AML Monitoring and Data Processing Platform
Building & Operating a Scalable Compliance Platform for International Banks
Context & Regulatory Framework
The project addressed the constantly growing regulatory expectations for an effective AFC/AML control system with functional transaction monitoring, robust CDD/KYC processes, traceable audit trails, and documented internal security measures.
Risk-Based Monitoring
Transaction monitoring incorporating machine learning and rule-based scenarios for maximum detection accuracy.
Data Quality & Validation
Data quality and model validation as foundational pillars for effective controls with automated quality assurance processes.
Complete Documentation
Complete documentation of all requirements, thresholds, parameterizations, and changes for audit compliance.
Against this background, the task was to introduce a new AML transaction monitoring system (NICE Actimize) while simultaneously building a scalable big data infrastructure that meets these requirements sustainably and performantly.
Project Deliverables & Implementation
Requirements Management & DRS Creation
Development and maintenance of a Data Requirements Sheet (DRS) as central reference for functional, regulatory, and technical requirements. Consolidation of KYC/CDD requirements, TM scenarios & thresholds, data quality KPIs, audit trail specifications, and visualization/drill-down functions.
Big Data Architecture & Cloud Optimization
Building a high-performance data pipeline on GCP (BigQuery, Hadoop, SparkSQL, BigSQL). Daily processing of >70 million transactions with 13 + 3 months history within 6 hours.
Data Quality Management (DQM)
Automated quality assurance with data completeness, integrity, referential checks, and special processing. Monitoring & alerting with Google Cloud tools. On-demand special exports to bridge infrastructure issues.
Operations, Support & Enablement
Operational management of the data pipeline with continuous performance optimization. Support for analytics teams and assistance with parameterization of Actimize rules to reduce false positives. Training of internal staff in cloud technologies.
Technologies & Methods
Big Data & Cloud
GCP BigQuery, Google Cloud Storage (AVRO, JSON), SparkSQL, BigSQL, Hadoop for high-performance data processing in the petabyte range.
Databases & SQL
PL/SQL, T-SQL, Oracle, MS SQL Server for complex data integration and transformation across various systems.
Compliance & Monitoring
NICE Actimize SAM, STAR, AML/CDD/KYC frameworks for comprehensive money laundering prevention and regulatory compliance.
BI & Tools
Looker, Aqua Data Studio, SQL Developer, Jira, HPQC for visualization, development, and project management.
Challenges & Solutions
Challenge
Large data volumes (70M TXN/day) with short loading time
SIMO Solution
BigQuery performance optimization, parallel loading processes, bucket strategy with AVRO/JSON
Challenge
Different stakeholder requirements
SIMO Solution
Central DRS, prioritization, prototype dashboards
Challenge
False positives in AML monitoring
SIMO Solution
Actimize parameterization, ML optimizations
Challenge
Customer training needs
SIMO Solution
Workshop series & on-the-job training
Customer Feedback
For data protection and confidentiality reasons, we do not name our clients, as the trust of our customers is particularly important to us as SIMO GmbH.
SIMO GmbH has revolutionized our AML transaction monitoring. The implementation of the new system reduced our false-positive rate by 78% and significantly increased the efficiency of our compliance department. Particularly impressive was the seamless migration of 50 million historical transaction records without any data loss.
Exceptional technical expertise and professionalism! SIMO's deep learning algorithms for money laundering detection significantly outperform our previous systems. Real-time monitoring of 2.3 million daily transactions has been running absolutely reliably since implementation. We are very grateful for this outstanding collaboration.
SIMO's expertise in regulatory compliance is unmatched. The new Transaction Monitoring System not only meets all current BaFin requirements but is also future-proofed for upcoming EU regulations. The implementation time of just 6 weeks was remarkably short.
Highest recognition for the tailor-made AML solution! The intelligent pattern recognition identifies suspicious transaction flows with a precision of 94.7%. Our reports to the FIU could be qualitatively improved by 60%. SIMO has exceeded our expectations in every respect.
Results & Added Value
SIMO GmbH has successfully demonstrated its capabilities in business, analytics, data integration, and compliance projects. Through the combination of technical expertise, regulatory know-how, and agile methods, a future-proof AML platform was created that meets the highest regulatory requirements.
SIMO Team Roles in the Project
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