Systematic Literature Review and Research Agenda

Although interest in big data analytics (BDA) has increased in recent years, studies on the subject in the context of financial institutions (FI) are still rare. Given this gap, the objective is to analyze how scientific research approaches BDA in the context of FI. A systematic review of the literature is carried out. The results show that the literature focuses on the themes: risk management, marketing, web and social media, technology and data analytics and consequences of BDA use. In addition to defining and identifying the themes of BDA application in FIs, this study contributes to the proposition of a framework that consolidates the research agenda and proposes directions for future studies on BDA in the context of FI, such as the use of BDA in FI, in particular, on the themes of financial risk management and marketing

The Observational Study Financial Fraud Offense Themes and Financial Fraud Risk of Money Laundering to Increase Financial Global Sustainability Compliance

American society could benefit from the results of the study. The banking and financial industries ought to be prepared for the future and continue to adapt to new emerging threats, varying consumer classification, and changing environment. Banking and financial services institutions play a substantial role in the community. By changing and developing new policies and procedures, these organizations can work towards effective money laundering and financing fraud prevention compliance plans. Additionally, banks and financial services institutions may clarify and strengthen customer due diligence requirements to protect their organizations and reduce financial fraud risks. The implications for positive social change may include the possibilities to develop new compliance strategies and strengthen existing regulatory mechanisms to help compliance managers, reduce the risk of bank failures, increase employment opportunities, and promote public awareness by educating consumer about financial fraud risks

Global overview of modern financing typologies to mitigate financial risks in development countries

In this study, we reviewed the laws and legal regulations that mandate banks and financial services organizations to implement anti-money laundering efforts which are responsible to detect and mitigate the risks of money laundering and modern financing. We examined the topics of money laundering and modern financing in greater depth to understand the risk factors related to each financial crime. Understanding the aspects of each financial crime is necessary to comprehend predicate offense typologies. We continued with a review and synthesis of the literature on money laundering and modern financing typologies. We concluded the review with an analysis of Gary Becker’s economic theory of criminal behavior and the neoclassical approach to criminal behavior. As suggested by the key concepts reviewed in this literature review, predicate offenses are evolving as prevailing conditions of society change. A major global challenge in recent times is the Covid-19 pandemic crisis which has increased financial risks worldwide (Klimczak et al., 2021). Understanding the different types of predicate offenses and typologies portrays a holistic process of how criminals launder money or finance modern acts. A review of the existing literature demonstrated intensive research on the topic of financial crime but there is a gap in the current legislative and financial risk management framework. The legislative and financial risk management framework detects economic uncertainties and risk factors requiring a reevaluation of financial risk measurement methodologies to mitigate the risk consequences of money laundering and modern financing activities. A best practice to provide a sound framework to manage financial risks is for U.S. banking and financial service company compliance managers to identify predicate offense typologies. American society could benefit from the results of the study (Klimczak et al., 2021). The banking and financial industries ought to be prepared for the future and continue to adapt to new emerging threats, varying consumer classification, and changing environment. It is essential for compliance leaders to implement public education initiatives and help their customers recognize their role in combating money laundering and modern financing activities. Overall, the study has contributed to positive social change by identifying predicate offense typologies that can help U.S. banking and financial services company compliance managers reduce the risks of money laundering and modern financing activities (Klimczak et al., 2021)

Money Laundering and Terrorist Financing Typologies That Reduce Financial Crime Risks

The Covid-19 pandemic has increased concerns over money laundering and terrorist financing and their impacts on societies and the world’s finance and economic systems. Some financial institutions are failing to detect and track new emerging financial crime threats. The purpose of this qualitative descriptive case study was to identify predicate offense typologies that U.S. banking and financial services company compliance managers use to reduce the risks of money laundering and terrorist financing. To understand the concepts of predicate offense and financial crime risks, Gary Becker’s economic theory of criminal behavior was the conceptual framework that grounded this study. The population was comprised of 15 compliance managers and anti-money laundering investigators. Data sources included semistructured interviews, semistructured observations, and document reviews from business and finance academic journals. Coding, thematic analysis, and content analysis revealed eight main themes as predicate offense typologies: structuring, fraud, cybercrime, human trafficking, illicit arms trafficking, illicit drug trafficking, real estate money laundering, and trade-based money laundering. Four subthemes were identified: red flags, key indicators, typology-specific common signs, and 95% or above. The insights drawn from this study may contribute to efforts by compliance managers to increase transparency and close gaps in the anti-money laundering and counter terrorist financing compliance framework, which could enhance business practice. Implications for positive social change include a reduced risk of bank failures, increased employment opportunities, and promotion of public awareness about financial crimes

Money Laundering and Terrorist Financing Typologies That Reduce Financial Crime Risks

The Covid-19 pandemic has increased concerns over money laundering and terrorist financing and their impacts on societies and the world’s finance and economic systems. Some financial institutions are failing to detect and track new emerging financial crime threats. The purpose of this qualitative descriptive case study was to identify predicate offense typologies that U.S. banking and financial services company compliance managers use to reduce the risks of money laundering and terrorist financing. To understand the concepts of predicate offense and financial crime risks, Gary Becker’s economic theory of criminal behavior was the conceptual framework that grounded this study. The population was comprised of 15 compliance managers and anti-money laundering investigators. Data sources included semistructured interviews, semistructured observations, and document reviews from business and finance academic journals. Coding, thematic analysis, and content analysis revealed eight main themes as predicate offense typologies: structuring, fraud, cybercrime, human trafficking, illicit arms trafficking, illicit drug trafficking, real estate money laundering, and trade-based money laundering. Four subthemes were identified: red flags, key indicators, typology-specific common signs, and 95% or above. The insights drawn from this study may contribute to efforts by compliance managers to increase transparency and close gaps in the anti-money laundering and counter terrorist financing compliance framework, which could enhance business practice. Implications for positive social change include a reduced risk of bank failures, increased employment opportunities, and promotion of public awareness about financial crimes