All regulated firms that are subject to Money Laundering Regulations need to put AML compliance policies and procedures in place to minimise their money laundering risk. This AML Compliance needs to effectively monitor and manage the firm’s compliance with AML policies and procedures on a risk-based approach.
This means there is no specific guidance on how regulated firms need to do this, just that they need to prove their processes are fit for purpose and that they have taken a risk-based approach. Therefore, the firms themselves need to decide where they need to focus their activities based on where the AML threat is the greatest.
The easiest way to ensure all AML requirements are being met is to use a full-service AML solution which identifies and verifies customers, screens them for Sanctions, PEPs, SIPs and RCAs and automatically performs Enhanced Due Diligence on any matches. It will also include looking at financial records, ensuring the Ultimate Business Owner for any business client is known. A good AML solution will also offer ongoing monitoring and alerts.
SmartSearch can offer a complete AML solution - initial checks, Sanction and PEP screening and ongoing monitoring - all from one easy-to-use platform. Enhanced Due Diligence is automatically performed if any AML checks result in a match with Sanctions, PEP, SIP or RCA lists and the ongoing monitoring service ensures clients are informed if any of their customers’ status changes. All searches are automatically recorded in real-time on the system and can be recalled at any time to support audits.