KNOW YOUR CUSTOMER

PROSPECT NAME TO BE ADDED HERE

SALES NAME TO BE ADDED HERE 1
BETWEEN $800BILLION AND $2TRILLION
O F G L O B A L G D P I S E S T I M AT E D T O B E
LAUNDERED EACH YEAR*

Know Your Customer (KYC) requirements imply that companies

must carry out due diligence to verify a client’s identity and prevent
identity theft, fraud and money laundering
KYC is also required for country-specific regulations, international
Anti-Money Laundering (AML) regulations, the Alternative
Investment Fund Managers Directive (AIFMD), FATCA and CRS

An average bank spends $ 4 0 M I L L I O N a year on KYC

Compliance, when large banks spend up to $ 3 0 0 M I L L I O N **

*The United Nations Office on Drugs and Crime

**Thomson Reuters 2016 Know Your Customer Survey
MAIN CHALLENGES

K Y C C O M P L I A N C E F O R C O M PA N I E S

• Increasing number of regulations to monitor and report on locally with the same or decreased
APPROPRIATE RESOURCE human resource
• Lack of uniform approach or partner to monitor and report on local regulations across multiple
countries.

• Lack of unified process for customer and partner on-boarding and KYC data collection
CUSTOMERS AND PARTNERS • Rejecting clients because of high volume of checks that do not provide enough analysis for
EXPERIENCE decision making
• Client on-boarding time is increasing…so are their frustrations.

• Cost of non-compliance is increasing with increased financial penalties

FINANCIAL AND REPUTATIONAL • Cost of reputational risk from working with PEPs or fraud is very high
RISKS • Financial information exchange between governments globally exposes weak spots of
company compliance…you don’t want to be called out for missing a CRS deadline in Paraguay.

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MAIN CHALLENGES

KYC COMPLIANCE FOR ASSET MANAGERS

• Lack of control over decision making processes and data consolidation to perform risk analysis
• Lack of uniform approach to monitor and report on local regulations across multiple countries
DATA INTEGRITY AND SECURITY
• The need to consolidate different regulatory requirements in one secure data base
• Risks of highly sensitive client data being leaked due to poor data exchange practices

• Lack of unified process for customer on-boarding and KYC data collection
CUSTOMERS AND • Increasing on-boarding time and requests for more information, for example UBO registers,
PARTNERS EXPERIENCE results in poor client experience and client frustration

• Cost of non-compliance is increasing with increased financial penalties

FINANCIAL AND
• Nominal cost of reputational risk from non-compliance and working with PEPs or frauds
REPUTATIONAL RISKS
• High risk of not reviewing KYC checks as per new sanction lists and regulations

• Lack of appropriate instruments and personnel to perform in-depth KYC checks

• Limited or no resource to periodically review KYC results as per new regulations and sanction
APPROPRIATE SOURCING lists
• Increasing investment in personnel to be up-to-date with the fast-changing regulations 4
 KNOW YOUR CUSTOMER

HOW TMF GROUP CAN HELP

Uploads initial TMF conducts client

documents via TMF’s due diligence
platform
Customer identification, verification Registration and maintenance of identification
and due diligence Due diligence information is filed in our secure
Clients provide documentation via our online
portal; we then perform due diligence as per 01
Company’s compliance
02 database for future inspection by clients, or if
regulators require it. We facilitate your registration in
latest regulations and sanction lists. risk manager decides TMF delivers with local regulations such as the EU law
whether to accept client
accordance
A report is delivered to the client. reports/findings
on UBO registries.to
client company
TMF is able to conduct
ongoing, periodic
checks

On-going monitoring and reassessment

We can perform periodic reviews of KYC KYC reporting
information, taking into account current regulations
and client requirements. We also perform ‘event 03 04 In line with AMLD, AIFMD, FATCA and CRS, we can
prepare and transmit KYC reports on reportable
checks’ when events occur that could, or do, affect accounts, related financial account information and
the risk assessment of your clients. personal information.

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KNOW YOUR CUSTOMER

WHY TMF GROUP

We can deliver a comprehensive corporate structure analysis in local languages

We take a risk-based approach that helps companies to categorise clients and
partners, and optimise the workload of their risk and compliance staff
We offer reliable KYC technology, which is also used for TMF Group client’s
KYC/AML compliance
Our checks are always up to date and in accordance with latest regulations and
sanction lists
We offer a flexible and scalable on-demand pricing model
We take an end-to-end approach that includes screening, on-going monitoring and
enhanced customer due diligence (deep checks)
Because of our in-depth knowledge we can take care of your remedial KYC
compliance backlog
We provide a single point of contact to manage enquiries from different countries
We have compliance officers in more than 80 countries where we operate
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 VENTURE FURTHER

GLOBAL GOVERNANCE BEPS

SERVICES Common Reporting Standard

Directorship and Officer Services
FATCA
KYC Services
UBO Register Services
Demonstrate compliance

Increasing stakeholder pressure is put on companies to enhance and

demonstrate corporate governance procedures and controls.
New and existing laws and regulations surrounding financial transparency, free
exchange of information and public registers poses an increased
administrative burden.
Remaining compliant with global regulatory demands and requirements
increases the need for qualified experts on the ground.
Multinationals are faced with the challenge of combining and comparing
various entities’ reports across different countries to flush out inconsistencies
and subsequent non-compliance.

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THANK YOU

Whilst we have taken reasonable steps to provide accurate and up to date information in this
publication, we do not give any warranties or representations, whether express or implied, in
this respect. The information is subject to change without notice. The information contained
in this publication is subject to changes in (tax) laws in different jurisdictions worldwide.
None of the information contained in this publication constitutes an offer or solicitation for
business, a recommendation with respect to our services, a recommendation to engage in
any transaction or to engage us as a legal, tax, financial, investment or accounting advisor.
No action should be taken on the basis of this information without first seeking independent
professional advice. We shall not be liable for any loss or damage whatsoever arising as a
result of your use of or reliance on the information contained herein.
This is a publication of TMF Group B.V., P.O. Box 23393, 1100 DW Amsterdam, the
Netherlands (contact@tmf-group.com). TMF Group B.V. is part of TMF Group, consisting of
a number of companies worldwide. No group company is a registered agent of another
group company. A full list of the names, addresses and details of the regulatory status of the
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companies are available on our website: www.tmf-group.com.
© September 2017 TMF Group B.V.