Regulatory Spotlight:
Banking
• According to a 2022 Kroll survey, 71% of
compliance leaders in Brazil and Mexico
are concerned about stricter KYC and
AML regulations. The Central Bank of
Brazil updated its AML guidance for
financial institutions to require more in-
depth customer risk profiles, source of
funds review, politically exposed person
updates and ongoing monitoring.
• Nearly half (46%) of U.S. compliance
leaders at financial services firms in 2022
said they have significant challenges
complying with the Anti-Money Laundering
Act of 2020 provision requiring disclosure
of beneficial ownership.
Managing
a Changing
Regulatory
Landscape
The current pace of regulatory change
calls for flexible technology solutions
that allow multinational companies to
quickly adapt to new requirements.
Addressing IT requirements is essential to an
efficient identity verification program. However, not all
companies have those capabilities.
In one study, a third of financial services firms report
they have reasonable systems but need upgrades for
regulatory technology solutions, while 16% have no
confidence in their IT infrastructure. In other words,
nearly half of financial services companies were
uncertain about their ability to quickly implement a
solution that meets a new AML or KYC regulatory need.
New regulations change how companies verify
identity. Maybe it’s new documentation, different
reporting requirements, watchlist screening or greater
assurance based on new liability. Whatever the need,
companies with a global presence face challenges
keeping up with new compliance requirements without
losing time in market.
Technology that allows companies to adjust
verification workflows to match the needs of a new
market in real time can overcome those challenges. If
a regulatory body changes compliance requirements,
such as introducing the need for physical
documentation or new reporting, the right verification
platform can quickly adjust.
An agile identity verification platform is designed
to respond to new needs. Whatever the regulatory
change — whenever or wherever it occurs — a
global identity platform can keep financial services
companies compliant anywhere in the world.
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Trulioo — White Paper