Updates to Pega CLM and KYC business pillars

The Pega Client Lifecycle Management and Know Your Customer application helps financial institutions save time during client onboarding, review, and due diligence operations while simplifying and streamlining the back-office operations around those customer journeys.  

Pega CLM and KYC version '23 revolves around 3 main business pillars:

• Alerts and Investigation Management (AIM) for Financial Crimes Accelerator
• AML Investigation template
• Functional enhancements

The AIM Accelerator is a Pega Marketplace application that helps financial institutions automate and orchestrate Investigations around financial crime in a consolidated way. The Anti-Money Laundering (AML) Investigation template is a blueprint that covers more detailed aspects of AML-related alerts and associated investigations by providing a demonstrable end-to-end AML Investigation use case that uses structuring scenarios. You can learn more about the accelerator through its dedicated Pega Academy module.

The third pillar in Pega CLM and KYC version '23 is Functional Enhancements. The application includes functional items that are already supported but require further enhancements, amendments, or polishing. Based on customer feedback and market needs, this pillar is focused on updating key functional items. 

The first functional enhancement focused on the need to track changes in data values in KYC is Data Change Control, which actively points changes out to end users, such as KYC analysts and reviewers. The KYC Data Change Control (KYC DCC) module provides several business values to financial institutions. To start with, its automatic change recognition feature identifies data modifications across Capture, Enrich and Due Diligence Stages. Modified responses to KYC Items are flagged with an Amended label, thereby enabling reviewers to concentrate on edited data. Users also have access to previous KYC Item responses which allows them to compare and verify changes. Reviewer actions are clearly indicated with labels such as Approved or Rejected which provides great visibility to analysts on what items need their attention. Lastly, KYC DCC provides a robust audit trail for compliance purposes.

Adverse Media and eScreening enhancements were also made in various parts of the application. For instance, Adverse Media for CIB Related Parties was added, as was eScreening and Adverse Media in Retail Contracting and Related Parties. Automated mapping of eScreening and Adverse Media responses was also added, as well as the addition of Adverse Media as a risk factor in the Risk engine.

Additionally, a few modifications were made regarding Review Journeys for Retail Customers. Review Journeys were extended to cover Retail Customers, in addition to the default CIB Segment. Periodic Reviews are now based on the Business Segment and the Next Review Date. Please note, the Business Segments are determined based on the Division to which the Contracting Party’s Relationship Manager (RM) belongs.

Other functional enhancements in this release include:

• Enhanced logic used to determine the controlling flag in scenarios that involve indirect ownerships. 
• The KYC PDF report has been expanded to include supplementary information and names of supporting evidence documents, ensuring comprehensive information availability.
•  Amended Canada AML questionnaires to incorporate the latest regulatory updates as well as to make them more operationally efficient.

Finally, in addition to the three business pillars discussed, this release also addressed several technical items, so as to improve the application’s performance and the overall user experience in certain areas. Top among this was the externalization of 3rd-party connectors' data. Data received from 3rd parties is now stored outside the Customer Master Profile (CMP). Users can enable and disable this feature through a dynamic system setting. This modification optimizes data access patterns and reduces CMP footprint. Other technical updates include audit data retrieval and presentation enhancements, as well as soft delete options for PFFS reference data.

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