Overview

Traditionally, pooled funds and their investment advisers (IAs) have not been directly subject to the same stringent AML and KYC requirements as other financial institutions, such as banks and broker-dealers. This regulatory disparity has created vulnerabilities in the international financial system that can be exploited by criminals seeking to launder money or evade sanctions. Enforcement of sanctions against Russia since early 2022 has illuminated the sanctions evasion risks, in particular. The U.S. this year proposed regulations aimed at expanding AML and KYC requirements to cover IAs, which are likely to be finalized within the next few months, finally addressing this regulatory gap.

Join us to learn more about the AML- and sanctions-related vulnerabilities and risks associated with pooled funds and IAs and the latest innovative technology solutions that drive effective risk management and compliance.