Also known as AML, this refers to processes, actions, laws and regulations that are designed to make it harder for criminals to profit from crime.

Transaction monitoring refers to the monitoring of customer transactions, including assessing historical/current customer information and interactions to provide a complete picture of customer activity. This can include transfers, deposits, and withdrawals.

Financial regulators and Key Institution refers to the rules and laws firms operating in the financial industry, such as banks, credit unions, insurance companies, financial brokers and asset managers must follow.

Processes, policies and controls designed to ensure that companies comply with the requirements Anti-Money Laundering regulations and understand the AML relevant risks of conducting business.

Terrorist Financing is the provision of funds or providing of financial support to individual terrorists, terrorist groups and/or campaigns and non-state actors.

Requirements created by regulatory and supervisory authorities. These are usually designated by lawmakers or governments to ensure stability or to protect the rights of consumers.

A money mule is a person who transfers illegally obtained money between different payment accounts, very often in different countries, on behalf of others.
Money mules are also recruited by criminals to receive money into their bank account, in order to withdraw the money and in most cases wire it overseas, receiving a commission payment in return for the provided services.

Cases that don’t warrant review, but which are flagged and as such must be reviewed.

From ‘Regulatory Technology’, referring to the use of technology for facilitate compliance with regulations. The FCA was the first international body to promote the use of this term widely.

Also known as ‘KYC’, refers to the identification and verification of the identity of customers/clients. Regulatory requirements differ but the central aim is to remove anonymity from the financial system and deter criminal behaviour.

A person who holds an important public function. This can include heads of state, heads of government and senior politicians, but extends to a wide range of positions such as (in some jurisdictions) board members of publicly owned companies. Local requirements differ on the definition of a PEP and the extent to which this status applies to their family members and/or associates.

Diplomatic measures used to try and defend the international law and protect natural security. These come in many forms and lead to restrictions on trade and economic activity, travel, cultural activity and diplomacy.

‘Application Programming Interface’.

Essentially this allows different elements to communicate within one another. Think ‘tunnel’ for information.

Crime committed against a form of property, often involving the attempt to convert ownership to one’s own benefit.

Often mistaken as being ‘part of the KYC process’ Enhanced Due Diligence refers to the obligation to have a range of deeper, more stringent checks and controls designed to mitigate the risk in a particular customer relationship.

This can include stronger KYC measures but should also include stricter measures within transactions monitoring.

Another way of saying ‘KYC’ but referring specifically to the identification of businesses and legal persons. The major aim is to remove anonymity and identify structures that could be used to hide the ultimate beneficial owner.