Paul Johns, chief marketing officer at Complinet said: âDue to the sheer and growing volumes of transactions that companies in the financial services sector have to deal with, identifying those that are potentially abnormal or unusual can no longer be a manual process; automation is key. TransWatch bridges the gap between detection and resolution and provides businesses with an effective AML and risk management system. Itâs vital that companies go beyond detection to understand and successfully resolve problems.â
Automated transaction monitoring systems have traditionally relied on scenario-based sets of behaviours that can generate an impractical amount of false positives, which are then in turn disconnected from investigative information. TransWatch enables connected compliance, delivering a rules-based approach that reduces false-positives, and links detection with case resolution and reporting mechanisms to increase efficiency.
Using TransWatch, institutions can identify all customer activity, monitoring activity against rule parameters mandated by governments or regulatory bodies, or set by the firm itself, based on its internal risk profile. The system also enables the production of a wide range of regulatory reports and facilitates reporting to individual financial intelligence units (FIU), such as SOCA or FinCEN. This function is particularly useful to firms in countries and territories that operate under the mandate of the Financial Action Task Force (www.fatf-gafi.org), which are required to monitor, investigate and report suspicious transactions.
TransWatch includes more than 70 pre-built and pre-tested detection rules as standard. These can be personalised and tailored to suit the needs and specific regulatory requirements of individual organisations. Standard rules that will trigger a rule-breach alert include: accounts with significantly higher than usual turnover; repeat cash deposits; withdrawals above a given threshold; or accounts that have incurred an unusually high penalty charge.
The transaction monitoring solution updates compliance teams first thing each morning with cases of rule breaches that they can quickly resolve through TransWatchâs integrated workflow and management reporting tools. The system allows the team to review and investigate each alert to determine if it is suspicious, as opposed to simply unusual behavior, and make an informed decision on whether to disclose to the regulator or FIU.
Execution is highly automated and minimal day-to-day intervention is required for the automatic detection routines. This helps ensure that suspicious behaviour and transactions are detected in a timely manner. Additionally, TransWatch allows investigative officers to focus on genuine cases, accelerating the entire monitoring and reporting process. Because workflow is dynamic and intuitive, requiring minimal input from the IT department, the compliance team retains full control throughout the management of investigation processes. A management information module is also included as standard and features a graphical report writer with a series of pre-built report templates.