AML Analytics Launches Red Flag Tests To Health Check Transaction Monitoring Systems
LONDON, May 6, 2021 /PRNewswire/ -- As part of its expansion of anti-money laundering (AML) solutions for transaction monitoring systems, AML Analytics has announced the launch of Red Flag Tests.
Red Flag Tests has been created by expert RegTech and SupTech developers at AML Analytics as part of their portfolio of solutions to support financial institutions (FIs) in the regulated sector. Using synthetic data to validate transaction monitoring system rules, Red Flag Tests will help analysts understand if a system is working correctly to mitigate financial crime risks. This AML Analytics solution makes it easier for analysts by sorting complex rules into Smart Scenarios.
Red Flag Tests is the newest solution from AML Analytics and a rapid global uptake of this technology is expected due to its innovative abilities to uncover inefficiencies in a transaction monitoring system.
Red Flag Tests uses millions of synthetic transactions to identify weaknesses in a transaction monitoring system's alerting capabilities so that analysts can eliminate time-wasting inaccuracies and tune the system to drive increased performance.
"Red Flag Tests plays an essential part in the AML compliance programmes of financial institutions as a vital means of mitigating financial crime risks. It brings reassurance that a transaction monitoring system is working correctly, meaning that the system is able to identify and capture suspicious or unusual transactions."
Justin Holder | CEO and Founder | AML Analytics
A Red Flag is a regulatory-based indicator that highlights potential illegal activity in an account. Red Flags are created using knowledge gained from expert analysis of criminal transactional activity. They are categorised in line with regulatory guidance and are designed to identify specific financial crime typologies, such as the Illegal Wildlife Trade, Modern Slavery or Terrorist Financing.
A transaction monitoring system that is not functioning correctly will not detect suspicious or unusual transactions consistent with known money laundering and terrorist financing typologies. This puts the FI at serious risk of sanction violations and fines.
When a transaction system is working accurately with a manageable number of false positives, Red Flags in financial flows can be identified more easily and financial crime risks are reduced.
Red Flag Tests is therefore an essential AML technology audit solution for FIs to ensure they meet stringent regulatory requirements and that their AML processes are watertight.
AML Analytics are the world leaders in the testing and validation of sanction screening and transaction monitoring technologies used by FIs in the regulated sector. The company offers a suite of pioneering AML RegTech and SupTech solutions to FIs and Regulators.
Media Contact | Katie Miller
Company | AML Analytics Ltd
Phone | +44 (0) 1264 889 339
Email | katie@aml-analytics.com
Website | www.aml-analytics.com
Photo : https://mma.prnewswire.com/media/1504681/AML_ANalytics_Logo.jpg
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