Zowie Lees-Howell, a data expert and vice president of enterprise sales at digital compliance provider, SmartSearch, believes the current climate requires the property industry to modernise processes to maintain an accurate view and risk profile for each customer.
The calls come as firms continue to face increasing regulatory pressure and the prospect of significant fines for non-compliance. In addition to attempts by criminal gangs to launder illicit funds, the last year has seen Russian oligarchs and their contacts seek to evade the expanding sanction regime.
To mark one year since the Russian invasion, many western nations have introduced further restrictions, potentially pushing more new and existing customers into the spotlight and causing those firms without the necessary checks to unknowingly become enablers.
Widely regarded as the next iteration of Know Your Customer, pKYC replaces traditional manual checks at onboarding and passive periodic reviews. The process uses a wide range of data sources and technology to check and update client information in perpetuity, identifying potential red flags throughout the customer lifecycle.
To help firms in their adoption of pKYC, SmartSearch has just launched the next generation of its digital compliance platform, providing a holistic view of each search subject and a single source of truth to not only keep users up to date but make risk management more cost-effective.
Zowie said: “The growth of sanctions is a prime example of why a traditional KYC approach is no longer fit for purpose. Instead of working with a snapshot of a client, pKYC enables firms to build a complete picture and one that constantly develops through hundreds of data sources to monitor for any changes in their status. This will be hugely reassuring for property firms as the threat level rises and clients both old and new potentially face new restrictions.
“By modernising processes, property firms and estate agents can also begin to see compliance as a competitive advantage. While firms automate their risk management and have confidence in the accuracy of their checks, customers benefit from a frictionless journey with digital onboarding and a reduced risk of false positives.
"There’s no question pKYC is a clear step forward in easing the compliance burden and we’re thrilled to support firms in their adoption through our next-generation platform.”
