Emerging Risks in Financial Crime Prevention: Industry Experts Weigh In
The 26th Annual International AML1 and Anti-Financial Crime Conference of the Association of Certified Anti-Money Laundering Specialists (ACAMS) was held on March 23, bringing together hundreds of industry experts from financial institutions, law enforcement agencies, and regulatory bodies to discuss the latest developments in managing and mitigating risks. As the financial crime landscape continues to evolve, Anguilla’s financial sector must stay ahead of emerging threats.
Digital Disruption: A Major Theme at the Conference
Digital disruption is a major theme at the conference, with compliance officers eager to understand the challenges and opportunities presented by digital assets. According to McKinsey & Company partners Olivia Conjeaud and Peter Wild:
- Current geopolitical risk: “The industry is in a unique situation with current geopolitical risk,” said Peter Wild.
- Global collaboration: “The degree of global collaboration taking place is unprecedented.”
- Challenges and opportunities: The industry is eager to understand the challenges and opportunities presented by digital assets.
Collaboration Key to Addressing Emerging Risks
Scott Werner, associate partner at McKinsey & Company, emphasized the importance of productive collaboration among regulators, law enforcement, and financial institutions to address emerging risks:
- “We are seeing this among regulators, law enforcement, and financial institutions.”
- “The entire ecosystem is working together to address challenges that have always been there, but now new risks in the geopolitical and digital-assets space are accelerating constructive dialogue between these parties.”
Compliance Organizations Must Evolve to Stay Ahead of Risks
Marilu Jimenez, senior advisor at McKinsey & Company, warned that compliance organizations must continue to evolve and innovate to stay ahead of rising new risks:
- “Regulation is increasing to address existing risks, with an eye on quickly addressing rising new risks, such as digital assets, sanctions, et cetera.”
- Compliance organizations need to stay ahead of the curve on what’s possible with technology and how it can help in risk management activities.
Recommendations for Building Resiliency
To build resiliency in the face of emerging risks, industry experts recommend:
- Staying abreast of old and new challenges
- Embracing innovation
- Sharing best practices
By embracing innovation, collaboration, and best practices, Anguilla can remain a trusted and secure financial hub.