Risk Rating List for Products and Services | Corporate-Wide AML KYC Risk Assessment


When developing their AML risk assessment and scoring methodologies, AML and Compliance officers across financial institutions generate lists of countries in which they operate and then apply risk categories to each of these countries.

Firms also need to analyze and determine the AML risk for every product and service that they provide.

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Below is a sample risk rating and assessment list for a wide range of products and services.

Although most firms use similar types of lists and come to similar risk assessments, please note that the below sample list is only being provided for illustrative purposes.

Sample Risk Rating Products and Services List – For Illustrative Purposes Only

Financial Product and Service Types

Risk Rating Assessment

Accounting

Low Risk

Advisory

Low Risk

Agent Fund Trading

High Risk

Annuities

Low Risk

Bank Loan Services

Medium Risk

Bonds

Low Risk

Cash

Low Risk

Certificates of Deposit

Low Risk

Credit/Lending

Medium Risk

Deposits

Medium Risk

Derivative Trading

High Risk

Distributor Services

High Risk

Enhanced Custody Products

Low–Medium Risk

Equity Trading

Medium Risk

Financial Management

Low Risk

Financial Planning

Low Risk

Foreign Exchange

High Risk

Fund Administration

Low Risk

Hedge Fund Administration

High Risk

Indirect Research and Advisory

Low Risk

Insurance Accounting

Low Risk

Investment Analytics

Low Risk

Investment Management Services

Low Risk

Life Insurance

Medium Risk

Long-Term Care Insurance

Low Risk

Money Market Funds

Low Risk

Mortgage Loan Modification Services

High Risk

Municipal Finance

Low Risk

Overdraft Protection

Low Risk

Payday Loans

High Risk

Portfolio Management

Medium Risk

Portfolio Solutions

Medium Risk

Real Estate Administration

High Risk

Refund Anticipation Loans (RALs)

Medium Risk

Rent-to-Own Financing

Low Risk

Research

Low Risk

Retiree Services

Low Risk

Stocks

Medium Risk

Structured Products Administration

Low Risk

Student Loans

Medium Risk

Third-Party Lending

High Risk

Treasury Bills

Low Risk

Treasury Services

Medium Risk

Trustee Services

Medium Risk

Unit Investment Trusts

Low Risk

 
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AdvisoryHQ (AHQ) Disclaimer:

Reasonable efforts have been made by AdvisoryHQ to present accurate information, however all info is presented without warranty. Review AdvisoryHQ’s Terms for details. Also review each firm’s site for the most updated data, rates and info.

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