I attended this meeting at Mandarin Oriental Hotel at 7pm. This was my first time attend the local chapter after passing the exam in 2003. It was great to meet up with a group of professional risk managers.
Mr. Choo Yee Kwan, the country chief risk officer of OCBC bank (Malaysia) Berhad presented a briefing on "What Makes A Bank Successful?" In may 2011, Bloomberg announced that OCBC Bank is the Strongest Bank in the World based on Bloomberg's selection criteria. 80% of the selection criteria made up of capital and reserves to weather NPL, etc. Profits ratio and earning power or other business ratio are not in the selection criteria at all. In other words, it is not how much or how good you can make money that make you a strongest company but how much you are prepared to face risk exposure will make you a strong company.
I agreed with the selection criteria as many companies bankrupt not because they do not make money but they are not prepared to face that may bring down the whole company. To build a legacy with take generation but to bring down a company may take months or weeks only.
Happy Events:
- Today was the second day of the creative problem solving workshop and continued to learn new problem solving methodology
- Happy to make some new friends from FRM chapter meeting.
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