Best private bank for risk control 2017
Agricultural Bank of China Private Banking
Agricultural Bank of China (ABC) has come a long way in a short period of time. The one-time rural lender has become a lean and well-run domestic banking brand with more than one eye on a greater global presence.
Its overall private banking division is expanding rapidly, too. But one aspect of its wealth management operations stands out: its ability to control and temper unwanted risk.
Under Jinqiang Yin, ABC Private Banking’s ‘Firm forward’ scheme works to control risk management. Since its formation, no large risk event has occurred within the lender’s private banking division.
ABC’s comprehensive and top-down risk management structure separates front-, middle- and back-end operations, delineating and defining a risk-management system that boasts clear functionality and responsibility, and which brings risk control systems to bear on the full range of each asset portfolio.
Risk control is further improved by a decision-making mechanism set up by Agricultural Bank of China Private Banking to improve internal control procedures.
A final layer of security is provided by the parent group. The private banking business is absorbed into ABC’s overarching risk-management system, which ensures key risk identification, effective cooperative control and comprehensive management.