Elucidate, the financial crime risk scoring solution provider, has introduced the Elucidate FinCrime Risk Monitor (EFRM), an open database for assigning scores to the financial crime risk vulnerability of financial institutions.
The EFRM has been designed to enhance transparency in the financial services sector.
The EFRM is being used to assess the operations of over 17,000 financial institutions, with data being sourced directly from the Elucidate FinCrime Index (EFI), which is the firm’s regulated financial crime risk benchmark.
Shane Riedel, CEO at Elucidate, stated:
“This is the first time that a credible financial crime benchmark has been openly published for all to see. Financial crime is not an abstract regulatory or legal issue; rather it is profound human suffering caused by activities like corruption, people trafficking and terrorist financing. A future that includes a dramatic reduction in financial crime is a future in which data and metrics guide behaviors and performance. Elucidate is leading that path to that future through the EFRM.”
EFRM users may review any financial institution’s financial crime stats, and see how they might rank by quartile and also compare different institutions. Future iterations of the EFRM will also offer more comprehensive scores.
With these types of results, banking institutions and finance professionals may check out how their institutions compare on Governance, Risk and Compliance across their jurisdiction or the larger industry. Financial institutions are investing approximately 3% of revenue on financial crime risk management.
Elucidate’s benchmark and the EFRM allow financial service providers to evaluate the overall effectiveness of the investment.
Filipe García, Co-founder and CTO at Elucidate, remarked:
“We realized that, as part of our data analysis for our main platform, the EFI, we were sitting on an incredible amount of data and insight. These could be useful for Governance, Risk and Compliance management, even for institutions that were not yet subscribed to our EFI platform. We just hadn’t yet found a way to deliver that value. The FinCrime Risk Monitor is that way.”
For financial institutions that are needing additional information and insights, Elucidate provides their registration-based platform, the EFI, with advanced data analysis across nine different industry risk themes, network risks assessment, and institutional remediations among several other features.