Customer Due Diligence (“CDD”), also known as “Know Your Client (KYC)”, is an international requirement set by the Financial Action Task Force to prevent money laundering, terrorist financing, and proliferation financing. Around the world, countries have implemented anti-money laundering (“AML”) laws, regulations, and guidance which financial institutions and Designated Non-Financial Businesses and Professions have to comply with to meet these international recommendations.
CDD involves identifying your customer and connected parties, including any beneficial owner, and verifying their identity on a risk-based approach using reliable and independent data or information. KYC allows you to risk assess and understand your client, the purpose of the business relationship and their activities to identify any suspicious transactions or conduct which could be linked to criminal activity. CDD applies to relationships at all levels, such as customers, vendors, employees, investors, assets, and borrowers.
Understanding and applying AML regulatory requirements can be a time-consuming process with multi-jurisdictional factors and complex structures to consider.
Our automated technology solution, tailored to jurisdiction-specific AML regulations and managed by our specialist AML team to provide an end-to-end KYC service, supports:
- Customer identification and collection of verification documents, through the structure to ultimate beneficial owner
- Customer risk assessment
- Country risk assessment
- PEP identification and assessment
- Screening against sanctions
- Screening against blacklists
- Screening against adverse media
- Source of funds
- Source of wealth
- Completed due diligence report
- Periodic reviews
