HSBC Amanah’s approach to risk, capital, and value management is dictated by its risk appetite. Customers who wish to enjoy high returns must be prepared to accept some level of risk, and this requires long-term investment planning. As an added risk, there are times when the bank may face low liquidity. Nevertheless, when the bank is stable and offers high returns, customers who invest in it at that time can expect to make impressive profits.

- Risk Management

Recognizing that it has a responsibility to protect its business, customers, shareholders, and communities while supporting sustainable growth, HSBC Amanah has a top and emerging risk process in place. The bank uses this method to identify potential threats that could impact its strategies or operations over the medium to long term. This becomes especially necessary during times like the COVID-19 pandemic, which has had a negative impact on the global economy, affecting customers and banks alike. HSBC Amanah views a 'top risk' as an issue that will crystallize within six months to a year, causing adverse financial effects. Consequently, the bank has to deal with rapid changes while meeting significant operational demands.

HSBC Amanah has proactively managed, mitigated, and hedged against risks.

- Risk Appetite

HSBC Amanah defines its risk appetite in qualitative and quantitative terms. Consistently expanding its scope, the bank is committed to managing and mitigating risks from internal sources and those resulting from climate changes. To deliver excellent performance to customers, the bank also emphasizes maintaining a strong capital position to ensure good liquidity and funding. All relevant stakeholders review the Risk Appetite Framework and the Risk Appetite Statement to identify and mitigate risks effectively. The Risk Management Meeting (RMM) endorses any amendments before presenting them to the Risk Committee (RC) for approval by the Board of Directors.

- Risk Management

As part of its business strategy, HSBC Amanah implements significant change programs. During the COVID-19 pandemic, the bank has focused on protecting its liquidity from potential cash flow issues. To support SMEs and retail outlets, Bank Negara Malaysia (BNM) has implemented measures to alleviate financial pressure. The bank must also monitor changing customer behavior during this pandemic by increasing the use of online banking, which can help improve profitability both for banks and the global economy.