Sweden Takes a Strong Stance on Anti-Money Laundering Regulations

In response to the European Union’s updated Directive 2015/849, Sweden has reinforced its anti-money laundering (AML) regulations to protect the financial and economic system from money laundering and terrorist financing. The new measures have significant implications for various sectors, including banks, mortgage companies, insurance companies, auditors, accountants, estate agents, and law firms.

The Challenges of Implementing AML Regulations

According to experts at TietoEVRY, a leading IT services company, the main challenge facing the industry is accessing reliable customer data. The new regulations require a thorough investigation into various elements of information before determining whether a customer is complying with the provisions.

Key Challenges in Accessing Reliable Customer Data

• Companies must start this work as soon as they need to onboard a new customer.
• Who owns the company? Who has control over the shares? Who has powers to bind the company and sign on its behalf?
• These are just some of the questions that companies need to ask before they can risk-assess their customers.

Legacy Issues and System Architecture

Ole Jonassen, sales manager for the banking/finance and insurance industry at TietoEVRY, highlights legacy issues with system architecture as a major obstacle. “Many companies still carry a lot of ill-suited systems that are not designed to handle new AML requirements,” he says. “Efficient handling of AML demands good system solutions.”

Overcoming Legacy Issues with System Architecture

• Implementing digital onboarding processes for new customers
• Integrating relevant information registers into the technology
• Providing access to up-to-date datasets from multiple sources

Building a Successful AML System

To overcome these challenges, TietoEVRY recommends taking simple steps to streamline customer management and reduce costs.

Key Recommendations for Building a Successful AML System

1. Implementing digital onboarding processes for new customers
2. Integrating relevant information registers into the technology
3. Providing access to up-to-date datasets from multiple sources

Continuous Monitoring of Customer Relationships

In addition to onboarding and risk assessment, TietoEVRY emphasizes the importance of continuous monitoring of customer relationships. This can be achieved through good data monitoring and observing actual activities in relation to risk assessment categories.

The Importance of Continuous Monitoring of Customer Relationships

• Automating an ODD process in a way that is not detrimental to operational work will become all the more important
• Continuous monitoring allows for early detection and mitigation of potential risks

TietoEVRY’s AML Expertise

TietoEVRY has extensive experience in helping companies comply with AML regulations and establishing better data sets for today’s use of data. They assist customers in various countries, including Norway, Sweden, and others. For more information, please get in touch with TietoEVRY.