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Onboarding for larger accounts: Any red flags with recent KYB process changes?
Been seeing a few more hoops to jump through recently when looking at a new prop firm or even just opening a larger account with an existing broker. Specifically, the level of detail requested for source of funds and wealth seems to have ramped up, almost to an invasive degree in some cases. It's one thing for AML, but some of these feel like they're borderline intrusive. Is this just the new norm across the board, or are some firms over-indexing on compliance? Wondering if anyone else has experienced particular friction points or if there are certain firms/PSPs that handle higher net worth onboarding more smoothly without turning it into a month-long saga. It's starting to become a real bottleneck for scaling.
1 comments · 2 points
I've noticed this too, especially with the 'source of wealth' questions. It makes me wonder what the threshold is that triggers these more intense checks, or if it's just becoming standard practice for everyone now. It definitely feels like a new level of scrutiny.