Integrity is paramount in the financial services sector because without the trust of customers, a financial services business is unsustainable. Developing and putting into place a legal compliance system serves to safeguard this core value.
Fubon Financial Holdings has always taken legal compliance very seriously, and when it learned that the “Implementation Rules of Internal Control Audit and Internal System of Financial Holding Companies and Banking Industries” were about to be revised, it immediately appointed a vice president as the organization’s top legal compliance officer. A dedicated Compliance Department was also established to assist the compliance chief in planning, managing and operating the Company’s legal compliance system and meet the Financial Supervisory Commission’s high compliance standards for the financial sector.
The main responsibilities of Fubon headquarters’ chief compliance officer and associates are as follows:
- Develop a system for clear and adequate transmission, consultation, coordination and communication of legal matters.
- Keep all procedures and management guidelines updated in line with relevant regulations so that all business activities comply with the law.
- Oversee each division’s regular internal compliance evaluation
- Maintain compliance consulting, coordination and communication records.
- Set the Company’s annual compliance plan
- Provide adequate and appropriate regulatory training to employees in every division
- Assess the compliance practices of each Fubon division and subsidiary
- Analyze the causes of major compliance deficiencies or abuses in Fubon divisions or subsidiaries and then recommend improvements and report the situation to the board
To get the financial sector to put an even higher priority on compliance, the Financial Supervisory Commission adopted several rules to strengthen compliance functions in August 2014. Fubon Financial Holdings responded by revising internal operating guidelines and stepped up compliance education and training. The Company and its subsidiaries held 1,920 education and training sessions on compliance during the year.
They also established methods to assess how effectively each division is carrying out compliance guidelines to ensure that regulatory requirements adopted by the Financial Supervisory Commission and other agencies are being implemented. In addition, the Company has set up separate compliance performance assessment methods for subsidiaries so that when divisions and subsidiaries launch or expand businesses they will strictly adhere to relevant laws and regulations.
When Fubon subsidiaries roll out a new type of business or a new financial product or undertake important activities such as joint marketing agreements or commercial cooperation agreements, they must all be legally vetted to ensure that they fully comply with applicable regulations. Any publicity materials issued by Fubon subsidiaries must comply with internal review and operating rules and pass legal checks to ensure that consumers’ rights are protected and Fubon’s reputation and image will remain intact.
Taipei Fubon Bank
Taipei Fubon Bank has established internal guidelines and operating policies for products, channels, credit, risk and service to protect consumers’ rights and interests. Every product agreement, for example, clearly details the management principles and standards applied to the collection, processing and usage of customer information. Co-marketing and management guidelines are in place to ensure that marketing lists of names are protected and checked before and after promotional events. Internal “Rules for Managing the Production and Release of Publicity Materials” have been established to manage the process of preparing and distributing advertisements, business solicitation materials and promotional activities...more
Fubon Insurance has implemented personal information management system(PIMS) and measures that strengthen information oversight and management to ensure that customers have access to secure services. A data security policy and information security protective measures have also been put in place to safeguard consumer information...more
Fubon Life’s contracts for insurance products and services are fair and reasonable, equitable and mutually beneficial and ethical, and the products and services offered exercise the level of attention of a good administrator. The products or services are “trust” or “entrusted” in nature and fulfill their duties faithfully based on applicable laws and regulations or contractual agreements...more
Fubon Securities has established internal guidelines and operating policies to protect investor rights and satisfy customers’ diverse wealth management needs. It has also strengthened education on securities laws and statutes, familiarizing all employees with regulations related to their jobs. When services and products are offered, for example, appropriate procedures and management mechanisms keep customers’ personal information secure...more