SWIFT said that it will partner with consulting services group Omnicision to deliver its sanctions testing service, an application that integrates the testing and tuning of sanctions filters to help banks operate a more effective and efficient sanctions environment.
It described the SWIFT sanctions testing service as providing banks with the ability to measure the effectiveness of their systems and reduce their number of false positives. Through a process that integrates testing and tuning, users can verify that their systems work as expected and are aligned with their risk appetite. A team of professionals is offered to help users make the most of the service.
SWIFT added that the launch takes place at a time when the need to comply with sanctions requirements has never been more evident. Banks can be exposed to significant fines and costly remedial actions for sanctions control failures. For global organisations, multiple sanctions lists are needed that evolve daily, and screening systems have to be precisely tuned in order to deliver operational and detection effectiveness.
Sanctions testing is an application that automates the creation and maintenance of test data and result analysis. Users can manage their own testing programme and produce performance reports in comprehensive detail. The application also provides real-time alerts and navigation on changes to sanctions lists.
The service is scheduled to go live in September 2012, and follows the launch by SWIFT earlier this year of sanctions screening, a centralised service enabling small and medium-sized financial institutions to comply with sanctions regulations.
The central bank has tweaked its stimulus programme and is making a fresh effort to push Japan’s inflation rate above its 2% target.
A global survey of 200 corporate treasurers by Temenos and Ovum shows that many expect at least some banking services to relocate away from London.
The US Department of Justice wants Deutsche to pay the penalty to settle an investigation into mortgage-backed securities, but the German bank has a much lower figure in mind.
Regulatory technology - aka RegTech - should become a priority for bankers as regulators increasingly focus on risk data aggregation, argues a white paper from Wolters Kluwer.