NICE Actimize has won the award for Best Data Solution for Regulatory Compliance in A-Team Group’s Data Management Insight Awards USA 2023. The awards celebrate leading providers of data management solutions, services and consultancy to capital markets participants.
NICE Actimize’s solution, X-Sight DataIQ ClarityKYC, was selected as a winner by A-Team Group’s US data management community.
Ajit Tharaken, General Manager, Data Intelligence at NICE Actimize, explains why and how the company’s award-winning solution was created, its use cases, and the benefits it can deliver. He also discusses the development roadmap.
A-Team: Setting the scene, please outline your award-winning solution and the types of capital markets clients that NICE Actimize works with.
Ajit: NICE Actimize’s X-Sight DataIQ ClarityKYC is a SaaS workflow solution designed to simplify KYC for users at financial services organisations. We work with a range of capital markets clients and Tier 1 banks.
A-Team: What challenges are your clients facing at the moment?
Ajit: Customer onboarding is a critical first step in any financial services organisation’s risk management strategy. Onboarding new customers and conducting ongoing reviews presents numerous competitive challenges including managing ever-changing regulations.
Another common challenge that financial institutions face is that different data sources require different searching mechanisms because of source differences and limitations. In addition, banks have to manually search, collate and aggregate this data from various vendor systems, making the process time consuming and error prone.
A-Team: How does NICE Actimize help customers address these challenges?
Ajit: NICE Actimize’s X-Sight DataIQ ClarityKYC solution uses aggregation, orchestration, and abstraction abilities that allow clients to bypass all these challenges and leverage the best approach for each data type.
It helps financial institutions comply with evolving regulations by aggregating many open and premium sources with powerful search and matching capabilities, and a regulatory-driven library of automated requirements and enrichment.
Many compliance requirements rely on accurate and up-to-date data from multiple sources – corporate and personal information, identification documents, historical news searches, and more. As regulations evolve, new sources of required data are constantly added including, by way of example, lists of crypto exchanges, Marijuana-related businesses, and darknet breaches.
A-Team: More specifically, what does the company’s award-winning solution, X-Sight DataIQ ClarityKYC, offer to users and how does it work?
Ajit: The focus of NICE Actimize’s X-Sight DataIQ ClarityKYC is to provide a cloud-native, rapid-deployment solution and a way to allow access to a vast number of reliable data sources. With deployments that take a few days instead of months for alternative solutions, and with multiple ways for clients to load data into the system, financial institutions can benefit from the system immediately.
NICE Actimize X-Sight DataIQ ClarityKYC has successfully helped many financial institutions by collecting and aggregating information using automated rather than manual processes and reducing user errors. It combines multiple advanced technologies to continuously improve this process, providing the best outcomes for users.
A-Team: What are the benefits of implementing X-Sight DataIQ ClarityKYC?
Ajit: A benefit of the SaaS nature of X-Sight DataIQ ClarityKYC is the ability to continuously keep the system up to date with changing APIs, data feeds and attributes from different data vendors. This allows clients to continue to leverage these elements without having to make large spends on maintenance, data mapping exercises, and validations. Proactive monitoring of the data enables DataIQ ClarityKYC to react to data changes and potential issues immediately and resolve them once across all clients instead of having to rely on one-off processes.
For structured data, NICE Actimize uses an advanced fourth-generation cultural name-matching engine that provides fuzzy name matching while keeping the number of false positives low. For unstructured data, we combine filtering mechanisms with a machine-learning driven similarity engine to reduce duplicate address requirements.
X-Sight DataIQ ClarityKYC supports extracting and fetching data attributes and documents from relevant sources including corporate registries, sanctions and PEPs lists, adverse news, and documents such as SEC filings. A similar mechanism allows analysts to expand investigations to related entities, perhaps owners, subsidiaries and officers of companies. NICE Actimize’s unique Regulatory Library drives aggregation and automation, and uses a curated collection of applicable global regulations to guide users and automate required tasks.
A-Team: Please run through a short case study of X-Sight DataIQ ClarityKYC
Ajit: A Tier 1 Bank, simultaneously absorbing high growth and executing a major acquisition, faced the prospect of doubling investigations and onboarding headcount as well as consolidating vastly different processes from the two firms. This translated into an untenable timeline and expenditure. Using X-Sight DataIQ ClarityKYC, the bank achieved an 88% capacity increase and over $6 million in cost savings in the first year alone.
A-Team: How will you develop this award-winning solution over the next year?
Ajit: NICE Actimize constantly adds new data sources to the solution primarily based on client demand. We are also investing in AI capabilities such as GenAI for news summarisation, sentiment analysis and clustering. A way to identify similar news stories, these improvements will help drive down the time it takes to conduct onboarding and KYC cases.
We are also working on dashboards and analytics so users can make sense of the data they are consuming to get the best ROI from each of the data sources.
In addition, the company will be launching a Regulatory Rules Library, a rules-driven approach to determining what tasks and actions need to be completed during a client onboarding process. These tasks are based on global and local regulations and take into account the jurisdiction of the customer, booking entity, products and nature of a client relationship.
A-Team: Finally, what does winning A-Team Group’s award for Best Data Solution for Regulatory Compliance in the USA mean to NICE Actimize?
Ajit: Winning this award further demonstrates our commitment to helping firms during the client onboarding and KYC process. It is also important as it recognises the NICE Actimize X-Sight DataIQ team that works diligently on solutions and with our customers on their needs and challenges.
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