by Do Le Anhdao

Orange County is home to the largest Vietnamese American community in the United States. Little Sai Gon is littered with successful business owners and professionals. The Vietnamese community around Little Sai Gon has a kind of financial prowess that is unique and keeps growing. When First Vietnamese American Bank (FVAB) opened in 2005, the community welcomed it with open arms.

The pioneering organization is led by groundbreaking visionary Hieu Nguyen. Along with a group of Vietnamese professional bankers in Los Angeles and Orange County, Nguyen founded a financial institution that would quickly grow and win hearts in the community.

Although Nguyen grew up in the cold and culturally-isolated Germany, he has never forgotten his roots. Nguyen describes the move to California not as a culture shock but as a “homecoming.” Nguyen seems to be doing exactly what Little Sai Gon needs, acting as CEO and lead mentor at FVAB and giving financial advice to the Vietnamese community. He considers this his life’s work.

NHA: As we’ve heard, you are quite a multi-tasker. Can you tell us a little more about yourself and your background?

Hieu Nguyen (HN): I have been in the banking business for 26 years involved in management, credit, lending, operation, customer service and international banking. I have also acquired a doctoral degree in business administration. My practical experience coupled with a scientific background has enabled me to tackle various tasks under different conditions and environments. However, when I tackle a task, I am focused and entirely devoted to the task, before opening the next window.

NHA: You’re the president on the board of directors for First Vietnamese American Bank, a financial institution servicing the Vietnamese diaspora. Can you tell us about your company and its start-up process?

HN: First Vietnamese American Bank is truly a pioneer in the financial sector of the Vietnamese community. I was privileged to work with other founders who were determined to form a bank serving the Vietnamese community and to make it happen in spite of many obstacles and difficulties along the process. The concept was born some 15 years ago by a group of Vietnamese professional bankers in Los Angeles and Orange County. But only about three years ago we felt that this was the right time to move forward with the plan due to the growth and financial strength of the Vietnamese community and the increasing need to have a local banking institution that understands the needs of the community and how to serve them effectively.

After we received an approval from FDIC and the California Department of Financial Institutions in September 2004, we started raising capital funds in December of that year. After about four months, we raised $38 million in investment funds from the public, $23 million more than the amount of capital funds ($15 million) we were approved for. The over-subscription of our common stock indicated the trust and confidence the public placed in our bank. First Vietnamese American Bank was formed in May 2005 with $15.1 million in shareholder’s equity after returning $23 million of over-subscription to the investors.

NHA: Do you recall challenges you came across to get First Vietnamese American Bank to be where it is today?

HN: The major challenge we have faced is to gain a trust from the community. The ethnic community is known to be reserved and to some degree distrustful of banking. Building up confidence and trust in the community has taken tireless efforts and resources. After one year, FVAB has grown to a bank with $36 million in total assets, a significant achievement taking into consideration that the Vietnamese community has been in Orange County for over 30 years and didn’t have a commercial bank that truly served the community.

NHA: What are some of the lessons you learned from being founder of FVAB?