CEO Insights Magazine

"It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you'll do things differently." This statement by Warren Buffet can be used to justify the importance of Chief Compliance Officers (CCOs). Business owners will find it increasingly difficult to stay on top of the many aspects of their operations as their companies grow and branch out into new areas. As regulatory agencies intensify their enforcement of the numerous regulations that companies must follow, entrepreneurs ought to exercise further vigilance and ensure that they stay out of legal hot water. A Chief Compliance Officer may be useful in this situation.

Victor Macatol is the Chief Compliance Officer at Asialink Finance Corporation. He has vast experience in corporate governance and regulatory compliance and is also a Certified Compliance Officer and a Chief Compliance Officer (CCO) confirmed by the BSP. In his capacity as Asialink Finance Corporation's (AFC) Chief Compliance Officer and Data Protection Officer (DPO), he oversees compliance with laws, rules, and regulations from several regulatory authorities, including the BSP, SEC, NPC, CIC, BIR, PDIC, and AMLC. Victor has held several esteemed positions throughout his career, such as CSLA Manager at SGV & Co. (Ernst and Young Philippines). He has also had important roles at Bangko Sentral ng Pilipinas and Luzon Development Bank.

Embarking on a distinctive exchange with CEO Insights Asia magazine, Victor divulges the intricate facets of his transformative journey as a prominent leader in the Philippines. Let's delve into it.

Tell us about your expertise in conducting regular risk assessments in light of changes and in understanding various kinds of risks.

In my role as a Chief Compliance Officer, I have extensive experience in conducting regular risk assessments. The regulations and policies in the Philippines have been constantly evolving. This makes it important for us to implement regular updates and changes in our policies. It helps us to identify, evaluate, and mitigate potential risks that could arise from non-compliance.

We conduct regular risk assessments in our head office and in our branches to make sure that our branches and our employees are aware of the rules and regulations. We also conduct compliance testing to assess if we are in compliance with the regulations such as the anti-money laundering council and supervising agencies. After the risk assessments, we compile our findings and report them to the board and management for informed decision-making. We also impose penalties on branches and employees who fail to comply with the regulations.

What are the various roles and responsibilities that you shoulder as the CCO of Asialink Finance Corporation?

As Chief Compliance Officer, my responsibilities include liaising with supervising agencies to ensure our company adheres to the laws, and regulations, in the Philippines. This includes complying with the issuance of certain supervising agencies such as the Securities and Exchange Commission and Anti Money Laundering Council and others.

I play a key role in decision-making by providing analysis and interpretation of these regulations to the Management, Chief Operating Officer, and Chairman. I also oversee the privacy and protection of customer information to ensure the integrity and security of our data and records.

How do you facilitate ease in communicating with the leadership board, including regulatory bodies, industry groups, or vendors to ensure collaboration in compliance tasks?

I maintain a constructive and transparent relationship with all our stakeholders. This begins with our regular management meetings where we discuss compliance issues and risk assessments. Once these issues have been discussed at the management level, I report to the Corporate Governance Committee, which is a board-level committee responsible for overseeing the implementation of compliance and risk management strategies.

After this, the findings are reported to the Board of Directors. This is done regularly and follows our firm’s corporate governance manual. It mandates quarterly reporting to the board and monthly reporting to the management committee.

How do you ensure a healthy culture of compliance? What is the kind of mental work you put into making the right decision to resolve issues and minimize future recurrence?

I make sure that our compliance department places a high value on integrity. To maintain this, we operate according to our detailed compliance calendar and program. This program makes sure we fulfill all our responsibilities for keeping track of compliance reports and due dates. We greatly lower the likelihood of sanctions and penalties from authorities by meeting these deadlines.

We thoroughly inform the Man­agement Committee and Corporate Governance Committee of every finding from compliance audits. To provide complete assurance and inspec­tion, we additionally make sure that these findings are examined by external parties or regulators.

How do you guide and encourage your team to embrace improvements in their experience and capabilities?

I believe in leading by example. I give utmost importance to integrity and professionalism in all aspects, from adhering to regulatory compliance and internal policies to wearing the proper uniform and punctuality. I also maintain a constructive relationship with all my colleagues and subordinates. This enables us to share ideas, concerns, and suggestions comfortably and enables effective implementation. In short, as the head of the department, I monitor all administrative tasks of my staff. Integrity forms an important guiding principle, as I strive to lead my team to success.

I encourage my team to prioritize continuous learning because it is important to stay abreast of the changing regulations and policies. By doing so, we can always overcome the challenges presented to us by the evolving landscape of our industry and lead us towards continued success.

Moving forward, what is the roadmap that you have envisioned for Asialink Finance Corporation?

In the future, we aim to maintain our ISO certification by ensuring that we meet international standards. We are also preparing to apply for an IPO and offer shares to the public. This will involve rigorous monitoring and adherence to compliance standards, and I want to ensure full compliance with all the relevant rules and regulations. Our aim also includes preserving our already existing licenses by making a strong compliance framework, which includes preparing for any external audits.

In the future, I want to establish a culture within our firm that will align with ethical behavior and adapt to the evolving regulations. This can help us to support sustainable growth and ensure that compliance becomes an innate part of our organization. My goal is to avoid any penalties, just as we have done in the past.

Victor Macatol, Chief Compliance Officer, Asialink Finance Corporation

A confirmed Chief Compliance Officer by the Bangko Sentral ng Pilipinas, Victor is an award-winning alumnus and a sought-after speaker on compliance and risk prevention in Asia. He is also a License professional teacher and an accomplished scholar who possesses multiple credentials in data protection and compliance.

Favorite Hobbies: Traveling

Favorite Cuisine: Pork Adobo and Buttered shrimp

Favorite Book: The Hunger Games Book Series

Favorite Travel Destination: Boracay