Money launderers are exploiting vulnerabilities in private equity firms and hedge funds, according to a recently leaked FBI report. These firms are not subject to the same anti-money laundering (AML) requirements as other financial firms. For example, whereas banks and broker-dealers are required to have an AML program in place and must perform Bank Secrecy Act filings and customer…
Update: The Beam platform is now Jumio Transaction Monitoring. *** We have been very busy developing exciting new features in the Beam platform. Today we are happy to announce some major improvements that will make compliance even smoother in your organization. Quality Control (QC) This feature allows QC managers to verify that analysts are meeting…
The Financial Industry Regulatory Authority (FINRA) protects investors in the United States from financial crime. It achieves this goal by establishing and overseeing the rules and guidance that regulate the US broker-dealer industry and the trade of financial assets. FINRA structure FINRA formed in 2007. It originated from the consolidation of the National Association of Securities Dealers…
Securities compliance is the adherence to the rules and regulations related to trading securities. The regulatory organizations who create and enforce these laws include: U.S. Securities and Exchange Commission (SEC) Financial Industry Regulatory Authority (FINRA) National Futures Association (NFA) These organizations work to ensure the safety and fairness of the financial markets. Their regulations protect…
Anti-money laundering (AML) case management is the critical step where analysts at financial institutions review suspicious activity. The detection rules in an AML system flag all the transactions that meet specific criteria. Then, analysts review those transactions to determine whether they might be criminal activity. The analyst must build a case by looking at the…
As the world has become more connected and reliant on technology, criminals have become more sophisticated. Narcotics and arms traffickers as well as terrorists rely on money laundering to disguise the sources of their illegal funds. And they use a range of tools and methods to get around regulations and through loopholes in the financial system. But…
Maybe you just found out that your company is a target for money laundering, and regulators or your partners are pressuring you to get a compliance solution, fast. Or maybe you have an established compliance team, but your tools require a lot of manual overhead and produce too many false positives, and the alternatives you’ve…
A J.D. Power study released in February 2020 found that the number of new account openings at bank branches now comprises just 55% of all new account openings, down 10 percentage points from just a year ago. The same study found that 31% of new account openings are executed through a bank website or mobile…
Identity theft and account takeover are on the rise, with cyberattacks targeting the financial sector increasing 238% from February to April 2020, according to a VMware Carbon Black report. Now more than ever, as businesses deal with the financial stressors of the global health and economic crisis brought on by COVID-19, there has never been…
Synthetic identity fraud is one the fastest-growing — and hardest-to-detect — forms of identity theft in the U.S., according to the U.S. Federal Trade Commission. Synthetic identity fraud is responsible for up to 20% of credit losses and costs lenders billions each year, according to Auriemma Consulting Group. Synthetic identity fraud is when criminals combine…