It is not necessary to provide the Board with a list of all high risk customers. Best practice is to provide the Board with a breakdown on the proportion of high risk customers. Therefore as an example, Low risk 75%, Medium risk, 20%, High risk 5%. It would be helpful to also provide the factors that have increased the risk profile. Examples are: (a) country risk, (b) product/service type, (c) volume of transaction activity, (d) value of transaction activity, (d) 3rd party risk, etc.
The remainder of this message has been edited as it was an ad. On BOL, advertisers must contact Tobi Chunowitz to advertise Tobi@bankersonline.com
Last edited by Andy_Z; 07/24/22 02:17 PM.