that all participants will be in listen-only mode during the company presentation, and in doing this, we will begin the Q&A session when further instructions will be provided. Before proceeding, I would like to emphasize that the forward-looking statements are based on the beliefs and assumptions of Caixa Seguridade's management and the current information available to the company. These statements may involve risks and uncertainties since they relate to future events and therefore depend on circumstances that may or may not occur.
Investors, analysts, and journalists should understand that events relating to the macroeconomic segment and other factors may cause results to differ materially from those expressed in the respective forward-looking statements. Present at this video conference are Mr. Felipe Montenegro Mattos, CEO of CAIXA Seguridade, and Mr. Eduardo Costa Oliveira, Finance and Investor Relations Director for the company. I would now like to turn over the floor to Mr. Felipe Mattos, who will begin the presentation. You may proceed, sir.
Good morning, everybody, and thank you for attending our earnings release for the Q4 2023. I am Felipe Montenegro Mattos, the company's CEO, and with me I have Mr. Oliveira. Today we're going to present the results for 2023 with a great deal of pride. We begin on slide three with the main highlights of our strategic implementation for the year 2023.
Initially, it's important to underscore that the results are due to the strategic alignment with the bank, allowing opportunities created by the largest banking distribution. The exclusive access, the customer base, and the brand CAIXA represent our greatest strength and pride. The bank has the greatest banking distribution network in Latin America, present in almost all Brazilian municipalities. We have 26,000 points of service, and we also have correspondence. We have 105 million clients, and CAIXA has 87,000 employees. The second highlight goes to the new products we launched during the year. We launched a low-income thing, and we count upon the payment of installments. We have credit letters, life insurance, and assistance service, and we also work with charity institutions. We also have new life insurance geared to specific areas: premium bonds and private pension.
Residential insurance has four new products, allowing the customer to choose the products that better serve their needs. We have also expanded the channel to market our products. We have an assistance product that is an assistance focused on microentrepreneurs, and we privilege having digital journeys with movements that allow for purchasing and the formatting of products that will serve different needs. In 2023, we acted towards enhancing the experience not only of customers but also of those selling our products. On this front, for example, we launched a portal of relationship for credit letter areas, and the client and the seller during the process can see what is happening. We can also sell new life insurance, something that is more flexible, more incisive, allowing for the contracting of insurance. We go on to the next slide to speak about the main highlights of 2023.
An important highlight is the efficiency gain of our business. Last year, we made several significant strides in this direction. Besides Caixa Residencial, that concluded the process of bringing activities in-house, as we mentioned formerly, the other companies in the group have absorbed their outsourced processes. We're speaking of back-office activities, profitability, taxation, risks, compliance, and human resources. Now, bringing in all of these processes allows us to have a better management over investees, and we can also capture gains in scale. Besides enhancing our operations and the results of the company, the administrative expenses presented 0.5% of improvement during the period. Another point to which we have devoted our attention refers to qualification and engagement of our employees and in the sales force. In 2023, the sales force training focused on products, customer, and market knowledge. They reached more than 84,000 participations among employees and partners.
Now, these actions allow us to identify sales opportunities not only for our products in a much more efficient way. We have created products geared to our audiences that did not have formatted or adequate solutions for their needs. We're referring, for example, to products that are geared to the female audiences with coverage for the diagnosis of ovarian, uterus, and breast cancer, gynecological consultations, legal advisory, shelter in the case of urgencies. We have Previ Mulher, Rapidex Mulher, and another consortium as well. Now, in terms of environmental, we adhere to the Brazilian GHG Protocol Program operated by FGV. We are working on greenhouse gases and making our data available publicly, and we have received the Gold Seal, which attests to the high level of our work.
We have worked jointly with the investees so that they can structure the emission of gases, and we're working with assets in several areas of the company with the goal of debating, analyzing, and fostering social, environmental, and climate issues, which are very important. We held two important events on this workshop for the innovation of products and a sustainability seminar geared to all of the employees of the company as well as those of investees. We're trying to foster critical, innovative, and strategic thinking on new sustainability practices in the market. We're now going to speak about our commercial performance for the year, and I begin with some figures that refer to the purpose of CAIXA Seguridade, which is to guarantee a safe future for our customers. At the end of December, we had 6.6 million lives insured, including life and credit life, 1.7 homes secured by home insurances.
We also had other benefits. We reached BRL 155 billion in pension reserves and more than BRL 24 billion in credit letter inventories, making the customer's life more customer. Now, to continue on life insurance, now we had BRL 2.4 billion in written premiums, and it presented its best historical performance with a growth of over 12% vis-à-vis 2022. These results were leveraged by the single payment policies with a growth of 42% vis-à-vis the previous year. Now, in mortgage, we had BRL 3.2 billion in written premiums for 2022, a growth of almost 10% vis-à-vis 2022. This is due to a growing volume of our balance and portfolio, and this has an effect on the emission of new premiums, and it offers us a consistent and stable growth curve for premiums.
Home insurance, we had BRL 800 million in written premiums with a growth of almost 6% a year, thanks to the tool that we have for rapid quotation and enabling us to make the most of the opportunities to sell this; credit life with BRL 2.2 billion issued in 2023 with a growth of 5% vis-à-vis 2022. This was geared to companies and payroll credit. Premium bonds reached BRL 1.4 billion in funds raised, a growth of almost 93% vis-à-vis 2022. We're referring only to the operations of the new company that began to operate at the end of 2021. After two years of operation, it has reached the same funding levels that we had previously, and the highlight is for the monthly payment with a growth of almost 120% vis-à-vis 2022, representing 60% of what we raised during the year.
In credit letters, we had an increase of 33% in credit letters, reaching more than BRL 15 billion. We sold more than BRL 500 million credit letters only on Black Friday, something truly historical. Now, this reflects the success of this new partnership after we reformulated our product portfolio and the journey of customers. Now, this enables us to deliver goods to the population. We have 6-3 days in our work and 12 to less than 10 days in real estate in our operations. Now, in a summarized way, we would like to present our financial performance based on this exercise. The results of CAIXA Seguridade are based on the new accounting standard, IFRS 17, to substitute the CPC 11 or CPC 4. Now, SUSEP and others have not adopted this new standard for entities that are regulated by these autarchies.
It is the former regulations that are still in force, the IFRS 4. We're going to continue to disclose results with the accounting base adopted until 2022 to maintain a system of comparability, and Eduardo will expand more on this in his presentation. To the left, we have a comparison of accounting profits that reached BRL 3.6 billion, an increase of almost 20% vis-à-vis last year. Managerial net income, which is a maintenance, went beyond BRL 3.5 billion, 19% above the results of 2022, and this reflects the results of the commercial, operational, and financial performance during the year. Therefore, we had an ROE of more than 16%, an increase of 12% of points in a year. Finally, when we speak about the value distribution to shareholders, we had a valuation of 60% considering dividends with an improvement in the average daily traded volume.
For the first time, we had a select group of the most negotiated shares on B3. This does not represent that we will be part of the index of the most negotiated shares, and we have been included in the MSCI index of Brazil because of this new rebalancing, and this will come into effect as of March 1. As our release informed you last night, we have approved the payout of dividends for March that will be submitted to the ordinary General Assembly with a distribution of BRL 1.65 billion, referring to the second half of 2023. If we consider the dividends already paid out, we will reach a distribution of 90% of adjusted managerial net income for 2023, totaling BRL 3.15 billion paid out to you shareholders.
I would like to give the floor to Eduardo Oliveira to continue with the presentation to speak about financial and commercial performance for 2023. Good news, isn't this, Eduardo?
Doubtlessly. Thank you, and a good day to all of you. In greater detail, I will speak about the performance of the company. We have already spoken about this topic, and beginning with this exercise, CAIXA Seguridade will disclose its results according to the IFRS 17, substituting IFRS 4. SUSEP and the ANS will not adopt the new standards, so for insurance companies regulated by these autarchies, closure will be based on IFRS 4. Now, additionally to IFRS 17, we will use the accounting standard adopted until 2022, the IFRS, which we will call the managerial results. Here you see the effects of adopting this in the company for 2023.
Net income managerial of BRL 3.4 billion will go on to BRL 3.5 billion, an adjustment of BRL 80.3 million between the two accounting standards. From the viewpoint of the holding, the difference between two approaches is only important for investments and company partnerships. We focus on the three main participações: Caixa Vida e Previdência, and the difference is due to products that are no longer sold. Traditional, life plans and pension plans in Caixa Residencial have a positive impact of BRL 87 million, thanks to the premiums and coverage allied to a growth of the, housing insurance and CNP Holding, the BRL 46 million. Once again, this is due to our housing insurance, of course, with lower amounts because we're speaking of a runoff portfolio.
All the presentation from here onwards, when we speak about the holding or when we analyze the results and operations of the insurance companies, will continue to refer to the standard applied by SUSEP and ANS, that is to say IFRS 4. In slide number four, we show you in a summarized way the financial performance: operating revenue amounting to BRL 4.6 billion grew 26.4% vis-à-vis 2022, and of this total revenue, 56.5% comes from the company participations, a growth of 33.4% between the accrued figures of 2023 and 2022. We highlight Caixa Residencial, Vida Previdência, and others. The other 43.5% of operating revenues come from revenues from commissioning that here represent brokerage fees, with a growth of 18.2% during the year, with a highlight for revenues coming from premium bonds and housing.
The managerial net income reached an amount of BRL 3.5 million, the best historical performance of the company, a growth of 18.6% vis-à-vis 2022, and in the recurrent vision that does not consider gains with investment, a growth of 26.3% between 2023 and 2022. ROI reached 66.2%, surpassing by 11 percentage points the figures for the Q4 2022 and 15.8 percentage points vis-à-vis the Q3 of 2023 due to the dividend payment that happened in the last quarter last year. On slide 10, we show you the commercial performance of the insurance business in written premiums. We had growth in all strategic businesses when compared to the Q4 2022, with a difference of 8.5%, with a highlight to mortgage and life.
Now, in the Q4, we had relevant growth for all of our strategic branches, 21% more than the Q4 2022 and 4.5% compared to the Q3 of 2023. In life, we had the best historical performance for the third consecutive quarter, BRL 600+ million. Regarding premiums earned, we had 9.3% in the comparison of 2023 and 2022, and the Q4 had a growth of 5.5% compared to the Q4 2022 and 1.3% compared to the Q3 2023. On screen number 11, we have some indicators for operating performance and enhancement in loss ratio due to the reduction of notifications of lenders and in mortgage, and a reduction of the indicator between 2023 and 2022 is due for a reduction in the loss ratios in mortgage and life.
Now, commissioning is influenced by the adjustment for previous periods, representing BRL 30 million in the Q4. If we don't take into account this one-off effect, the indicator would be 21.3% for the Q4 and 21.2% for the entire year, in line with the levels of previous years. The operating margin for 2023 grew 17.4% vis-à-vis 2022. In the quarterly vision, there was a growth of 19.5% with the Q4, Q3 2023, and 0.5% compared to the Q3 2023. Now, this in the total operating margin for insurance, mortgage is responsible for 48%, followed by life with 27%, credit life 16%, and home 8%. Now, if we continue on slide 12, we see the performance for accumulation business.
Now, in the makeup of the accumulation business, private pension represents most of the resources raised, with an increase in credit letters from 2 to 8, and in premium bonds, we went from 2 to 5. In the case of private pension reserves, reached BRL 155 billion at the end of 2023. During the year, the highlight is to the expansion of auto services and better services for individual persons. Besides the resources collected, we had 149% growth between the Q4 2023 and Q4 2022. This is when we launched our credit life and the new relationship portal that took place in 2023. The funds raised grew 93% compared to 2022, and this performance is due to maintaining a focus on this product during the year. We will now go on to slide number 13 to speak about the accumulation business.
First segment, we begin with the private pension plans and the contributions received from private plans and the risk premiums. They had a reduction of 18.9% between 2023 and 2022, a performance mainly impacted by an increase of competition in the distribution system of CAIXA. Besides the premium bonds that have new and more sophisticated private credit, we had the launch of Previ Mulher. We offered auto services for companies, a development to enhance the journey of our employees, and all of these enhancements are reflected in the growth of reserves. Now, besides the resources in premium bonds, we have reserves that went beyond BRL 1.5 billion at the end of 2023, a growth of 154% vis-à-vis 2022. In letters inventory, we had a volume higher than BRL 15 billion, a growth of 33.4% vis-à-vis the previous year.
For the quarter, there was an increase of 33.2% in credit letters compared to 2022. So, our inventory reached BRL 20.4 billion in the Q4 2023, 95% higher than the inventory of the previous year. Now, on screen 14, we can see the growth of 33.1% of operating revenue for the accumulation business between 2023 and 2022, with a growth for all segments. In the Q4, the growth was 23.9% vis-à-vis the same period in 2022 and 1.5% vis-à-vis the Q3 2023. Now, pension plans continue to be very important, and here we consider all of our sales and the contribution revenues of PGBL. We had a growth of 24.4% vis-à-vis 2022, and for the entire half semester, there was a growth of 16.9% compared to the same period in 2022.
We have BRL 2.1 billion for accumulation, representing 24% of total operating margin in the segments where CAIXA is active. In slide number 15, we will speak about our distribution business. Well, regarding the brokerage revenues, we have a highlight for premium bonds with 89% and a growth of 48% for credit letters in annual comparisons. Totally, there was a growth of 18% in 2023 and 27% between the Q4 of 2023 and the Q4 of 2022. The commissioning paid 69% represents the growth margin of the brokerage company, and the rest was destined to the fees of CAIXA. And here we increase all of the values that are paid directly by the CAIXA insurance, while in all of the other branches, the commissioning is paid to the insurance that then transfers these fees to the bank. Operating margin of BRL 1.6 billion grew 16.4% vis-à-vis 2022.
Of this amount, 82% comes from insurance brokerage. In the Q4 2023, there was a growth of 31.2% vis-à-vis the same period in 2022 and 4.7% vis-à-vis the Q3 2023. Now, the representativity distribution businesses kept their level of participation at 28% as it was in 2022. We get to slide number 16, where we have important operating indicators. Administrative expense ratios had an improvement vis-à-vis 2022, with a reduction of 0.5 percentage points, with a gain of efficiency in the new partnerships. The indicator grew 0.2 percentage points vis-à-vis the Q4 2022 and also grew vis-à-vis the previous quarter. Now, this variation is due to one-off expenses that refer to a change of headquarters at CVP and accounting reclassification and labor contingencies at the CNP holding.
If we disregard these non-recurrent effects, the indicator for the Q4 2023 would have been 10.4%, the Combined Ratio for 2023, and an improvement of 3.7 percentage points compared to 2022, thanks to the increase of revenues from insurance and the new partnerships and the reduction of the Loss Ratio between these periods. For the half of the year, there was pressure, a one-off pressure of the Loss Ratio, as was mentioned before. In the recurrent vision, if we don't consider these one-time adjustments, the Combined Ratio would have been 54.5%. Now, the expanded Combined Ratio had an improvement of 5.4 percentage points between 2023 and 2022, and in the Q4 2023, this indicator had a drop of 2.5 percentage points compared to the Q4 2022 and an increase of three percentage points vis-à-vis the Q3 2023.
Now, if we consider non-recurrent events, the Q4 2023 would have had a result of 48.1% without these one-off effects, which of course points to stability in these indicators. Now, to conclude with slide number 17, where we have the operating and financial results without taxes and considering the participation of Caixa Seguridade. Now, when we compare the financial results, the financial result had a nominal growth of 52.8% compared with 2022, thanks to the combination of an improvement in profitability and an increase in the portfolio volumes. The financial result was responsible for 31% of recurrent managerial profit, a growth of 5.3 percentage points vis-à-vis operating profit between the years 2023 and 2022, showing an increase in profitability. To the right, we have the investment portfolio. Besides the holding portfolio, we have the portfolios of each investee weighted by our stake.
In December 2023, we had a growth of 16.1% vis-à-vis 2022, maintaining the same level as September of 2023 of BRL 12.5 billion in financial investments. 45% were applied in post-tax securities, 39% in pre-tax, and 4% in other types of funds. The total profitability of the portfolio for the last year was 11.8%, corresponding to 90.1% of the return of CDI. With this, I would like to end the presentation of results for 2023, and we will now go on to the question and answer session. Thank you very much. Thank you. We will now go on to the question and answer session for investors and analysts. Should you wish to pose a question, please click on Raise Hand. If your question has been answered, you can withdraw from the queue to lower your hand.
Should you wish to pose a question through Zoom, write in your name and company in the Q&A field. Our first question comes from Pedro Leduc from Itaú BBA. We have unmuted your microphone. Good morning, everybody. Thank you for taking my question, and of course, congratulations for the year. A more prospective question when we look towards 2024 in terms of premium, written premium, and how you're thinking about the components of your results between the brokerage, insurance, the financial part. If we can perhaps, if you could share with us your vision. We know that you are in a stage of transition. If you could share more information, we would be very satisfied.
Hello, Pedro. This is Felipe, and thank you for your interest and for the question. I'm going to speak very generally, and then Eduardo can complement with the information you requested.
As we're working on the banking credit, credit is essential to our business. One of the main drivers is the distribution network of Caixa that has more than 105,000 customers. Now, this is favorable to increase the penetration of our products, and we can streamline our products, enhance the customer experience on the different relationship platforms. We're optimistic because of the drop in interest rate, a greater share in credit, especially commercial credit for individual persons. There was a growth in cross-sell and in other areas. We have had an exceptional growth in mortgage, and we hope to maintain these levels in 2024, favoring our premium written premium curve. We can also sell products with higher added value linked to multi-markets with a better managerial rate. Now, since the last quarter of 2022, we were following up on what was happening, and we had an expectation for improvement.
So, we're occupying this space and hope to have, of course, better fundraising. Good morning, Leduc. Very good to talk to you. I think Felipe has given you a very encompassing view of everything. Now, the effects of the more positive scenario for credit, a scenario where the drop in interest rate should have a positive influence on our business in CAIXA Seguridade. We begin, we believe that the written premiums will be benefited throughout 2024. 2023 was already positive, and based on this scenario, we believe that this dynamic will continue throughout 2024. While lending was somewhat weaker, and we hope that it will improve in 2024.
Now, private pension, the issues relating to funding in CAIXA continue to be an important challenge for the bank, but we believe that throughout the year, with a reduction in interest rates, this scenario will improve and allow us to recover some of the lost ground in private pension. Now, the effect of this dynamic is a positive brokerage if we can issue more premiums along with an increase in the growth contributions for private pension. This will also have a positive effect in our brokerage fees. As mentioned, we are optimistic with 2024. We believe it will be a positive year for CAIXA Seguridade.
Well, thank you. Thank you very much. Our next question comes from Caio Prato from UBS. Your microphone has been unmuted. You may proceed. Good morning, everybody. Good morning, Felipe and entire team. Thank you for taking my question.
My question is a follow-up of Leduc's question. First, we're referring to credit lending. If you could give us more detail on the type of movement that you foresee in the banking channel, if you have a more tangible example that you can share with us so that we can understand why you will have a better year and speak about the performance in the first days of this year. Secondly, a question about your financial results. You had changes in the portfolio towards 2023, especially in mid-year. How did you close the year 2023 and your expectations for the year 2024 in terms of nominal results and allocation, thanks to the interest rates as well?
Thank you. Good morning, Caio. I'm going to answer the two parts of the question. What are we seeing in terms of lending throughout 2023?
We had a weaker issuance of premiums, weaker than we would have liked for credit to individual persons. This was partially offset by the credit to the corporate area. We believe that in 2024, the reduction of interest rates will bring about a positive wave, especially for payroll credit. This will probably be the most, the most important driver for growth in 2024. Now, in terms of credit for micro and small companies, this continues to be positive and should continue bringing in positive effects. As you can perceive from the viewpoint of credit to individual people and credit to corporations or small companies, we understand that the dynamic will improve in 2024 vis-à-vis 2023. Yes, as you mentioned, we had relevant changes in the portfolio throughout the year.
We were able to have a good turnover in the pre-tax securities, expediting the portfolio, and this has brought about results that were visible in the second half of the year and, of course, in the last quarter. For this year, we don't expect significant changes in the makeup of our portfolio. What you saw at the end of December should remain throughout 2024. When we look at the practical effect of this makeup, with that natural expectation that there will be an increase of balance at the end of the year, we believe that the nominal result in 2024 will be greater than 2023 if the interest rate persists.
What we will lose in terms of profitability in the post-tax part of the portfolio should be offset with a better average yield of the pre-tax portfolio, giving us a financial nominal result that will be slightly higher in 2024 vis-à-vis 2023. Thank you, Edu. That was very clear.
We would like to remind you that should you wish to pose a question, please click on Raise Hand. If your question is in writing, please write your name and company in the Q&A icon. Our next question is a written question from Mr. Ailton Díaz. He says, "Good morning and congratulations for your results. Do you already have a definition in terms of the distribution of payout four times a year? Distribution of dividends."
Good morning, Ailton. CAIXA Seguridade is fully aware of how important the change of periodicity of the payment of dividends is.
This is important for our shareholders. In the Q3, at our earnings release, I received a very similar question, and I stated that we would be ready to send a proposal to governance for 2024, and I maintained this position. And doubtlessly, we will have a novelty on this issue. During the earnings release in the Q1 of 2024, our board yesterday approved the payout of results for 2023: BRL 1.65 billion equivalent to 90% of profit. And this, of course, will have to be approved at the ordinary assembly at the end of May. So, once this approval is done and once we conclude the dynamic of results of 2023 in-house, we will discuss the dynamic for the results of 2024.
I have, I have just mentioned that we will have a definition and disclosure to the market, when we conclude the release of results for the first half of the year.
Our next question comes from Mr. Daniel Vaz from Safra. Your microphone has been unmuted. Good morning. Thank you, Felipe. Thank you, Edu. Congratulations for your results. I would like to refer to the new restrictions in the use of LCI that could limit the appetite of banks for real estate credit. Which is your vision for this CAIXA vis-à-vis this topic? And if other banks could benefit from origination via CAIXA, would this increase the appetite of banks, and would this be important for you?
Good morning, Daniel. Well, in fact, that question, CAIXA would be in a better situation to respond to this.
What we see here from the holding as part of the CAIXA ecosystem is that it is a challenge for CAIXA. Mortgage is the core of the bank business, one of the core businesses of the bank, and the funding equation, of course, is very important for the bank's strategy. These restrictions are being analyzed by Caixa Econômica. We're assessing the type of effect that this could have in the funding composition for mortgages or real estate funding. Now, if we think about the effects for CAIXA Seguridade from the viewpoint of private pension, this is an opportunity. It inaugurates opportunities to sell pension for customers who otherwise would be investing in LCI. But as we depend on this real estate funding for our products, and I spoke about the expectation of the issuance of premiums, this could have an impact.
I think it's too early on, Daniel, to truly adopt a stance, to know how this will impact the bank's funding. It's still under assessment by the Caixa Econômica financial area.
Thank you. Thank you very much, Edu. As we have no further questions, we will end the question and answer session. We're going to return the floor to Mr. Felipe Montenegro Mattos for the company's closing remarks.
Once again, we would like to thank all of those that participated and followed up on our performance during the year 2023. In 2024, we hope once again not to disappoint you. We have arduous work ahead of us, but we are sure that we will comply with your expectations as we will disclose results. And welcome to 2024. Thank you again for your attendance. The Caixa Seguridade video conference ends here.
We would like to thank all of you for your attendance and have a wonderful day.