IHS Markit: Easing KYC for thousands of banks
"Through Pega CLM, account opening and compliance is achieved quickly so firms can capture liquidity and increase speed to market. We work with over 1,500 [clients] to reduce the burden of KYC and deal with multiple counterparties bilaterally."
The Business Issue
Major financial services institutions spend a significant amount of time and money ensuring they comply with constantly changing regulations, particularly when it comes to ensuring Know Your Customer (KYC) compliance for their customers and affiliates. Because of the duplication of effort across the marketplace, Markit and Genpact recognized the opportunity to provide a centralized source for a “gold copy” of KYC due diligence data.
Markit and Genpact selected Pega because most of their existing customers already use Pega for their onboarding and customer due diligence processes. Pega is broadly recognized as being the market leader in this field.
To power kyc.com, Markit and Genpact decided to use Pega Case Management and CRM to manage the creation and maintenance of its KYC and FATCA profiles. This has resulted in speed to market when incorporating new jurisdictions, financial institutions, and end customers. Cases are initiated by a variety of triggers: a new client signing up with as-yet unprofiled customer(s); existing profiles requiring a regular review and refresh; a corporate action (e.g., an acquisition); an external feed (e.g., adverse media against that organization); or a challenge by a bank-side customer who feels profile information provided by the KYC service is incorrect.
Pega's case management capability allows kyc.com to be controlled, audited, and fast when responding to customer needs. Pega 7’s CRM functionality manages communications with banks and customers, and tracks contacts, organizations, and their structures, emails and calls, changes in structure, contacts, etc.
- Live in six months – supporting 113,000 legal entities
- More than 2,200 buy-side and corporate clients with 350,000+ documents uploaded
- Full onboarding and maintenance of all investment products and clients; offboarding of dormant accounts
Today, 12 of the largest global banks are currently signed with kyc.com, and more than 2,200 buy-side and corporate clients are registered. Kyc.com supports more than 113,000 legal entities, with its 350,000-plus documents uploaded into its system.
Pegasystems and Finextra explore the challenges banks face in bringing the customer and product onboarding into the digital age.
The only globally scalable, unified solution for client lifecycle management.
With Pega, this bank’s global onboarding and due diligence time has decreased by 70 percent.