Visa The Embedded Lending Opportunity April 2024 Banner

Verafin Adds AI Copilot to Financial Crime Management Solutions

Verafin has added an artificial intelligence (AI) copilot to its suite of financial crime management solutions.

The new Entity Research Copilot is being rolled out to the firm’s customer base of more than 2,500 financial institutions, the Nasdaq company said in a Monday (April 22) press release.

“As financial crime continues to evolve, we remain committed to empowering institutions with the solutions they need to optimize operations, fight financial crime and ultimately safeguard the financial system,” Brendan Brothers, executive vice president, financial crime management technology at Nasdaq and co-founder of Verafin, said in the release.

The new integrated AI copilot features are designed to further optimize compliance workflows and streamline operations for financial institutions, building on Verafin’s technology expertise around anti-money laundering and countering the financing of terrorism (AML/CFT) and fraud detection, according to the release.

With the Entity Research Copilot enhancing its AI-based analytics, consortium data and visual investigation tools, Verafin boosts investigator efficiency and delivers up to 90% reduction in alert review time compared to legacy approaches, the release said.

The copilot collects relevant information on entities and related counterparties, expedites negative news searches on alerted entities and counterparties, summarizes results for the investigator, and ensures the research is documented and auditable, per the release.

“The Entity Research Copilot is the first of our integrated copilot capabilities we are developing with our financial institution partners,” Rob Norris, vice president and head of product strategy, Nasdaq financial crime management technology at Verafin, said in the release. “The use cases for applying GenAI and integrating copilot features in our solutions spans alert review, case investigation and regulatory reporting processes, with the potential for financial institutions to enable enhanced process automation.”

PYMNTS Intelligence has found that about 70% of financial institutions are using AI and machine learning (ML) to fend off fraudsters.

They’re doing so at a time when more than 40% of financial institutions say financial crimes are on the upswing, according to “Financial Institutions Revamping Technologies to Fight Financial Crime,” a PYMNTS Intelligence and Hawk AI collaboration.

In another recent product launch in this space, Oracle Financial Services said April 8 that it launched an AI-powered cloud service that helps banks mitigate AML risks.

The new Oracle Financial Services Compliance Agent “identifies and remediates vulnerabilities,” the company said when introducing the product.