Anti-money laundering services have been a part of compliance activities and processes in financial institutions for a long time. With the complexity and sophistication of the global financial system, anti-money laundering regulations are becoming more important.

1. GRC and Anti-Money Laundering Services:
Everything You Need to Know
Introduction
Anti-money laundering services have been a part of compliance activities and processes in
financial institutions for a long time. With the complexity and sophistication of the global
financial system, anti-money laundering regulations are becoming more important. Due to the
increased importance, complying with AML regulations are crucial for governance, risk, and
compliance services across financial institutions.
Implementing GRC tools and processes in your anti-money laundering services is crucial for
anti-money laundering as well as the bottom line of your organization. But you should know
that money laundering frauds and scandals aren’t the only things that attract GRC investments.
Keep scrolling to learn about the trends that make banks and financial institutions focus more
on GRC and anti-money laundering services.
1. Highly Aware Customers
Banks and financial institutions are now dealing with more intelligent and more aware
customers. Modern customers expect financial institutions to offer customized services.
Analyzing customer behavior data is crucial for financial organizations to offer customized
solutions and impress customers.
Digital banking and other channels have made large volumes of this data available. But
customer data comes with various risks like privacy issues and breaches. To keep these issues at
bay, several financial institutions are devising strong GRC services.
Enterprise GRC solutions can perform data privacy assessments to understand the type of data
collected at different customer touchpoints. GRC solutions will also help understand how data
can be leveraged in different ways. The objective is to protect customer data against theft as
well as misuse by other organizations.
2. Increased Need for Transparency
The market ecosystem today is unforgiving, and every loss, misconduct, and non-disclosures

2. seem to find its way on social media. It results in deeply negative publicity and ruins market
evaluations to a massive extent. Even some top-tier diversified financial institutions are
struggling to manage these risks.
Therefore, financial institutions align customer complaints metrics around governance issues
like non-compliance with fair lending practices. This approach increases the integrity of the
financial institutions and ensures that the anti-money laundering services are reducing issues of
misconduct. Additionally, it is also useful for making risk-aware decisions with traditional ROI-
driven sales functions.
3. Advanced Technology
With the emergence of fintech firms, the dominance of traditional players in the finance
industry is coming down. Modern financial institutions making maximum use of technology are
changing the business model on which banks generate profits. If banks intend to survive this
competition, they will have to innovate using their products and services.
Furthermore, banks will have to leverage new assets and operating markets that were once far
beyond their imagination, for instance, digital wallets. With banks adopting these technologies,
GRC services are becoming important to understand cyber security risks.
Disruptive technologies like cryptocurrencies, blockchain, and artificial intelligence are
hampering the trust of people in intermediaries on which banks stand. Therefore, risk
management programs will also be focused on strategically handling market disruptions and
trends.
4. Increased Use of AI and Analytics
Innovation across predictive analytics and artificial intelligence is enabling banks to maximize
growth and reduce volatility. Senior management is becoming increasingly dependent on
predictive analysis models to make better and more informed decisions after analyzing the risk
factors.
Even banking regulators use data-driven insights to govern markets. The shift from
retrospective evaluations toward a real-time evaluation of risks is becoming more prominent in
the finance industry. The data from the predictive analysis can be used for the following
purposes:
● Prediction of evolving and emerging risks

3. ● Monitoring systemic risk metrics in real-time constantly
● Designing future-oriented market scenarios to evaluate systemic stress
● Prescribing regulations
5. Establishing Integrity
Banks are constantly trying to establish themselves as trustworthy institutions in front of
customers. Since it drives long-term business performance, GRC services are becoming
extremely crucial.
Financial fraud, misconduct, and other scandals are taking place every other day. So, banks are
becoming more focused on anti-money laundering services. Banks and financial institutions are
trying to adopt best GRC practices from all over the world to maintain a sacrosanct reputation
in front of customers and stakeholders.
How Can Mphasis Help You?
Banks and financial institutions must focus on risk management, industry compliance, and
governance to win the trust of customers. Mphasis enables financial institutions to deal with
risks and save them from compliance regulations. Our anti-money laundering services ensure
that financial crimes and scams can be stopped.
While compliance is becoming more important, several financial institutions are also struggling
with the high costs. If you need to bring down compliance costs, you must focus on reducing
the time spent on AML alerts. With Mphasis at your service, you will be able to reduce the cost
of GRC services along with the number of false positive AML alerts.
Parting Words
Banks and financial institutions are regularly trying to get better in the digital, disruptive age.
Since there are too many risks, regulations are also getting complex in the digital age. But GRC
services based on the principles of integrity and trust can help develop safe and risk-free
financial organizations.