At the Temenos Community Forum in Madrid, Temenos (SIX: TEMN), a global leader in banking technology, announced the launch of the Temenos FCM AI Agent—an advanced AI-driven screening solution designed to transform how banks and financial institutions combat financial crime. This innovative solution is now generally available (GA).
Real-Time AI for Smarter Compliance
The Temenos FCM AI Agent enables financial institutions to detect, investigate, and prevent violations against global and domestic sanctions lists. Leveraging advanced artificial intelligence and real-time analytics, the tool significantly reduces false positives, empowering compliance teams to act faster and more accurately while enhancing human decision-making.
In an industry where the average false positive rate for customer screening ranges from 5% to 8%, Temenos’ AI Agent has demonstrated an impressive rate of under 2% in live deployments. This not only enhances customer satisfaction but also reduces compliance risks and operational costs, increases staff productivity, and supports revenue growth.
Tackling the High Costs of Compliance
With over 40% of compliance costs tied to personnel due to labor-intensive processes, many institutions struggle with scaling their efforts. Manual reviews can overwhelm teams and dilute their focus from genuine threats, weakening an institution’s ability to detect real financial crimes.
By minimizing false positives, the FCM AI Agent allows more payments to be processed without unnecessary delays, reducing the burden on compliance teams and allowing them to prioritize high-risk cases. This not only streamlines internal operations but also ensures a smoother experience for customers.
Meeting Modern Demands for Real-Time Payments
Sanctions are now increasingly used as strategic policy tools, heightening the need for real-time and precise compliance measures. As instant payments and account-to-account (A2A) transactions become more prevalent—thanks to the rise of Open Banking—banks are facing greater pressure to screen transactions effectively and instantly.
Built in Collaboration with Industry Leaders
Temenos co-developed the FCM AI Agent in partnership with a leading European tier-1 bank as part of its Design Partner Program, ensuring the solution is built to address real-world challenges with a strong customer-centric approach.
Barb Morgan, Chief Product and Technology Officer at Temenos, stated:
“We’re excited to launch our new AI Agent for Financial Crime Mitigation, a proven solution co-created with a Tier-1 bank that empowers banks to stay ahead of increasingly complex compliance challenges. By using agentic AI for real-time decision-making, we’re helping our clients screen smarter, faster, and with greater confidence.”
Jerry Silva, Program Vice President at IDC, added:
“Agentic AI has the potential to significantly improve automation and reduce manual workloads across the whole institution. In addition to focusing on the efficiency and costs of sanctions screening and compliance for real-time payments, Temenos’s AI agent solution seems poised to address the critical problem of false positives, one of the biggest challenges in financial crime management.”
—————————————————————————————————
About Innovation Streets:
Welcome to InnovationStreets.com! Get the latest insights from the finance and technology industries. Discover industry updates on fintech innovations, regulatory developments, industry insights, events, and collaborations between banks, insurers, and fintechs. A platform for C-level executives to submit thought leadership content for their peers. Subscribe for updates!
