Upload
phungphuc
View
220
Download
0
Embed Size (px)
Citation preview
Susta inab le approaches in ach iev ing compl ian t , smar t
and (a lmos t ) pa in less cus tomer onboard ing
Graham M L loyd
Di rec to r, Indus t ry Pr inc ipa l – F inanc ia l Serv ices
© 2015 Pegasystems Inc. 2
OECD CRS: 90 countries signed up, 50 for 2016 adoption. The journey may be more exhilarating for some than others……..
© 2015 Pegasystems Inc. 3
As complex geography, LOB and product-specific regulations proliferate:
Fines for non-compliance are multiplying
Regulators increasingly expect an enterprise-wide approach
Customer interaction models are inconsistent across geographies/LOBs
Operational inefficiencies result from disparate systems requiring similar information in multiple areas
Onboarding time is ever-longer and costs are rocketing (>USD 25K per institutional client)
In response, global banks are:
Moving towards global KYC centralisation
Migrating some components to the front office
Attempting to transform Client Lifecycle Management to recover time to revenue, quality of customer experience
Meantime, regulations are driving big changes in both KYC and Client Lifecycle Management (CLM)
Forrester: The number one pain point during Onboarding is KYC TowerGroup: KYC/Onboarding technology spend will reach USD 10Billion by 2017
© 2015 Pegasystems Inc. 4
Mr. Tom B (1120) | Commercial Jackson Rd. East Hartford Work: 768-247-3499 Net Worth: $100Million
T Bridges (1241) | Private 117-2a Jackson Rd East, Hartfrd Annual Income: $2M
Tom Bridges (1322) | Institutional 2a East Jackson [email protected] Employer: Fed Reserve
Tom Brid (1411) | Retail 212-676-8099 2a E Jackson Rd, Hartford, CT 078911/ [email protected] Annual Income: $2,000,000
Current State Future State
Tom Bridges
Single Customer View
Prospecting Client
Retail Client
Institutional Client
Private Client
Commercial Client
The most successful players use technology to integrate CLM with Compliance to deliver a single, customer-centric, end-to-end approach
Initiate Request Enrich KYC/CDD/ Suitability
Credit Underwriting/
Sanctioning
Legal Docs & Agreements
Account
Setup/
Fulfillment
Transact/
Maintain
© 2015 Pegasystems Inc. 5
SYSTEMS OF
OMNI-CHANNEL CLIENT INTERACTIONS
CIF Trading Accounting 3rd Party ECM
INTELLIGENT WORK AUTOMATION
REGULATORY COMPLIANCE DATA MANAGEMENT
The scale of the challenge can appear daunting
© 2015 Pegasystems Inc. 6
It helps to start with a simplified view of what good looks like
© 2015 Pegasystems Inc. 7
Onboarding
Audit and Reporting
Rules-Driven Suitability/Product
Selection Age
Income
Risk Tolerance
Investment Experience
Investment Objectives
Products
Booking Location
Security Futures
• Higher Risk
Hedge Fund
• Higher Risk
Mutual Fund
• Lower Risk
System of Record
Tax Reporting System
Rules-Driven KYC Technology Relationship Management: 360 View
Understanding the driver data helps ground and enable a rule-based approach
CRM
Driver
Data
Multiple
Streams
Agility: Designated business users can update
rules and processes as risks and regulatory
requirements change
ABC Corp
Jane Doe
John Doe
Bob Smith
Acme
Country Products Dynamic
Risk Rating
Driver Data
• Type
• Risk
• Legal / Mailing
SDD Requirements
EDD
Requirements
Screening Integration
Existing Client
Legal Entity/
Booking Entity
Underlying Parties
Suitability Requirements
• FINRA
• MiFID
FATCA Requirements
Web Self Service
Broker
iPad
Sales
ABC Corp Jane Doe John Doe
© 2015 Pegasystems Inc. 8
The rule-based approach can be applied across the Lifecycle’s processes…….
Initiate Request
KYC /CDD/Suitability Credit
Sales Service
Legal /Docs
Account Setup
Transact/
Retain
Platform for 360° View of Client & End-to-End Client Lifecycle Management
Client Self-Service
Mobile onboarding,
approvals and notifications
Sales System Integration
System Validation – Right
First Time
All Requests - Products /
Service / Multiple regions
Bulk Onboarding of
intermediary clients
Dashboards
Dynamic Case
Management and
Routing
Integration with
and orchestration
of local Legal
systems
Documentation
validation and
approval
Situationally
aware
Dynamic & Situational KYC/CDD, regulatory rules
by product, line of business, geography (AML,
Suitability, FATCA, MiFID, FINRA, IIROC, EMIR)-
Re-use of due diligence globally, with the ability to
segregate based on privacy rules
Retrieve Markit, SWIFT and other third-party
source data
Automated Global Master Folder Creation for All
Entities & Related Parties
Manage regulatory rule change in the system
Re-review management
Dynamic Case
Management
and Routing
Decisioning for
Credit Risk
Integration with
& orchestration
of local Credit
systems
Situationally
aware
Integration into
Reference Data
Use upfront data
capture to
minimize rekeying
Update trading &
settlement with
product
entitlement
Update Trading
Controls
Service the customer
Global 360 Master View
Manage all interactions,
requests and
requirements globally
Cross-sell/Up-sell
Intent-led customer
service
Periodic Re-reviews
Onboarding For FS
Know Your Customer
Pega 7 Build For Change Platform
Customer Process Manager for FS
Initiate/Enrich Risk & Approvals Fulfillment
Enrich
Service
Automated routing to
Sales Assistants and Middle
Office
Data/Doc collection rules and
requirements
Initiate CDD Utility request
(Markit)
Situational rules by booking
entity, LOB, products driving
the right data enrichment
rules at the right time
Legal entity mgmt
© 2015 Pegasystems Inc. 9
……but things come to fulfilment only when Case Management is also deployed
Stage-based Case Management
© 2015 Pegasystems Inc. 10
The underpinning technology should meet clear criteria
Readily usable by both front and back office
Extend seamlessly between Retail and Corporate & Investment Banking
Work directly from existing repositories/databases
Be quickly proven in the field (pilot)
Learn and facilitate re-use
Neither software nor its vendors can ‘certify’ rules. Use appropriate legal/policy experts to
‘certify’ any unique circumstances you or your customers may have
flag potential changes
© 2015 Pegasystems Inc. 11
Improved Customer
EXPERIENCE
Rules-driven approach with regulation, LOB, product and customer
customisations on one common platform
Fully integrated and scalable
Automated documentation
Remediation/refresh and look-back capabilities through auto-case
creation
A 360-degree ‘Master profile’ ensures reuse of due diligence and
improved customer experience both for entities & underlying parties
Complex Entity Management: Parent/Child, Relationship Management
for entities, Bulk Processing of Intermediary Accounts
2500+ OOTB due diligence rules/logic
Agile enough to quickly accommodate regulatory or strategic change
Done properly, the outcomes can be impressive
GLOBAL VISIBILITY into customer
66% FASTER IMPLEMENTATION
70% faster onboarding & time
to revenue
STRENGTHS
TYPICAL BENEFITS
© 2015 Pegasystems Inc. 12
Local Pega Contact
For more information about how Pegasystems please reach out to:
Evans Hue
Regional Sales Director
Greater China Pegasystems
Office: +852 3180 1720
Mobile: +852 5285 0789 / +86 139 2806 0010
Email: [email protected]