Partnering Services: LUCRE
Agile Compliance is a unique approach to AML (Anti Money Laundering) which focuses on deploying effective processes enabled by modern technology. Agile Compliance is closely aligned with regulatory guidelines which require that financial institutions identify risks related to the specific products, services, customers, entities, and geographic locations unique to the institution.
Banks continue to make headlines for failing to effectively monitor and report on money-laundering activity. More than $2T is laundered through the global banking system every year. Around $25B is interdicted by law enforcement, which is less than 1% of the total funds laundered. The financial services industry spends an estimated $70B annually on Anti-money Laundering (AML). And yet, banks large and small are facing sanctions, enforcement actions, fines and shareholder lawsuits for failing to execute effective AML processes.
Financial institutions typically use some variation of the five pillars approach to safety and soundness. These can be briefly described as (1) written policies and procedures; (2) a designated AML compliance officer; (3) independent testing of the institution’s AML program; (4) implementation of an adequate employee training program, and (5) ongoing customer due diligence. The implementation of these five pillars is based on best practices associated with governance, process, and systems. It is not unusual to look at governance, process and systems as separate activities managed by specialists in their respective areas. Agile Compliance facilitates the integration of policy, process and systems within the overarching requirements of safety and soundness. Agile Compliance combines the human intelligence elements of compliance (governance and process) with machine intelligence (data analytics and AI) to implement a risk-based process for compliance.
Amberoon’s Lucre is a modernized Anti-Money Laundering (AML) solution that uses Agile Compliance to closely align with a bank’s mandate of safety and soundness. Amberoon leverages advances in AI, data engineering and security to make complex AML processes insightful, efficient and cost-effective — without requiring costly replacements to legacy technologies. Unlike traditional approaches, Lucre allows governance and process to drive the technology and not the other way around.
Core functions include:
• Bank Exam Prep
• Monitoring of High Risk
• Alert Management
Amberoon Lucre AML uses data from ongoing transactions, third-party sources and proprietary algorithms to enable forensic inquiry that identifies bad actors and reduces risk. The technology builds on a risk-based approach that works with legacy AML systems to implement a Regulatory System of Insight for banking operations.
And again, there’s no need to replace existing systems: Amberoon AML has ‘wraparound’ capabilities to work with legacy solutions in mid-contract.
• Significantly reduces false positives
• Slashes operating costs by up to 50%
• Eases behavioral KYC
• Identifies emerging risks
• Accelerates UBO (Ultimate Business Owner) tracking.
Regulatory guidelines state that a risk assessment process is to identify the specific products, services, customers, entities, and geographic locations unique to the bank. This requires a tight integration of governance, processes and systems. Bank leadership oversees governance and needs processes and systems to follow. Agile Compliance powered by modern technology, makes this possible. Call us for an assessment and how we can help you.