Ping An Insurance (Group) Company of China, Ltd. (hereafter “Ping An” or the “Group”, HKEX: 02318; SSE: 601318) announced that Ping An Bank received the “Eye On Innovation Award for Financial Services 2020” from research and advisory company Gartner. Ping An Bank is the first in Mainland China’s banking industry to receive the annual award, recognizing the Bank’s capabilities in risk management and the impact of China’s fintech in Asia-Pacific.
Guo Shibang, Vice President of Ping An Bank, said, “The Intelligent Risk Control Platform is an integrated process platform for Ping An Bank to carry out complicated and innovative business operations in areas such as investment, financing and supply chain. It is also an integrated risk control platform with risk policies, risk regulations and risk management. The six intelligent applications for approval, control, lending, early warning, analytics and monitoring help anticipate trends, make timely decisions and take quick action for effective risk management.”
Combining machine intelligence with experts’ experience, intelligent credit approval has formulated rules to exclude customers in financial distress, involved in financial whitewashing, or subject to close monitoring for money laundering, terrorist financing or special risks. In the customer approval process alone, efficiency has improved by more than 30%. For risk control, intelligent credit approval has identified over 3,000 high-risk customers. Automated processes have also streamlined business operations, reducing manual processes for relationship managers by 80%.
With big data and smart algorithms as the core technologies, intelligent early warning analyzes massive amounts of internal and external data and scans customers through rule models, scene models and machine learning models to achieve the full process of closed-loop management from “pushing a warning signal, screening risk information, confirming whether to launch a warning, adopting control measures on risky clients to releasing the warning”. It has improved the accuracy of the 90-day early warning to more than 90%. Since the beginning of this year, the system has enabled Ping An Bank to avoid potential risks that amounted to more than RMB50 billion.
Empowered by internal and external databases, Ping An’s intelligent lending realizes three-factor machine authentication by incorporating models for risk information, special risk control and management, credit risk mitigation, credit limit control and management. Smart lending is comprised of smart control, machine assistance and automatic review functions, which enables Ping An to complete real-time services in five minutes or less, 24 hours, seven days a week. In comparison, other banks may take a few hours to complete the same services.