Financial Crime Risk Assessments

Firms need to have robust controls in place to mitigate against financial crime. A financial crime risk assessment should be undertaken on a regular basis and documented accordingly.

The risk assessment should include a within the jurisdictions it operates in, the types of customers it attracts, the complexity and volume of the transactions and the means of distributing the products to customers. The risk assessment should be business wide and also take into account individual relationships.

Does your review cover :

• An assessment of the financial crime risks to which the firm may be exposed as a result of the products and services it offers;
• Staff training; frequency and coverage;
• A review of the jurisdictions that you operate within;
• The types of customers that you deal with and their physical location;
• The complexity and volume of the transactions;
• Non-standard verification – the exception or the rule;
• The source(s) of funds;
• Routes to market – how you distribute products and services;
• Internal risks – the role of staff;
• Third parties - their role within the business ?