Glossary results for "Compliance and Anti Money Laundering"

Global Governance and Policy

International Law and Institutions

… interests. Related terms: universal jurisdiction, passive personality principle, corporate liability . Countries may prosecute their nationals for crimes committed abroad, as seen in anti‑corruption statutes like the US Foreign Corrupt Practices Act. Extraterritorial claims also arise in environmental law, where a state seeks to regulate cross‑border pollution. Pra …

Fraud Detection and Prevention

Compliance and Reporting Standards

Anti‑Money Laundering (AML) – Related terms: Know Your Customer (KYC) , Suspicious Activity Report (SAR) . A regulatory framework designed to prevent the use of financial systems for i …

Fraud Detection and Prevention

Anomaly Detection Algorithms

… of a user or entity , often used in fraud detection to prevent impersonation or identity theft. Related terms: authorization, identity management . Authorization: the process of granting or denying access to resources or systems based on a user's identity or role , often used in fraud detection to prevent unauthorized access. Related terms: access control , iden …

Fraud Detection and Prevention

Transaction Monitoring Techniques

… effectively. Anomaly Detection is a technique used to identify patterns or behaviors that are outside the norm, flagging potential security threats and preventing fraudulent activities. Anti-Money Laundering (AML) refers to the set of regulations and procedures designed to prevent the laundering of illicit funds, requiring financial institutions to monitor and report …

Customer Due Diligence

Ongoing Monitoring Unit

Anti‑Money Laundering (AML) Related terms: Customer Due Diligence , Financial Crime, Risk Assessment, Regulatory Compliance. Explanation: AML refers to the set of laws, regulations and …

Customer Due Diligence

Enhanced Due Diligence Unit

Anti-Money Laundering (AML) – A set of laws, regulations, and procedures designed to prevent criminals from disguising illegally obtained funds as legitimate income. Related: CDD, KYC, …

Customer Due Diligence

Due Diligence Review Unit

… of Customer Due Diligence, acceptable risk refers to the level of risk that a financial institution is willing to accept when dealing with a customer, this can include the risk of money laundering, terrorist financing, or other illicit activities, for example, a financial institution may consider a customer to be high risk if they are from a country with a high r …

Customer Due Diligence

Customer Risk Assessment Unit

… threshold, together exceed the institution’s exposure limit for virtual assets. Managing aggregation risk requires setting aggregate thresholds and regularly reviewing cumulative exposures. Anti‑Money Laundering (AML) financial crime, compliance, regulatory framework A set of laws, regulations, and procedures designed to prevent the generation of income through illegal ac …

Customer Due Diligence

Customer Identification Unit

… Identification Unit ) and other CDD systems. Access control ensures that only authorized personnel can perform identity verification, update risk profiles, or approve exceptions. Example: A compliance officer is granted read‑only access to client records, while a senior analyst receives edit rights to approve high‑risk customer onboarding. Practical application: Implementing mu …

Fraud Risk Assessment and Management

Fraud Governance and Controls

… is a critical concept in Fraud Governance and Controls, as it ensures that individuals are held responsible for their roles in preventing and detecting fraud. Related terms include compliance, governance, and internal controls. In the context of Fraud Risk Assessment and Management, accountability is essential for maintaining effective controls and preventing fraudulen …

Fraud Risk Assessment and Management

Fraud Monitoring and Reporting

… Blacklists are used to automatically block transactions involving flagged parties. For instance, a financial institution may reject payments to accounts previously associated with money‑laundering schemes. While effective for known threats, blacklists can become outdated quickly, and over‑reliance may overlook emerging fraud actors not yet added to the list. Busi …

Fraud Risk Assessment and Management

Fraud Prevention Strategies

Anti‑money Laundering (AML) Related terms: Know Your Customer , Suspicious Activity Report (SAR). Explanation: A set of procedures, laws, and regulations designed to stop the practice …

Fraud Risk Assessment and Management

Fraud Impact Analysis

Anti‑Money Laundering (AML) Related terms: Know Your Customer , Suspicious Activity Report Explanation: AML refers to the set of laws, regulations, and procedures designed to prevent c …

Fraud Risk Assessment and Management

Fraud Risk Identification

… fraud risk identification, analytical review serves as a primary detection tool. Challenges include data quality issues and the need for skilled analysts to interpret subtle patterns. Anti‑Fraud Culture – Related terms: tone at the top, ethical climate . The collective attitude and behaviors that discourage fraudulent activity and encourage reporting. Example: a lea …