FAQs on money laundering prevention and compliance in fund management for capital management companies
At what stage of the fund management process does ALL AML support KVG risk management?
ALL AML supports you in risk analysis and risk-based management of funds, in particular through in-depth risk analyses of investors and portfolio valuation. This includes the identification of money laundering and terrorist financing risks, the development of action plans for risk mitigation and the monitoring of compliance with regulatory limits in accordance with the GwG and AIFM Directive.
How can ALL AML support KYC and due diligence management when onboarding new investors?
We take care of structured Know Your Customer (KYC) due diligence, including investor screening, risk classification and documentation. By taking stock of the situation, we also assist with the remediation of existing investor portfolios and ensure that all due diligence requirements in accordance with the GwG and BaFin interpretation and application guidelines are met.
How does ALL AML support the implementation and maintenance of an internal compliance and reporting system?
ALL AML assists you in setting up and maintaining an effective compliance management system, including suspicious activity reports to the FIU, clear process documentation and responsibility regulations. We ensure that reporting processes are implemented quickly, in a legally compliant and traceable manner.
What support does ALL AML offer in setting up and conducting management-level employee training?
We offer practical training and regular updates on current regulatory requirements in money laundering prevention, specifically tailored to the needs of managers and compliance officers in KVG. This ensures awareness and competence in identifying risks at an early stage and managing them effectively.
A regular newsletter (Infobrief) keeps you up to date on the most important developments in the fight against money laundering and terrorist financing.
How can ALL AML support KVG in communicating and cooperating with BaFin and the new AMLA?
ALL AML keeps you informed about regulatory changes and amendments to BaFin’s interpretative notes and strategically prepares you for the increasing requirements of the EU AML Regulation and the AMLA. We support you in your communication with audit and supervisory authorities and help you prepare evidence and documentation in a compliant manner.
What does ALL AML offer in terms of support for monitoring portfolio companies and ESG compliance?
In addition to traditional money laundering prevention, we also advise and support KVG on reportable ESG aspects in the area of governance (e.g. corruption prevention). This includes compliance screening of management and co-investors of portfolio companies as well as accompanying advice on compliance with SFDR and related regulations.
How does ALL AML support the entire life cycle of a fund from an AML perspective?
From the initiation of the fund and the onboarding of investors to ongoing monitoring and closure, we advise you with tailor-made solutions. We ensure that AML risks are identified, analysed and addressed with effective controls throughout the entire life cycle – so that you comply with regulatory requirements at all times.
What are the main liability risks for management in the event of violations of the GwG?
Management bears personal responsibility for the proper implementation of money laundering prevention obligations. Violations can be sanctioned – in addition to fines and regulatory measures, there may also be criminal consequences. It is therefore advisable to regularly document all measures and training courses and to establish a clear reporting path to supervisory authorities.