Hawk

AI can help you to significantly reduce false positives in anti-money laundering. How? - AI applies more fine-grained rules than rules-based AML technology - AI dynamically generates a network of interrelated rules for different segments of an FI’s customer portfolio - Because AI can apply more of these contextual filters simultaneously, it weeds out more false positive alerts The Rules-Based Approach - Consider three rules, each having a 10% false positive rate, deployed to detect suspicious behavior - When we apply these rules, the total false positive rate is 30% - The rate is high because all the rules act together, and they don't choose any specific type of behavior to look at. The same rule applies to every single customer. The AI Approach - AI generates a large set of fine-grain rules that look for specific combinations of behavior - AML investigators can tailor AI much more precisely to what a particular customer does - For example, with AI we can apply five rules, each with two conditions having a false positive rate of 10% - The rules only fire if both conditions are met, resulting in a false positive rate of 1% per rule - When we combine the five rules, we get an overall false positive rate of 5% - In this scenario, we’ve applied more rules and still reduced the false positive rate significantly Imagine the resulting gains in efficiency and effectiveness when AI is applied at scale. Read the full article that summarizes the examples and how AI reduces false positives: https://lnkd.in/dkHVeu8G Alternatively, for a demo on how Hawk uses explainable AI to help banks and payment providers to reduce false positives while increasing risk coverage, visit: https://hawk.ai/ #aml #fincrime #acams #banking #bankingtech #payments #compliance #ai #machinelearning

What are the pitfalls that you need to avoid when you're implementing AI to detect financial crime? Our Chief Solution Officer, Michael Shearer, has highlighted a number of things that should be avoided during implementation: - Rushing data collection - Training too soon - Training on insufficient casework Michael provides more advice from his personal experience of implementing AI at a global bank in this article: https://lnkd.in/eqKCWmfT If you'd like to know more about how Hawk can help your organization use AI for AML and fraud detection, book a demo with us today: https://hawk.ai/ #aml #fincrime #banking #financialinstitutions #compliance #ai #machinelearning #aiimplementation

How does our latest product innovation, Entity Risk Detection, help financial institutions to identify cases of sanctions evasion? In this scenario: - An alert is triggered for a customer - Entity Risk Detection has identified another customer who shares the same date of birth, email, and phone number - The system updates the risk rating based on these multiple attribute risk factors - An investigator opens the case and, with the help of Entity Risk Detection, determines that the two customers are the same person using different aliases, indicating potential sanctions evasion - The financial institution implements new controls for the customer based on the updated risk score Read more here: https://lnkd.in/e6vmN5my Want to know how Hawk's new solution, Entity Risk Detection, can help you to identify hidden financial crime with maximum efficiency? Request a demo today and find out: https://hawk.ai/ #aml #antimoneylaundering #fincrime #banking #payments #sanctions #fraud #entityresolution #datamanagement

We're a truly international team here at Hawk and many of the nations in the Euro 2024 quarter-finals will be getting some Hawk support! The squad at our Munich HQ is looking forward to tonight's game. If you'd like to join an international company that is united in helping to rid the world of financial crime, check out our current vacancies in Customer Success, Development and Marketing at: https://lnkd.in/dGG4sr8D Let us know which team you're rooting for in the comments! #eurocup2024 #uefa #football #teamactivity #germany #ai #aml #fincrime #antimoneylaundering #aml #financialcrime #employeespotlight

Exciting news! Hawk has been recognized in the Deloitte EMEA Technology Fast 500 as one of the fastest-growing tech firms in the region. Hawk's growth is being driven by banks and payment companies recognizing the value that explainable AI can bring to their anti-financial crime operations. Hawk is helping financial institutions to implement AI and increase AFC effectiveness by detecting more risk, while increasing efficiency by reducing false positives. Request a demo today to see our solutions in action: https://lnkd.in/dbeh25Zk #aml #fincrime #awards #artificialintelligence #ai #deloitte #deloittetechnologyfast500 #emeatechfast500

“AI particularly works well when you give it rich data. The more attributes you can give it about a person or an entity, the more it can discern whether the type of behavior that person is exhibiting is normal or abnormal...So, I see entity resolution and other data preparation techniques as the foundation for really good quality AI.” - Michael Shearer, Chief Solution Officer at Hawk. Hear what Michael had to say about the role of data preparation and entity resolution in the fight against financial crime when he spoke to Karl Ivo 🎧 Sokolov recently in a podcast episode. He covered: - How does the quality of data affect the performance of AI? - Why is it crucial to provide AI with rich, multi-source data? - How does entity resolution enhance AI effectiveness? Watch the full podcast episode here: https://lnkd.in/eNzpYTZt Want to know how Hawk's new solution, Entity Risk Detection, can help you with data consolidation, entity resolution, and real-time risk detection? Request a demo today and find out: https://lnkd.in/dbeh25Zk #aml #ai #artificialintelligence #entityresolution #entityriskdetection #networkanalysis #antifraud #financialinstitutions #banks #fincrime #frauddetection

You probably don’t need another introduction to what Generative AI is, so let’s cut right to the chase – Gen AI offers huge potential for financial institutions that want to increase risk coverage and reduce the cost of their anti-financial crime operations. How? In this month's edition of The Audit, our Chief Product Officer & Co-founder, Wolfgang Berner, outlines four use cases for Gen AI in AML and fraud prevention. We also take a closer look at how AI-powered AML technology can solve BaaS challenges, and how financial institutions can join the dots in their datasets with Hawk's latest product release, Entity Risk Detection. Make sure to subscribe to the newsletter for more upcoming deep dives and updates about AI technology in anti-financial crime. #financialcrime #fincrime #afc #genai #ai #aml #moneylaundering #fraud #frauddetection #ainews #amlnews #fraudnews #entityresolution

Hawk is today announcing a groundbreaking innovation in anti-financial crime. Entity Risk Detection enables financial institutions to combine entity resolution, real-time risk detection, and network analysis to improve their ability to identify risk and complete thorough, efficient investigations. "Money launderers are constantly trying to create a smokescreen to throw financial crime detection systems and professionals off course," said Wolfgang Berner, Chief Product Officer and Co-founder of Hawk. "As a result, financial institutions are exposing themselves to risk, by missing the links and other clues that lead to suspicious activity." "Entity Risk Detection helps to clear the smokescreen. For example, it can help financial institutions to see that Customer A is using Product X and does not appear to present a risk to the business, but they are in fact the same person as Customer B using Product Y – and Customer B is linked to Firm C, which is on a sanctions list.”  The new module is fully integrated with Hawk’s award-winning anti-financial crime platform. This provides banks and payment providers with a comprehensive technology suite for AML, sanctions screening, and transaction fraud prevention, with unified real-time detection, self-service configuration, and case management. Hawk customers will also benefit from boosted AI performance, as the consolidated and enriched data from Entity Risk Detection can be used to power stronger prevention, detection and investigation capabilities.  “AI thrives on good data. The organizations that can fuel their AI with rich, high-quality data will be in a significantly stronger position to maximize risk coverage and operational efficiency. Entity Risk Detection can help to optimize the data for this purpose,” said Berner.  Read more: https://lnkd.in/e6vmN5my #aml #antimoneylaundering #fincrime #banking #payments #sanctions #fraud #entityresolution #datamanagement 

Hawk very much welcomes this news from The Wolfsberg Group. "The Group does not believe that the value being derived from the (constantly increasing) volume of SARs/STRs is contributing proportionately to effective outcomes in the fight against financial crime....this paper encourages all parties to be proactive in the development of innovative techniques and supporting technologies which we believe will deliver more effective end-to end risk detection capabilities." More to follow! #aml #ai #fincrime #antifraud #wolfsberggroup #artificialintelligence #financialcrime

How should BaaS providers, banks and fintechs be using AML technology to manage risk and meet compliance regulations? In this article, we provide an example of how AI-powered AML technology can be used effectively by all of the participants in the BaaS ecosystem: - A community bank partners with a BaaS provider to offer a new instant payments product - The BaaS provider relies on a sponsor bank to provide licensed banking products - The sponsor bank has modern, AI-powered AML technology in place that can monitor activity down the chain - The banks and BaaS provider also use AI-powered AML technology to screen customers and payment counterparties, monitor transactions, and produce customer risk ratings (also known as perpetual KYC, or pKYC) - As transactions occur, the AI models flag suspicious activity using anomaly detection and pattern recognition - Human investigators at both banks review the AI's findings in a case manager that aggregates relevant contextual information - Simultaneously, the AI models analyze rule-based alerts and prioritize them for investigators with behavioral analytics, reducing false positives (and therefore costs) - The AI models deliver human language explanations to the sponsor banks’ investigative teams for every decision they make - The bank can now easily file suspicious activity reports (SARs) and defend their AML controls and risk-based approach to regulators in their periodic exams - Both banks and the BaaS provider have thereby unlocked a valuable partnership from the BaaS model, while protecting themselves from potential regulatory actions and reputational damage Read the full article by Chris Caruana (MBA, CAMS) that explains how the benefits of BaaS can be balanced with regulatory compliance: https://lnkd.in/dTsMeHcx Alternatively, request a demo to see how Hawk helps banks and BaaS providers to improve their AML and fraud risk coverage. Visit https://hawk.ai/ #fincrime #aml #baas #bankingasaservice #fraud #ai #artificialintelligence #financialinstitutions #banks #frauddetection #sponsorbanks #fintech