SURPASSING REGULATORY REQUIREMENTS FOR FINANCIAL HOUSE

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Summary

Financial House appointed Napier AI to accelerate their digital transformation programme for AML and achieve performance improvements identified by the Financial Conduct Authority. Napier AI’s Transaction Monitoring and Screening solutions replaced legacy technology, delivering operational efficiencies and new capabilities.

Financial House provides regulated e-money services to the FinTech industry, including white label digital wallets, payment gateways and gift cards. With a diverse customer base of e-money agents, Financial House is committed to meeting and exceeding regulatory requirements, and ensuring its tool and technology support the highest standards for a complete outsourced financial service.

"The transaction monitoring tool is really, really good. I couldn’t ask for anything better; I would definitely advise it to the compliance world."

Metkel Asfaha

MLRO

Challenge

Following feedback from the regulator to substantiate the approval of transactions for high-risk clients, Financial House saw an opportunity to improve its anti-money laundering technology. After extensive vendor research, Financial House appointed Napier AI to replace its existing transaction monitoring and screening systems.

Solution

Napier AI’s Sandbox delivers exceptional autonomy and greater risk management

Midway through the implementation project, seasoned compliance specialist Metkel Asfaha took over the role of Money Laundering Regulatory Officer. He was delighted to find that Napier AI’s intelligent compliance platform offered advanced features and capabilities that delivered immediate benefits to meet Financial House’s evolving and complex requirements. With vast experience in working with other transaction monitoring tools, there was one feature that particularly stood out for Metkel: the ability to independently develop and test rules in Napier AI’s integrated Sandbox without any waiting for supplier intervention or support.

Napier AI’s Sandbox

Napier AI’s integrated Sandbox environment allows the end user to use a no-code rule builder to define, change, and test rules. The Sandbox function enables the user to run concurrent simulations and test regulatory changes on the organisation’s own data to understand the impact of rule changes before deploying them to a live environment. This means the compliance officer or financial crime analyst doesn’t need to have any coding experience, and is able to rapidly adapt to the changing transaction behavioural patterns of their customer and regulatory obligations, in line with their firm’s risk policies.

“The granularity of rules combined with the level of rule testing were big winners … it’s so important for me to demonstrate my rules have minimal false positives.”

‍Metkel Asfaha, MLRO, Financial House

Benefits of the sanbox

1. Improved risk management and increased control

The flexibility of Napier AI’s advanced rule-builder allows Financial House to adjust rules specifically to each client’s risk level, giving Financial House greater control and oversight of every client.

2. Reduced costs

Costs are considerably decreased as less time is spent reviewing false positives and there are no fees to make rule changes.

3. Zero impact on day-to-day and increased operational efficiency

The sandbox allows rules testing on production data before going live, with zero impact on day-to-day operations.

Results

In addition to gaining far more control over rule thresholds, by upgrading to Napier AI’s AML Platform, Financial House was able to meet it’s primary goal to to substantiate the approval of transactions for high-risk clients.

“Feedback from the regulator made filing more documentation for high-risk clients especially important. In particular, we needed to provide evidence for high-risk transactions being approved,” said Metkel.

“The Napier AI platform has achieved this. Analysts know exactly what is happening and can draw on data/evidence as needed, as well as matching polices and workflow within the system as our workflow dictates.”

In Napier AI’s solutions, teams can manage cases through a single, self-auditing platform that defines and unifies every step of an investigation and provides a full and detailed audit trail. Financial House is now able to view only the data that is relevant to a defined workflow with our highly configurable dashboard. With access to a palette of over 100 pre-built widgets, the team can control and configure what each team member needs to see to ensure it is relevant and specific to their role.

✓ Regulator compliant

All improvement requirements specified by the FCA have been met or exceeded

✓ Building their own rules

The rule builder and sandbox are key reasons Financial House chose Napier AI

✓ Integrated

Full integration with other existing compliance platforms

✓ Supported

First class support from Napier AI’s Professional Services team