Use graph analytics to beat money launderers at their own game
Financial institutions must fight money launderers in their own territory and operate beyond the constraints of rules-only AML systems. By leveraging graph analytics, banks can reveal complex webs of money laundering practices that might be overlooked by legacy systems. Now is the dawn of a new era when banks can boost security against invasive criminal activity to better protect their organizations, reputations, and customers.
Graph analytics is a mathematical model that investigates information in graph format, plotting data points as nodes and sketching relationships among those data points as edges. With the ability to assess connections, no matter how complex or distant, this technology helps banks piece together patterns that were unidentifiable until recently.
Many industries use this technology to gain previously undiscoverable insights and adhere to AML rules. Chief compliance officers stand to benefit from graph analytics as the solution can be extremely effective against malicious networks of money launderers and can strengthen compliance management systems.
“The fight against money laundering has reached a tipping point as effective AML mitigation is becoming more challenging in an ever-evolving regulatory and business ecosystem. With heavy reliance on rules-based detection and highly manual investigative processes, the financial services industry is rapidly embracing graph analytics technology. By visually connecting customers and parties, related accounts and payments, and other data, graph analytics can deliver more-holistic customer profiles, uncover hidden risks, and optimize financial crime detection and investigations while simultaneously easing the burden on staffing and elevating the customer experience.”
