A risk-based approach allows financial institutions to identify, assess and understand the risks associated with illegal activities like money laundering and terrorist financing. This approach will help take adequate and appropriate mitigation measures in accordance to the level of risk your organisation is exposed too.
Taking such an approach, will help identify the highest compliance risks your organisation faces and set adequate controls, policies and procedures to help mitigate such risks. This approach will help your business avoid unnecessary disruptions, with less time and money spent on investigations, regulatory settlements and reputational damage.