On October 21, 2015, the European Supervisory Authorities published two consultations on proposed joint guidelines for: (i) financial institutions on the factors for financial institutions to consider when assessing money laundering and counter terrorist financing risks associated with individual business relationships or occasional transactions and the extent to which a firm’s customer due diligence can be adjusted based on the risk identified; and (ii) national regulators on the supervision of AML/CFT on a risk-sensitive basis. The guidelines are required to be prepared by the ESAs by the Fourth Anti-Money Laundering Directive, also known as 4AMLD, which Member States must transpose into national law by June 26, 2017. The proposed guidelines would apply to banks, investment firms, insurers, insurance intermediaries, money brokerage firms, collective investment undertaking marketing its units or shares and to branches of those firms (regardless of whether their head office is located in an EU Member State or a third country) and to national regulators of those financial institutions. The consultations are open until January 22, 2016 and the ESAs expect to finalize them in Spring 2016. The final guidelines will apply from June 26, 2017.
The proposed Risk Factors Guidelines are available at: http://www.eba.europa.eu/documents/10180/1240374/JC+2015+061+%28Joint+Draft+Guidelines+on+AML_CFT+RF WG+Art+17+and+18%29.pdf and the proposed Risk-Based Supervision Guidelines are available at: http://www.eba.europa.eu/documents/10180/1240311/JC+2015+060+%28Joint+Consultation+on+Guidelines+on+AM L_CFT+RBS_Art+48%2810%29%29.pdf