LGT Bank Relies on Solutions from Bosch Software Innovations
The LGT portal for relationship managers, LGT-Class, was developed with the Bosch Software Innovations Finance Platform and is now implemented worldwide. The MLDS anti-money laundering solution has been fully integrated in it, and functionality to monitor payments so as to prevent terrorism financing was recently added as well.
LGT Bank in Liechtenstein monitors all transactions regardless of amount
Ivo Klein, Head of Group Compliance at LGT Bank in Liechtenstein, outlined three overriding reasons to monitor incoming and outgoing payments: compliance with statutory requirements (economic embargoes of the government of Liechtenstein), combating terrorism financing, and minimizing money laundering, and through all this protecting the bank's reputation. This also means that undesired funds are rejected, such as those from countries without functioning legal systems. Using Name Matching Transaction software, the bank checks all transactions, regardless of amount, for information connected to data on sanction lists, such as booking texts, initiator or recipient.
Reduce False Positives
"One critical reason to implement this software solution in our institution was its white-listing function. This allows us to define known names, booking texts or banks that should not be reported as hits when checking payment transactions. This function reduces 'false positives,' that is, hits that don't represent any risk, which means we can concentrate on the really relevant cases. We were also interested in the option of entering country limits, which prevents the automatic execution of transaction to countries that are subject to economic sanctions or Non-Cooperative Countries or Territories (NCCT) of the FATF," Ivo Klein explained.
