About a year ago, we introduced risk classification as part of the KYC Suite. It enables professional users to classify clients according to risk (low, medium, high or unacceptable). We have now added several workflows: initial review, periodic review and event driven review. All workflows contain a task list and allow professional users to assign tasks, review the tasks of others, and more.
An initial review of a client should take place at the time a relationship is entered into with a client. In accordance with the CDD policy of the professional user, the client should be examined and the risk profile of the client should be determined and recorded in the file.
After the initial review, clients should be periodically reviewed. The frequency of the periodic review depends on the risk classification of the client and the policy of the professional user and can be set by the professional user in the system. When it is time for a periodic review, the user will automatically receive a notification and the workflow for this review can be started.
Event driven reviews should take place on the basis of an event. For example, if someone has been placed on a sanctions or PEP list, or if a large deposit has been made and the origin of the assets must be verified. Within the event driven review workflow, the professional user can perform the necessary checks.