Anti-Money Laundering (AML) products & services
Thomson Reuters’ solutions will help you comply with the most updated AML regulations. Keep on the right side of the regulators with our anti-money laundering solutions to avoid financial penalty and public censure.
The importance of AML
Most regulatory regimes concerned with stopping fraud and financial crime have Mandatory legislation for regulated industries to have procedures in place to curtail money laundering activities.
Thomson Reuters understands the needs of AML solutions, that’s why we have a range of state of the art products to help you not only achieve the toughest regulatory compliance, but also use your existing data to actively combat fraud, money laundering, and financial crime.
Failure to report these illegal activities can result in regulatory censure, financial penalties, and reputational damage as well as being subjected to ongoing monitoring.
Money laundering red flags
Money launderers are looking to exploit weaknesses within current AML practices, so they employ many techniques to hide the proceeds of illicit activities and integrate them within the legitimate financial system.
A few of the red flags which indicate suspicious behavior are:
• Unusual activity on an account
• Purchase in cash of assets, or through opaque business structures
• Excessive cash deposits/transactions
In addition, the movement of large or frequent amounts of money from one country to another with the remitting or receiving country having weaker AML controls and/or enforcement is another indicator that the transaction may require further scrutiny.
Penalties for financial crime and AML failings in banks over the past two years have amounted to more than US $8.9 billion.
Using Thomson Reuters’ technology you can have the utmost confidence you are compliant with the most up-to-date regulations, as well as actively eliminating risk from your business.
Creating an effective AML program
An effective program needs to incorporate the following elements:
- A risk-based approach (RBA) to AML compliance programs
- The ability to keep abreast of constantly shifting regulations and sanctions in multiple jurisdictions
- Ongoing customer and transactional screening against a proven database of heightened risk individuals and entities
- Thorough and accurate identification, as well as verifying and monitoring of the clients against sanctions/watchlists and PEP status databases
- application of robust but proportionate Know Your Customer (KYC) procedures
- Quantifying risk attached to customers and transactions based on country of origin
- Maintaining up-to-date customer records
- Evaluation and monitoring of risks related to vendors, agents, and other third parties
- Training that provides employees and third parties with a clear understanding of policies and procedures and their practical application, as well as recognizing money laundering behavior
The European Commission is to insert five amendments into the Fourth Anti-Money Laundering Directive and has accelerated transposition into national law by five months to December 2016.
Oversight of anti-money laundering/counterterrorism financing (AML/CTF) compliance programs are increasingly expected from senior management, by regulators worldwide.
World-Check, trusted and accurate source of risk intelligence made available to help you meet your regulatory obligations, make informed decisions, and help prevent your business from inadvertently being used to launder the proceeds of crime or association with corrupt business practices.
End-to-end client identity, verification, screening and monitoring for accelerated client onboarding, remediation and refresh built on an interactive platform that streamlines KYC compliance and the distribution of due diligence documentation.