Fiduciary Duties Initiatives

Achievements

Action Plans and Achievements

  • 1.
    Selling and providing customer-centric products and services
    • (1)
      Providing value-added, attractive products and services
      Action plan
      • We will help our customers build their assets by providing value-added, attractive products and services with use of the Internet and other innovative technologies.
      Achievements
      We have assisted our customers in building their assets by providing value-added, attractive products and services, using the Internet and other innovative technologies. Our major initiatives include the followings.
      • We have provided foreign currency deposits/savings accounts at attractive levels of interest and exchange rates on transactions. In addition, we have improved our services, for example, by newly launching the feature of placing limit orders for foreign currency time deposits.
      • We have run a special campaign offering yen time deposits at attractive interest rates.
      • We launched JAL NEOBANK jointly with JAL Payment Port Co., Ltd., a group company of Japan Airlines Co., Ltd., which is the first in a series of tie-ups using the NEOBANK Platform that opens up our products and services to partner companies. Now that JAL Mileage Bank members have more occasions to recognize our services, JAL NEOBANK is steadily adding accounts. Moreover, we launched T NEOBANK jointly with T-money Co. Ltd. in March 2021 and started providing services to T members.
    • (2)
      Stably providing products and services
      Action plan
      • We will bring to our customers the convenience and ease of having an internet bank, with which they can transact at any time, by stably operating online transaction systems and building a robust security environment.
      Achievements
      • We have continued activities for building a robust security environment by developing and implementing a security roadmap, an activity plan based on diagnoses and knowledge of security vendors. As a result, we have had no serious security incident like a system breakdown or information leak caused by a cyberattack, providing secure services to our customers.
      • In order to stably provide products and services, we are committed to building a control environment to prevent system failures and maintain consistent system quality by, for example, monitoring the operational status and performance of systems on an ongoing basis, with the System Risk Management Committee, in which the management including the President and CEO participate, leading the effort.
    • (3)
      Enhancing our website and smartphone app, and other customer interfaces, providing easy-to-understand information for customers
      Action plan
      • We will sincerely listen to customer voices about our website, smartphone app, and other customer interfaces, and make continuous improvements from the perspectives of ease in viewing, using, and understanding them.
      • In sales and intermediary of financial products that entail complex risks for our customers*, we will provide easy-to-understand explanations on such products’ characteristics, risks, fees, and other relevant aspects, posting them on our website and smartphone app in an easy-to-view place, to aid customers’ selections.
        • *
          Foreign currency deposits/FX, structured deposits, investment trusts, insurance, robo-advisory services (automated asset management services)
      • When a bank agency having us as the principal bank sells or otherwise handles products, we will seek to provide easy-to-understand explanations and information to help customers understand the details of the product.
      • To relevant customers such as those who have foreign currency deposits, we will work to provide information that would help them increase their financial transactions, such as by sending emails at times such as when exchange rates are expected to fluctuate.
      Achievements
      • We have made continuous improvements to our website and smartphone app from the perspectives of ease in viewing, using, and understanding these customer interfaces. Also, we have improved the NEOBANK Platform to enable seamless banking transactions using smartphone apps of our partner companies.
      • We collect customer voices, such as complaints and requests, via the dedicated form on our website, on which we discuss response measures and make improvements in the order of most frequently mentioned.
      • Our major responses to customer voices such as requests include that we have improved deposit/withdrawal statement feature (improved layout, print to PDF feature), added push notifications on transactions, improved the message box, integrated the authentication app with the banking transaction app (Smart Authentication NEO), and released ATM Banking using App, a feature for using ATM via smartphone app.
      • As for financial products that entail complex risks for customers, we seek to provide information that would enable customers to correctly understand the products, including fees to be borne by customers, paying attention to the ease of understanding by standardizing posting places and expressions.
    • (4)
      Managing conflicts of interest
      Action plan
      • We will identify conflicts of interest associated with transactions with customers, the status of which our risk management unit will monitor on a regular basis, and appropriately manage such conflicts based on the monitoring results.
      Achievements
      • We have continued our operation of identifying conflicts of interest associated with transactions with customers, with our risk management unit regularly monitoring the state of such conflicts of interest and reporting the monitoring results to the board of directors.
      • To provide information that help our customers understand this operation, we have published “Overview of Policy on Managing Conflicts of Interest” on our website.
  • 2.
    Developing and providing products and services that meet varied needs of customers
    • (1)
      Developing and providing attractive products and services, aiming for the creation of new customer experiences and new values
      Action plan
      • We will actively use fintech and open up APIs to develop and provide financial services that would contribute to greater convenience and asset building of customers.
      • We will vigorously accumulate know-how and experience in artificial intelligence, aiming to transform and increase the convenience of financial services that we provide to customers.
      Achievements
      • We have pushed forward the use of fintech and open APIs to improve customer convenience and facilitate open innovations with our partner companies. As of May 2021, over 1 million customers in total* used our open APIs, which we had developed and opened for both referencing and updating.
        • *
          Including overlaps between services.
      • We actively use internally-developed artificial intelligence in various fields including credit limit, marketing, fraud detection, and responding to customer inquiries.
      • We are proactively opening up the NEOBANK Platform to other companies besides JAL Payment Port Co., Ltd.
    • (2)
      Reflecting customer voices
      Action plan
      • We will seek to achieve customer centricity through continuous improvements in services based on views of customers received by our Customer Support Center and bank agencies whose principal bank is us, as well as the results of customer satisfaction surveys conducted by external evaluation organizations.
      Achievements
      • We held monthly meetings of the Fiduciary Duty Promotion Liaison Committee chaired by the President and CEO and other meeting bodies for discussing responses after collecting and analyzing the results of customer satisfaction surveys conducted by external evaluation organizations, as well as customer voices received by our Customer Support Center and bank agencies whose principal bank is us. Thus, our officers and employees have driven forward initiatives for reflecting these into continuous improvements in our services, as has been the case before.

      NPS® measures the loyalty of customers, which is calculated from answers to questions, “How likely is it that you would recommend [this company, or this product or service] to a friend or colleague?” Net Promoter® and NPS® are registered trademarks of Bain & Company, Inc., Fred Reichheld, and NICE Systems, Inc.

    • (3)
      Contribution to society
      Action plan
      • We will continue our initiatives to introduce state-of-art fintech and other financing technologies to the next generation through financial education for young people such as high school and university students. Also, we will use the next generation’s voices to pioneer new fields for the near future of the financial industry.
      Achievements
      We have implemented initiatives to introduce state-of-art fintech and other financing technologies to the next generation through financial education for high-school and university students. The state of specific initiatives is as follows.
      • Initiatives for high-school students We participated in the operation of the online tournament and the national tournament of the 15th National High School Financial and Economics Quiz Tournament “Economics Koshien.” In addition, we have prepared videos as teaching materials on how to manage money as well as how to invest in products such as foreign currencies and points to note in making such investments, thus teaching thousands of high-school students across Japan through teachers who requested to use the materials in classes.
      • Initiatives for university students We have provided endowed courses and internship opportunities on the theme of fintech.
  • 3.
    Initiatives for practicing and spreading awareness of fiduciary duties
    • (1)
      Conducting customer surveys on their attitudes toward us
      Action plan
      • We will regularly conduct customer surveys on their attitudes toward us, using external evaluation organizations.
      Achievements
      • In addition to receiving reports on surveys conducted by external evaluation organizations, we have conducted semiannual awareness surveys, using NPS (Net Promoter Score), on customers who have accounts with us.
      • We ranked top in Japanese Customer Satisfaction Index (JCSI) released on September 16, 2020 by Service Productivity & Innovation for Growth (SPRING) of Japan Productivity Center, an external evaluation organization, for the second consecutive year and for the eighth time.
      • On July 30, 2020, we won the award of excellence in Best Customer Support of the Year 2020 hosted by Japan Institute of Information Technology, for our efforts to “create customer values with expanded communication channels that underpin the fostering of loyalty.”
      • In addition, internal awareness survey results* show that our NPS rose by 1.17pts in the last half year, from 18.38pts as of August 2020 to 19.55pts as of January 2021. We see this as an indication that customers recognized our customer centricity initiatives to a certain degree (see the figure below for reference).
      NPS Survey

      (Figure) NPS Survey

      • *
        Survey overview/respondents: The survey was conducted on, of our accountholders, individuals to whom we can send emails (survey via the Internet, 53,981 respondents); NPS is the percentage of customers who scored 9 or 10 and are likely to recommend us minus the percentage of those who scored 0 to 6, in answers on a scale of 0 to 10.
    • (2)
      Conducting training and performance evaluation for spreading awareness of fiduciary duties
      Action plan
      • We will implement internal training and other initiatives using the results of customer attitude surveys to continue the practice of customer-oriented business conduct.
      • We will reflect the state of customer-oriented business conduct, such as the practice of fiduciary duties, into performance evaluation.
      Achievements
      • We have provided e-leaning programs for all officers and employees for the purpose of spreading the awareness of fiduciary duties in accordance with “Principles for Customer-Oriented Business Conduct” by the Financial Services Agency of Japan and “Fiduciary Duties Initiatives of SBI Sumishin Net Bank.”
      • As a noteworthy initiative leading to the promotion and practice of fiduciary duties, we established an internal awards system for thorough communication, and commending acts, of fiduciary duties in March 2018 and have been in operation since then.