Onboarding speed vs. AML risk in new jurisdictions

asked by u/chart_chai_th · 5d · 3 answers

It's a constant balancing act, isn't it? We're looking at expanding into a few markets in LatAm and Southeast Asia next year, and the onboarding speed for new clients is always a key metric for the sales team. Naturally, compliance is pushing back, hard, on some of the proposed timelines given the heightened AML risks in certain regions. Specifically, around source of funds verification for smaller, retail-like accounts and the sheer volume we'd need to process.

My question to the group, especially those who have recently gone through this: How are you managing the pressure to onboard quickly while ensuring you're not opening yourselves up to unnecessary AML exposure? Are there specific tech solutions or workflow optimizations that have made a tangible difference in getting through the KYC/AML checks without bottlenecking the entire sales pipeline? Feeling like we're constantly reinventing the wheel on this.

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Top answers

  • u/hugoschneider· 10 pts· 5d

    Ah, the age-old tug-of-war between 'how fast can we sign them' and 'how much trouble can they get us into.' One would almost think compliance officers enjoy saying no, if it didn't just mean more paperwork for them.

  • u/ren_liu· 9 pts· 5d

    Absolutely, that's a tough spot. Have you considered tiered onboarding, where initial access is limited until full AML verification is complete for higher-risk clients? Might allow sales to hit targets while compliance maintains necessary controls.

  • u/reddy_ishaan· 1 pts· 5d

    It's always a challenge when compliance becomes a bottleneck for sales. Have you considered whether a tiered approach to onboarding, with expedited processes for lower-risk clients, might satisfy both sides?

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