About this Report Chairman's Foreword Corporate Management Report Appendices Governance Consolidated Financial Company Financial Statements Statements Top Advice Nearby We are committed to staying close to our customers, whether they choose to use our digital channels (i.e. desktop or app), our client services call centers ('Rabobank Klantenservice'), our physical branches (the local Rabobanks) or at the farmer's kitchen table. Rabobank has implemented a new operating model, laying the foundation for safeguarding our local presence through market teams that are supported by specialist teams. This model lets us focus on what matters most to us: adding value for our customers. Local market teams provide the best advice for clients in their region. Their active engagement in local communities gives local market teams an insider view on their clients' needs and preferences, so they can quickly address them. The services that the local Rabobanks provide through ourdigital channels are backed by robust and efficiently organized client services call centers. Customers can count on us 24 hours a day, 7 days a week. Rabobank Klantenservice is located throughout the Netherlands offering regional employment and local engagement. Financial Sector Gatekeeper As a gatekeeper to the financial system, Rabobank is strongly committed to preventing the use of Rabobank's products and services for Money Laundering (ML) and Terrorist Financing (TF) purposes and prevent violations of Sanctions Regulations. For that purpose, Rabobank has developed a set of measures that together contribute to an effective Anti-Money Laundering (AML), Counter Terrorist Financing (CTF) and Sanctions Framework. This AML/CTF and Sanctions Framework is overseen by a global committee at board level and executed across the first, second and third lines of the Rabobank network. Driven by our ambition in this context, new regulations and regulatory enforcement actions related to AML in the United States and the Netherlands, including remarks on the quality of our client files, we have started a change program. In addition to improving our ongoing Customer Due Diligence processes we will also conduct remediation work in the Netherlands with a dedicated workforce that will increase to 250 FTE in 2020. The change program further includes other initiatives to globally enhance Rabobank's AML/CTF and Sanctions Framework. As part of the program, Rabobank renewed its policies, is introducing new systems and tooling, and has strengthened its governance. Furthermore, we provided extensive additional training worldwide to all staff to ensure we know our customers inside and out and to enhance our transaction-monitoring capabilities. Throughout these efforts we remain in constant dialogue with the relevant national and international regulators. Rabobank is investing significantly in its workforce and in new technology to create a future-proof digitally enabled AML/CTF and Sanctions Framework. This framework will have to anticipate on changes in the industry, from new market participants and service providers in different roles to changing ML/TF methods. This development requires Rabobank to adapt its own tools and techniques. Rabobank, being one stakeholder is only part of the solution to control AML/CTF risks sector wide. We will work with other market participants and the public sector to explore which form of (increased) cooperation works best to achieve a comprehensive sector wide approach to mitigate AML/CTF risks. Stimulating Transparency We believe it is important to be open to what customers think of our service. We use customer feedback to improve our services and we participate in the Dutch Banking Confidence Monitor ('Vertrouwensmonitor Banken'), a survey that gauges the trust our customers have in us and their opinion of our services and products. Rabobank's 2018 results were stable and comparable to the sector as a whole. Acting on the outcomes of this survey, we prioritized topics for improvement, such as even better customer knowledge in semi-automatic asset management and adjusting revolving credits to better fit their circumstances. In order to restore and maintain trust of its stakeholders and society in general, the financial sector must grapple with ethical questions about its business activities. Rabobank's Ethics Committee scrutinizes ethical themes and practical cases. It met five times in 2018 and dealt with themes like guidelines for employees who deal professionally with cryptocurrencies, the future of work, the legalization of cannabis in Canada and ethical aspects of the food transition. Concerning cannabis, the Ethics Committee had no objection to financial involvement with cannabis for medicinal use, but for recreational use the Committee preferred to distinguish between edible and drinkable cannabis products with addictive and/or psychoactive effects and those without. Rabobank's decision to withdraw from tobacco manufacturing means that smokable cannabis is a no- go. At the end of 2019 Rabobank intends to review the cannabis issue. Annual Report 2018 - Management Report 21

Rabobank Bronnenarchief

Annual Reports Rabobank | 2018 | | pagina 23