There’s much hype and excitement around how AI and machine learning could transform the world of finance. But a key area of development growing behind the scenes of talking robots and automated assistants, is how these new technologies will have a seismic impact on Anti-Money Laundering (AML) and Counter-terror Financing (CTF) back-end compliance processes. AI can dramatically improve AML risk data collection; spotting new risks faster and digging deeper for hidden risks. It will also shift customer onboarding & KYC processes from ‘name matching’ to contextual ‘identity matching’ to reduce false positives and false negatives. Unlike other industries, the training data required to make this a reality with machine learning techniques is available today. AI-driven compliance will ultimately have an enormous impact on how financial services will work - increasing automation, reducing manual overheads and helping prevent financial crime.
