Fraud is still a prevailing risk for many financial companies. From market manipulation to hacking, there are numerous ways criminals can steal from financial institutions.
With growing cases, companies should take robust measures to protect themselves from illegal financial activities. This includes identifying high-risk traders, strengthening security measures, and adopting a call monitoring program.
Adopting a Call Monitoring Program
A mobile call monitoring program refers to a system in which phone activities are recorded, transcribed, and analyzed to prevent fraudulent activities. Establishing a strong and proactive call monitoring strategy for financial institutions is vital to ensure transactions are executed legally and appropriately.
Call monitoring procedures to include forming a lexicon of commonly used terms in insider trading, market manipulation, and other fraudulent financial activities. Additionally, using software that transcribes phone conversions and actively monitoring ongoing transactions are under strict compliance for financial institutions.
Identifying High-Risk Traders
Identifying high-risk traders early on is a great preventative against illegal financial transactions. Assigned personnel should consider the behaviour of traders and clients to uncover which of them are likely to commit financial fraud. This includes reviewing previous offenses, history of crime, trading data and patterns, and communication between employees and other clients.
Strengthening Online Security Measures
The growth of the digital space has led cybercriminals to become smarter in obtaining sensitive data from financial companies. Institutions must strengthen their online security systems.
Furthermore, knowledge-based security systems require companies to properly prepare and educate their workers about the threats such as phishing, hacking, and malware. Human-based security systems make pertinent workers the target of cyber-attacks, which could be prevented by thorough training.
Financial institutions can benefit from a range of security measures that prevent them from becoming victims of financial fraud. Learn more about them by reading this infographic by TeleMessage, a mobile communication archiving supplier.