UOB teamed up with a start-up to enhance its anti-money laundering surveillance. The announcement comes in the heels of the Singapore lender's recent emphasis to turn «digital».
UOB recently collaborated with Singapore-based regulatory technology firm Tookitaki Holding to develop machine-learning solutions that could draw out faster and more precise information required for anti-money, or AML, laundering detection and action.
«The use of regtech such as Tookitaki’s anti-money laundering suite enables us to augment our ability to identify actionable alerts and to minimize false positives. These sharpen the accuracy and effectiveness of our AML risk management,» Victor Ngo, head of group compliance at UOB, said in a press release.
During a six-month pilot, the bank's name screening alerts improved: false positives for individual names and corporate names dropped by 60 percent and 50 percent respectively. For transaction monitoring, UOB saw a 5 percent increase in true positives and 40 percent drop in false positives.
Steps to Turn Digital
Banks have to deal with huge volumes of transactions on a daily activities. The integrated solution is meant to supplement UOB's existing AML systems, so that it can make sharper and swifter detection of high-risk individuals, companies and suspicious activities.
«The three key pillars of Tookitaki AMLS are to provide actionable, scalable and auditable outputs to help banks manage the heavy volume of transactions and alerts,» said Abhishek Chatterjee, chief executive of Tookitaki.
The announcement comes in the heels of the Singapore lender's recent emphasis to turn «digital», as reported by finews.asia.
