Challenges and Solutions in Financial Risk & Compliance

[Audio] AI-generated content may be incorrect. --- This presentation addresses the key challenges faced in financial risk and compliance, along with innovative solutions powered by AI technology. We will explore the regulatory landscape, ongoing difficulties, and the potential of CRICS as a cutting-edge tool in the industry..

[Audio] Regulatory Overload, High Cost of Non-Compliance, Manual Inefficiencies, Reactive Posture.

[Audio] High Cost of Non-Compliance: Failures in areas like AML can lead to severe financial penalties, such as the $3+ billion fine levied on a major North American bank in 2024..

[Audio] Manual Inefficiencies: Heavy reliance on manual processes for compliance checks and reporting creates a substantial workload. Humans are prone to mistake which can have cascading effects in the system as overall..

[Audio] Reactive Posture: Traditional approaches often involve reacting to compliance issues after they have occurred, rather than proactively preventing them..

[Audio] This leads to "manual alert fatigue," diminishing the focus on genuine threats..

[Audio] Keeping Pace with Change: Difficulty in swiftly detecting emerging threats and adapting to new regulations with minimal human intervention poses an ongoing challenge..

[Audio] Proactive Compliance, Generative and Agentic AI, Reducing Manual Workload & Costs.

[Audio] CRICS is an AI-driven system that embeds "guardrails" to shift compliance to be proactive, addressing issues at the design stage..

[Audio] It uses generative and agentic AI to continuously scan regulations, policies, and transaction data to identify gaps, suggest controls, and enforce safeguards..

[Audio] Reduces Manual Workload & Costs: Automates routine tasks and compliance checks, freeing up human experts for strategic oversight and reducing compliance costs..

[Audio] Enhanced Threat Detection & Adaptation: Designed to minimize manual alert fatigue, detect emerging threats, and adapt to new regulations with minimal human lag..

[Audio] Continuous Learning & Optimization: The system continuously learns from new data and outcomes to refine its models and compliance logic..