Strengthening Integrated Risk Management

KB Financial Group is working to minimize the negative environmental and social impacts that are generated through our business activities, whether direct or indirect. We are also strengthening control over non-financial risks as well as traditional financial risks to establish a companywide integrated risk management system. With the aim of ensuring a systematic environmental and social risk management, KB Financial Group has buttressed its monitoring and management of ESG issues and established the direction and process for environmental and social risk management to better manage such risks.

Major Risk Types
Financial Risks ESG-related Risks
Risks that may be caused by financial issues such as credit risks, market risks, interest rate risks, and liquidity risks Risks that may be caused by ESG factors such as climate change, environmental impacts, and social issues

Environmental and Social Risk Management

KB Financial Group works to ensure preemptive detection and systematic management of the environmental and social risks involved in its business activities. We restrict our investments and loans by identifying industries with high ESG risks. We may refuse or suspend specific transactions for customers found as high-risk through our mandatory Know Your Customer process incorporating ESG risks.

  • Enhance
    engagement
    on ESG risks
  • Conduct
    ESG-based client
    due diligence
  • Restrict financial
    services against
    companies with
    ESG risks
  • Support financial
    services through
    ESG risk assessment