“The FSPB Code of Ethics outlines a set of five broad fundamental principles to which institutions and individuals in the financial services industry should adhere to. It is drafted in a manner that makes it easy to use and accessible to all. The five principles are competence, integrity, fairness, confidentiality and objectivity,” said FSPB chairman Azman Hashim.
Azman is also hoping that by instilling a strong culture of professionalism and ethics, reputation and public trust in the financial services industry will improve.
Abdul Farid Alias, chairman of the Association of Banks in Malaysia, said that the code is an important milestone in the financial services industry and the association’s members welcome its adoption.
“A strong financial sector will enable us to continue our critical role in the development of the nation and as a regional bank, in meeting stakeholder expectations on ethical standards consistently across the countries in which we operate,” said Farid who is also group president and CEO of Maybank.
The FSPB Code of Ethics is intended to serve as a guide to each individual who works in the financial services industry.
The Code of Ethics complements a formal system of regulation and contributes towards public oversight of the financial services industry through a voluntary principles-based code developed “by the industry, for the industry, in the public interest”.
Formed in 2014, the FSPB is a voluntary industry-wide initiative that is dedicated to the development and advocacy of professional and ethical standards that are developed through industry consensus and engagement.
The FSPB Code of Ethics is the culmination of consultations with a total of 280 organisations consisting of financial institutions, industry associations, professional bodies and major international regulatory bodies in Malaysia, Singapore, Hong Kong, India, Switzerland, UK and the USA.
The publication of the Code of Ethics is accompanied by feedback received from stakeholders demonstrating transparency in formulating the code.