Since April, multi-asset investment specialist Saxo Bank has been rolling out a new client risk model, which will continue in the coming months.
Most clients will see no change or a reduced risk score, leading to fewer ODD requirements and more cases being processed automatically. However, some clients may face increased risk levels, requiring enhanced due diligence, or, in rare instances, offboarding.
The AML risk scoring framework evaluates potential financial crime risk based on criteria like demographic data, geographic exposure, connections to politically exposed persons, and sanctions lists. This helps Saxo allocate resources for due diligence and surveillance, ensuring compliance with legal regulations and reducing financial crime threats.
Private clients are prioritised in this rollout, with joint accounts and corporates to follow. No action is currently required from asset managers.
