What is Enhanced Due Diligence (EDD)?

Where the client risk assessment identifies one or a number of high risk factors, enhanced due diligence may be appropriate for the increased risk. 

Additional measures to mitigate the risk might include: 

Further source of wealth / source of funds information obtained from customer questions or documentation; 

Additional adverse media checks; 

Using or requesting additional documents, data or information to establish identity; 

Acquiring senior management / <a href="/glossarycollection/money-laundering-reporting-officer" style="color:#48277C;" target="_blank" title="Money Laundering Reporting Officer">MLRO</a> approval to register the customer; 

Requirement that any transactions carried out by a high risk customer are referred to the MLRO for review; 

Regular updating of <a href="/glossarycollection/know-your-customer" style="color:#48277C;" target="_blank" title="Know Your Customer">KYC</a>/KYB checks including analysis of customer activity against profile.