Embracing Innovative Technologies to Fight Against the Financial Crime

Financial crime is becoming a growing concern, not just globally but also in the Middle East and Africa. These crimes are a growing threat for the financial institutions, which includefraud, electronic crime, money laundering, terrorist financing, insider dealing, information security, etc. Therefore, financial institutions should be aware of the consequences of the crime that can avoid:

• Stepped up regulatory scrutiny resulting in increased compliance costs
• Negative media attention resulting in brand erosion or market share loss
• Loss of customer and investor confidence impacting existing and new business activities
• Negative media and reputation loss leading to negative financial impact

Additionally, financial institutions are facing increasing pressure due to rapid digitization of financial services and requirements for speedy fund transfer operations. A growing concern for a financial institution is the cost of compliance to invest in the right technology. These institutions lack awareness as to which technology is the right fit for which kind of financial system and maintaining the balance between technology, innovation and protection against crime is required.

Currently, financial institutions need to work on building an ecosystem where financial and technology capabilities come together to solve the issues related tofinancial crimes. There is a need to focus on technology and deploy the right kind of technologies to proactively identify risks and have anti-fraud frameworks in place. Moreover, the companies need to respond quickly in the case of a financial crime and ensure they have the right technologies in place for that. Being adept in technological solutions like artificial intelligence, automation and machine learning can help these institutions transform their crime detection technology solutions and increase their efficiency.

It is the need of the hour for these institutions to be adept in risk management and be prepared to prevent such threats. These financial institutions should also have systems in place to act in real time when case of crime is detected.

ABG offers financial crime solutionthat enables financial institutions to:

• Effectively address financial crime risk and at same time optimize cost of running and maintaining a financial crime solution (e.g. minimizing false positives) by leveraging advanced machine learning/AI techniques
• Reduce manual effort involved in investigation of any alerts generated by financial crime solution through Robotics Process Automation (RPA)
• Perform faster payments by leveraging real time processing and analytical capabilities of a financial crime solution

ABG has a comprehensivefinancial crime solutionincluding Transaction monitoring, Sanction screening, client risk rating, wire fraud, mobile/online fraud, Cards fraud, Application fraud, Internal fraud, procurement fraud etc. Key modules of our financial crime solution are:

• Rule/Model engine
• Detection and alerts engine
• Discovery, search, and link analysis platform
• Alerts and case management platform
• Validation and optimization engine

Financial crimesare evolving fast, and financial institutions needs more than just standard rules based only solution to combat financial crimes. ABG’s machine learning/AI powered solution equips financial institutions fight modern day financial crimes effectively. The financial crime solution helps financial institutions leverage Artificial Intelligence from detection to disposition.

Source: SAS

Financial institutions need to adopt technology and use these systems as a precautionary measure that enables financial crime detection at an early stage, even before it happens. Prevention of the financial fraud and detectingthem will increase the risk preparedness level of these institutions and eventually help in financial fraud detectionwhen it happens at the later stages. Furthermore, having minimum response time for the action taken against any financial crime using the appropriate technology will keep these institutions protected.

Kindly note that, Accord Business Group offers end-to-end software solutions to the customers, in association with all its partners.