SWIFT Profile to address nested relationships

Interbank messaging provider, SWIFT has announced that it is to introduce a new product to enhance its recently launched Know Your Customer (KYC) Registry (Newsflow, 12 December 2014).

SWIFT Profile, aims to increase KYC transparency and address Know Your Customer’s Customer (KYCC) requirements and nested relationships.

Risk identification
The new service will be available from January 2015 and will further build SWIFT’s financial crime compliance services portfolio.

SWIFT Profile uses the interbank messaging provider’s aggregated traffic data to help banks identify areas of potential risk within specific jurisdictions and support due diligence activities.

Nested relationships
It provides an independent fact-based overview of both the direct and nested correspondent banking activities of a specific bank.
So called ‘nested’ activities involve a bank obtaining access to a financial system by anonymously channelling funds through the correspondent bank of another foreign institution, rather than having its own accounts.

Additional benefits
SWIFT Profile can also be used by institutions wanting to provide more transparency on their own correspondent banking activities.

The new service is the first in a series of value-added KYC and customer due diligence services that SWIFT says it will offer in connection with its KYC Registry.

Categories: Trade Based Financial crimes News

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