Machine Learning and Artificial Intelligence proponents are convinced ā and spend a lot of time trying to convince others ā that they will disrupt and revolutionize the current ābrokenā AML (anti-money laundering) regime. Among other targets within this broken regime is AML alert generation and disposition and reducing the false positive rate. The result, if […]
Introduction In this article, I will present updated fundamentals on what is an Anti-Money Laundering (AML) model validation as defined by the Office of Comptroller of the Currency (OCC) guidance. In an effort to provide oversight on the model validation process, I will demonstrate the definition, itās origin, how that translates to its use in […]
What is explainability? There is a lot of chatter about it in relation to software applications, in particular those that leverage emerging technologies such as artificial intelligence (AI) and machine learning (ML). Regulators have been sort of blunt about use of these technologies: a firm canāt just buy and implement a new piece of technology, […]
BSA risks continue to evolve andĀ time does not stand still for money launderers or fraudsters.Ā Ā The criminals are always looking for non-traditional ways to accomplish the same results and financial institutions and BSA Officers often only rely on controls we are most comfortable with.Ā This tendency is the starting foundation for BSA criticism.Ā Ā Is your BSA program and […]
