“Banks’ risk appetite statement should drive risk framework establishment”
Hans Broekhuisen, chief risk officer at Vietnam's VPBank, discusses the paradigm shift in bank risk management over the past decade and the relevance of risk appetite to one's business strategy. November 19, 2013 | Bertrand PigeonHans Broekhuisen kickstarted his banking career as a trainee for NMB Bank, predecessor of ING, back in 1980. Initially working in front office positions, Broekhuisen eventually joined the bank’s international division in 1987. He arrived in Vietnam in 1997 as a representative for ING Barings in Ho Chi Minh City, effectively operating as corporate banking head for ING’s Hanoi branch. Broekhuisen was then appointed chief risk officer (CRO) for ING Czech, Slovak and Austria in 2002. In 2006, he moved to Romania, serving in a similar capacity. After a four-year stint, Broekhuisen left ING and took up the position of CRO and board member at RBS Romania. After the sale of RBS’ retail portfolio in August 2013, he joined Vietnam Prosperity Joint Stock Commercial Bank (VPBank) as CRO and is currently based in Hanoi. VPBank recently gained 30 places in The Asian Banker 500 strongest banks rankings (2013 edition), coming in at 414th overall. The bank increased its assets by 23.9% to $4.9b while its deposit base rose 102.3% to $2.8b. VPBank was ranked fourth strongest bank in Vietnam, and came in at 296th in the Asia Pacific region. The state of Asia’s banking industry Having now returned to Asia, Broekhuisen compared and contrasted Asian economies with that of the Central and Eastern Europe (CEE) region. According to Broekhuisen, Asian countries “are in much better shape with still decent growth figures,” compared to CEE countries, with the Romanian banking sector for instance, recording a loss for the third consecutive year. Banks in the country receive substantial support from the central bank to keep them afloat, so as to not jeopardise the overall financial system. Foreclosures are limited so that losses can be prevented - an attempt to mitigate erosion of capital base. For Asia, Broekhuisen expects the year ahead to be a “period of stabilisation with more modest growth figures”. Most Asian countries have witnessed a... Please login to read the complete article. If you already have an account, you can login now or subscribe/register.
Categories: Basel III, Operational Risk, Regulation, Risk and Regulationbasel III,Oprisk,riskregulation,Risk and Regulation, Basel III,Operational Risk,Regulation,Risk and Regulation, Keywords:Hans Broekhuisen, Vietnam Prosperity Joint Stock Commercial Bank, Basel II, Risk Appetite, CVA, NPL, RWA, Risk Culture, Market Risk, Systemic Risk, Risk Management Hans Broekhuisen, Vietnam Prosperity Joint Stock Commercial Bank, Basel II, Risk Appetite, CVA, NPL, RWA, Risk Culture, Market Risk, Systemic Risk, Risk Management
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