Improve the business practices

Somebody attacked me for "lambasting" the practices of banks and insurance companies after I "left the industry".

I believe that banks and insurance companies can play a useful role in the economy. They should adopt good and fair practices, which they had done in past years.

In recent years, several bad practices had taken root in the relentless drive for bigger profits. Some of these practices were unfair and unethical, and could even be illegal (if the authority were to take action).  My purpose is to point out these bad practices, so that the practitioners will realize the difference between good and bad, right and wrong.

A few cynics also attacked me for being idealistic. I do not post their comments. If they dislike the views expressed in this blog, they are not required to visit this blog. If they wish to express their views, they can do so without attacking me personally or attacking my views.

I wish to point out one specific good practice. A few months ago, Great Esatern Life, with the approval of their parent OCBC Bank, decided to give 100% refund to the investors of their investment linked product that had were invested in structures similar to the Pinnacle Notes. Many investors accepted the refund offer, and were relieved of the stress of watching the value of the notes drop, as more entities entered into default. This move caused several hundred million dollars to Great Eastern Life and OCBC Bank, but were appreciated by the policyholders.

Tan Kin Lian