New Global Markets is a privately-held financial technology company based in London and established to develop an innovative secure identity solution for the financial industry and other high-risk businesses.

The main purpose of the solution we are developing, which we call AuthentIdent (’Authenticated Identification’) is to simplify Know Your Customer regulatory compliance in the financial industry, which is the most basic and universal requirement of international Anti-Money Laundering and Counter-Terror Financing regulation, and also a key element of fraud prevention.

AuthentIdent is designed not only to provide a gold standard of KYC compliance for the global financial industry, but also to overcome the problems of identity fraud and theft that currently make it easy for criminals, corrupt public officials and others to get round customer identification and due diligence processes, and to make the entire KYC process more convenient, efficient and cost-effective.

Existing KYC solutions rely on the financial institutions carrying out face-to-face identification of every new customer (and sometimes re-identification of existing ones), which means that they may end up re-identifying customers who have been identified many times before, even in the same institution. Unlike these solutions, AuthentIdent is based on regulatory changes in the European Union that make it possible for banks and other regulated businesses to reply on the identification that has already been done by another bank, not only in the same country but even in other EU member states (and some other countries, known as ‘equivalent jurisdictions’). This means that, based on a single identification process carried out at a regulated bank, AuthentIdent can give financial industry customers (not only individuals but also corporates) a global financial passport that can be used to open business with any financial service company, as well as other regulated businesses such as law and accounting firms, without having to go through additional identification processes.

The global financial passport functionality of AuthentIdent, which has been mooted for several years by financial industry leaders, will make it possible for banks and other financial services to acquire new customers cross-border, and for customers to shop for financial services cross-border: this will make much more practical the implementation of the European Union’s Single Market policies and regulations, including SEPA (Single European Payments Area), MiFID II (Markets in Financial Instruments Directive and MAD (Market Abuse Directive)

AuthentIdent will be deployed as a central KYC utility covering a network of financial institutions, with the front-end technology located in the banks carrying out the customer identifications, feeding and validating the identification data through application and data servers located in a secure private cloud. The back-end system will check customers’ identification documents in real time against external data sources such as industry-standard black lists, and will also capture biometric information in order to prevent identity fraud. Once authorized, customers will receive a unique identity number and security passwords that will enable them to access the server system in order to onboard to other financial or other services that are part of the AuthentIdent network. All customer data will be stored in our secure servers, encrypted to national security standards and protected by additional proprietary technology.

The value proposition of AuthentIdent is therefore for both financial institutions and for their customers. The institutions will be able to rely on authenticated, pre-screened customers who can be onboarded either without further identification or on the basis of additional due diligence processes that do not usually require face-to-face contact. And customers, once identified and screened successfully, will be able to request onboarding to new services without any additional face-to-face KYC process, by logging in to a secure customer server either through the Internet or mobile app, and giving their informed consent to pass the necessary personal information to the service requested. This is especially necessary because of the rapid development of completely on-line financial and e-commerce services where customers can not be identified face-to-face.

 

 

 

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