Enhanced due diligence and ongoing monitoring
Both KYC and CDD are crucial aspects of AML compliance. Regulated firms must identify and verify anyone they work with, to ensure they don’t unknowingly become involved with a business or individual with a history of financial crime, or sanctions.
Verification of a customer to according to the risk assessed, SmartSearch allows for a normal risk search as standard or for a high risk search criteria which requires enhanced due diligence to mitigate any potential higher risk.
Ongoing monitoring – Customer due diligence, or CDD is a longer process which continues after the customer has been onboarded, and includes checks like sanctions and PEP screenings, to continuously assess the risk-level that a customer poses to a business, this may lead to further checks requiring enhanced due diligence.
How do I monitor AML?
Monitoring AML manually is difficult, time consuming and open to error. The most efficient, accurate and cost-effective way of AML monitoring is using an electronic platform’s automatic monitoring service. Our ongoing monitoring service is supported by the Dow Jones Factiva Watchlist which comprises over 1,100 worldwide Sanction and PEP lists. The system takes updates from the list every night ensuring that all clients can monitor their customers. The efficient and innovative data matching processes work to greatly minimize the number of false positives returned, so that you are only alerted when a true match is made.
What is Perpetual Know Your Customer?
Perpetual Know Your Customer (pKYC) – also known as continual KYC – is the ongoing process by which businesses continuously update customer information as a part of their risk management strategy and is a step on from a standard Know Your Customer (KYC) process.
pKYC not only offers a much more dynamic and secure risk management solution but will automatically evolve as clients’ circumstances change, thereby reducing risk and the level of period work required by regulated firms.