Anti Money Laundering

Acting ethically and responsibly is a huge focus within financial services. Inevitably, financial services organisations are a target for criminals’ intent on laundering the proceeds of crime. Anti Money Laundering professionals are responsible for ensuring the rules and principles set by the Financial Services Authority (FSA) and other regulators are being adhered to, under the guidance of the organisation’s senior management team and the Board.  These will include internal controls to ensure the senior management is running your company effectively. Failure to observe legal and regulatory requirements for Anti Money Laundering and for Combating Terrorist Financing involves the potential application of severe sanctions.  The job itself varies from company to company, depending on the size and structure of the organisation. In a small financial advice firm it may consist of just one person, with wide responsibilities part of which is for anti money laundering. Many large banks, insurance companies, investment divisions and accountancy practices have multi-disciplined teams, sometimes containing over 100 people with greater specialisation.  Roles fall into four distinct areas of activity:  know your customer (KYC) and customer due diligence (CDD), prevention of money laundering, internal advisory service, and monitoring activities.  Duties include educating and advising the workforce through clear communications and training, monitoring, reviewing and periodically checking sales and marketing activities, and managing relationships internally and with the FSA.  Using leading-edge technologies, industry insight and profiling techniques, anti money laundering officers try to mitigate exposure to money laundering and terrorist financing. There will also be responsibility for dealing with UK, European and international regulations.

Salary

Entry into the profession may be through risk and compliance roles. Entry level positions, such as a trainee compliance officer (AML) start at approximately £16,000 per annum, or junior fraud/AML analyst, which start at approximately £15,000. With the right experience, qualifications and skills you could progress to the Money Laundering Reporting Officer role and may earn in excess of £100,000 per annum. This does not include potential bonuses and additional benefits. Salaries will vary considerably based on location and employer.

• Preparing for and managing inspections by the regulator
• Researching and understanding changes in regulation
• Developing internal policies relating to Anti Money Laundering within your organisation and overseeing their implementation
• Developing Anti Money Laundering guidance materials, controls, training resources and an internal handbook
• Advising senior management on the implications and scope of internal policies and related plans
• Setting the annual Anti Money Laundering plan, undertaking risk monitoring and quality assurance to demonstrate adherence
• Conducting due diligence reviews, reporting on the outcome of Anti Money Laundering risk assessments and ensuring that remedial action is taken
• Identifying, investigating and resolving non-compliant activities
• Approving advertisements for publication and broadcasting
• Planning Anti Money Laundering training sessions
• Advising on the regulatory implications of future business strategies
• Providing subject matter expertise to the business and responding to queries and being a point of reference
• Informing the FSA of breaches in regulations
• Report writing for risk committees and the Board
• Dealing with issues such as sanctions, and transaction monitoring and filtering

• Excellent interpersonal skills, with the confidence to approach people at all levels of seniority
• An enquiring analytical mindset
• Methodical and systematic in work approach
• Excellent report writing skills
• Articulate, confident communicator and presenter
• Assertive and persuasive
• Self-motivated with good teamwork skills
• Attention to detail
• Knowledge of the legal and regulatory framework and the regulatory environment

• Regulation and legislation relevant to your company’s business
• Ethical standards including the Financial Services Authority’s guidance on good practice
• How the company operates, their wider products and services and how they are marketed and sold

Often seen as a graduate role, any degree subject is acceptable, but qualifications in risk management, accounting, business studies, law or risk management can be useful. It can be possible to enter roles related to Anti Money Laundering via an administrative support role as a school/college leaver or after gaining a solid business understanding in an operational support role. Many Anti Money Laundering professionals have qualifications from professional bodies relevant to the sector, such as banking, insurance or investments, or from a law enforcement background.

In order to gain an entry level position that may lead to an anti money laundering role, employers will look for people who have:

• A Levels, Scottish Highers or equivalent qualifications such as  Business, Administration and Finance (BAF) Diploma, BTEC National Diploma, Welsh Baccalaureate (BAC),  SVQ Level 3 or Higher National Certificate (SCQF Level 7)

Anti Money Laundering (AML) Officers detect and prevent anti-money laundering risks to a business. This typically requires excellent knowledge of Anti Money Laundering laws and regulations with experience in Anti-Money Laundering (AML) compliance. The ICA offers an introductory Certificate and Advanced Certificate and a Graduate Diploma in Anti-Money Laundering.

The ICA’s Level 6 Graduate Diplomas offers an accelerated route to

• Level 6 BSc (Hons) in Management and Compliance offered by the University of Manchester Business School

More senior Anti Money Laundering professionals will be required to be an “Approved Person” by the FSA. This involves the FSA approving your qualifications, experience and conduct as suitable to carry out your particular role. Those in Significant Influence Functions (SIF) may also be interviewed by the FSA.

Anti Money Laundering is a growing area and is regarded as a new and exciting profession since regulation commenced in the area of money laundering.  The skill set acquired by Anti Money Laundering professionals is diverse and could open many management career doors.  All companies operating in financial services need an Anti Money Laundering function, including insurers, insurance intermediaries, investment/asset management companies, Lloyd’s brokerages and underwriters, independent financial advisers, life assurance and pension companies, stockbrokers, banks, accountancy firms, solicitors and consultancy houses. There are also opportunities to be self-employed or work for firms that provide support services to financial advisers. Some Anti Money Laundering people work for the regulators themselves. Most jobs are concentrated in the major financial centres such as Belfast, London, Birmingham, Leeds, Manchester, Bristol, Glasgow, Edinburgh, Norwich and Cardiff.  However, there are financial services companies in many towns, all requiring Anti Money Laundering support.

• Financial Services Authority
• Institute of Financial Services
• International Compliance Association
• Operational Risk & Regulation
• Scottish Qualifications Authority