16 ASIAN LEGAL BUSINESS – JUNE 2024 WWW.LEGALBUSINESSONLINE.COM COVER STORY Against a constantly shifting regulatory environment, the key is “being sensitive to macro changes and global development while partnering strategically with businesses,” says Au. “We work closely with other industrial players and government authorities to constructively shape up positive, pragmatic policy so that ultimately the whole industry can benefit.” Specifically, Au’s team administers a comprehensive risk management programme that facilitates the identification, assessment, monitoring and reporting of pertinent risks to keep exposures within defined constraints. Recent e-commerce scams in Singapore and infrastructure failures causing multi-day outages in Australia show that no firm is immune from the potential fallout of unexpected issues. Crisis management planning, therefore, has taken on rising importance for businesses all around. The world’s largest alternative asset manager, Blackstone, takes a proactive stance through regulatory engagement, risk assessment, robust policies and staff training, according to Li Chian See, managing director and Asia-Pacific head of compliance. “We thoroughly engage with regulators and government bodies to stay on top of local laws, regulations, licensing requirements and marketing restrictions for all existing markets,” says See, adding that regular risk assessments help the company identify compliance risks specific to each market. “We provide regular staff training to emphasise the importance of ethical conduct and compliance with varying laws,” says See. “For high-risk areas, we prepare detailed dos and don’ts for our business teams.” When it comes to compliance, it’s always better to identify potential risks ahead of time, rather than facing problems later on. For this reason, due diligence is another key facet of Blackstone’s approach. See states the firm conducts thorough checks on both investors and distribution partners before forming relationships: “We assess compliance capabilities, source of wealth and reputation to ensure alignment with our standards and local laws.” DRIVING VALUES FROM WITHIN With the mounting pressure on businesses to operate more sustainably and ethically, nowhere is the need for vigilance greater than in ESG compliance. Chanel is stepping up ethical oversight and sustainability practices within its extensive Asia Pacific supplier, manufacturing and vendor network. “We actively analyse our suppliers against our ESG KPIs and have in place the responsible procurement policy that sets out the ethical standards Chanel expects,” explains Chan. “If necessary, we conduct overall audits on suppliers, including those regarding the conditions of work and the use of forced labour.” In particular, employees in supply chain management roles will be responsible for thoroughly vetting the company’s suppliers to verify compliance with Chanel’s strict code of conduct. As countries ramp up efforts to transition to more sustainable economies, there has been sweeping regulatory action focused on green finance and climate reporting. In 2022, China has taken progressive steps with new green finance guidelines steering banking and insurance institutions towards environmental goals. Mandatory climate disclosure rules have also been enacted in countries like Singapore and Japan. A core pillar of Blackstone’s ESG compliance approach, according to See, is “engaging in discussions within the industry on principles of responsible investing.” The firm, for instance, has added considerable domain expertise by becoming a member of organisations such as the Principles for Responsible Investment (PRI). “We also engage in an annual ESG survey and data collection process for our portfolio companies”, said See. With chief compliance officers playing a pivotal leadership role, the strategic vision and diligence demonstrated by these leaders in APAC will go a long way towards building stakeholder trust and laying the groundwork for sustainable growth across the region. CORINNE KATZ Senior Director - Group Legal Affairs CLP Group JAGADEESH MOHANAKRISHNAN Chief Compliance Officer HSBC Life LI CHIAN SEE Managing Director and Asia Pacific Head of Compliance The Blackstone Group (HK) Limited MICHAEL TING General Counsel (Legal & Compliance) Manulife BARBARA TSAI Assistant General Counsel, Asia Head of Compliance Microsoft Operations Singapore EDWARD TUNG Head of Legal and Compliance ORI Capital HENRY YU Chief Compliance Officer Airstar Bank Limited LORETTA YUEN Group Legal and Compliance Oversea-Chinese Banking Corporation Limited
RkJQdWJsaXNoZXIy MjA0NzE4Mw==