Leveraging KYC Manager in asset servicing: Streamlining Hauck & Aufhäuser’s compliance operations
Hauck & Aufhäuser Administration Services, part of a major private bank group in Germany with Luxembourg as its second largest location, embarked on a digitalisation journey and implemented Finologee’s KYC Manager. The rationale behind this move was the bank’s objective to increase its overall operational efficiency and achieve a harmonious balance between meeting stringent regulatory requirements and providing an optimised onboarding experience for its clients.
Like many industry peers, Hauck & Aufhäuser faced a complex AML/KYC process when onboarding funds. Manual procedures, incomplete data and excessive paperwork led to inefficiencies, lengthy client onboarding and potential compliance risks. Finologee’s KYC Manager was introduced to overhaul these complex fund processes to ensure accuracy and efficiency while meeting stringent AML and KYC compliance standards.
The decision to automate processes was not only prompted by evolving regulations for fund service providers but was primarily aimed at improving the organisation’s operational capabilities. Hauck & Aufhäuser wanted to speed up redundant AML and KYC procedures and use the time saved for more strategic tasks.
Hauck & Aufhäuser made the strategic choice of implementing Finologee’s KYC Manager due to its modular design and seamless connectivity. The platform effortlessly integrates with in-house applications, external tools and existing document management software, ensuring a smooth integration devoid of unnecessary complexities. Its high level of customisation not only enables the asset servicer to fine-tune the platform as per specific needs but also ensures a consistent compliance approach tailored to their operations.
For employees, KYC Manager acts as a central tool for managing AML/KYC procedures, encompassing document collection through to risk assessment. This streamlines resource allocation and time usage, with KYC Manager automating data enrichment and elevating the accuracy of customer information.
Moreover, the platform’s user-friendly interface fosters effortless collaboration and eliminates silos by generating automatic alerts and real-time notifications. These functionalities swiftly identify potential red flags or irregularities, empowering the fund servicer to proactively tackle compliance concerns.
Christian Mader, Member of the Management Board at Hauck Aufhäuser Administration Services: “Before KYC Manager, our internal KYC processes were heavily reliant on manual efforts, consuming considerable resources. Now, with an integrated and user-friendly solution, we’ve amplified operational efficiency while maintaining stringent compliance and enhancing customer satisfaction.”
Through KYC Manager integration, Hauck & Aufhäuser achieved an ideal equilibrium, satisfying rigorous regulatory demands while maintaining a streamlined and effective investor onboarding experience. Simplifying and enhancing various fund onboarding procedures, encompassing functions like Ultimate Beneficial Owner verification and risk scoring, has been a pivotal outcome.
This modernisation and automation of Hauck & Aufhäuser’s KYC processes elevate operational efficiency, accuracy, mitigate manual errors, and enrich the customer journey’s quality. The collaboration with Finologee exemplifies the transformative potential of digital solutions like KYC Manager in reshaping the asset servicing industry.
Christian Mader, Member of the Management Board at Hauck Aufhäuser Administration Services: “Looking ahead, we aim to further harness KYC Manager’s capabilities to proactively anticipate evolving regulations and ensure our operations continually meet the highest standards.”
