Compliance risk

Compliance risk is defined as the risk of legal sanctions, incurring financial losses or losing reputation or reliability due to failure of the Group, its employees or entities acting on its behalf to comply with the provisions of the law, internal regulations, standards adopted by the Group, including market standards.

The objective of the compliance risk management is ensuring the Group proper application the provisions of the law, adopted market standards and functioning the Bank as a reliable, fair and honest institution through elimination compliance risk, preventing the possibility of losing reputation or reliability of the Group and preventing the risk of occurring financial losses or legal sanction risk, which may result from breach of regulations and standards of conduct.

Compliance risk management in the Group involves in particular the following:

  • preventing involvement of the Bank in illegal activities,
  • ensuring data protection,
  • promoting ethical standards and monitoring their functioning,
  • conflict of interest management,
  • preventing situations where the Bank’s employees could be perceived as pursuing their own interest in the professional context,
  • professional, fair and transparent formulation of product offers, advertising and marketing messages,
  • prompt, fair and professional consideration of complaints, requests and claims of clients.

Consistent principles of compliance risk management exist in all entities in the PKO Bank Polski SA Group.

The Group entities have adopted a zero tolerance policy against compliance risk, which means that the Group entities focus their actions towards preventing cases of materialisation of that risk.