Managing KYC & AML in Corporate Treasury

Commentary

KYC – we all love to hate it, together with its sibling, AML. One participant on the call even joked that KYC really stands for “Kill Your Customer”.

So, after more than ten years, where do we stand? Are things improving? Are we seeing an adoption of standardised data requests and central depositories? Or are banks still coming up with new requirements, and often repeating the same requests within their networks?

If anything, things are getting worse. Increasingly, companies are setting up dedicated internal departments just to handle KYC requests. 

Data

• Data requirements still have not been standardised
  • Requirements vary by country
  • Banks do not accept that some information does not exist in all countries
  • There is inconsistency. The same bank will insist on an item in some countries, but not others
• New requirements keep surfacing. For listed companies, banks are increasingly requiring personal data on management and directors. This is an extension of the UBO (Ultimate Beneficial Owner) requirement for private companies.
• Some countries require,,,,