The objective of United Bankers Plc’s risk management is to reduce the probability of realisation of risks and, if the risks do materialise, to reduce the adverse impact on the company’s business. The Board of Directors sets the objectives for risk management, draws up the risk management policy, and is responsible for risk management monitoring. United Bankers’ risk management function is responsible for the practical application of risk management within the framework of the risk management policy. The internal audit function is responsible for auditing the effectiveness of the risk management system.


Risk management in United Bankers Group is centralised to the parent company, which has legal and compliance and risk management functions serving the entire United Bankers Group. Risk management is the responsibility of the risk manager. The company’s legal and compliance function as well as the management of each group company also contribute to the risk management function.


The risk management function is a control function that is responsible for, among other things, operational, market, credit and liquidity risk management. The risk manager reports directly to United Bankers’ Board of Directors and CEO on a regular basis in order to keep the company’s executive management informed of the risks of United Bankers Group and how they are managed. Each group company is subjected to a risk assessment twice a year in cooperation with the risk management and business functions in order to identify business risks.


Compliance risk management in United Bankers Group is the responsibility of an independent legal and compliance function. Compliance risk refers to the risk resulting from non-compliance with external regulation, internal policies and appropriate processes and ethical principles related to customer relationships. The compliance function regularly reports its findings directly to United Bankers’s CEO. In addition, the compliance function reports its findings twice a year to United Bankers’s Board of Directors.