NEW YORK, Sept. 23, 2019 /PRNewswire/ --
- FICO® Falcon® X, announced today at the
Finovate conference in New York,
delivers a unified environment for the detection and investigation
of both fraud and financial crimes.
- FICO estimates an 80% overlap in software functionality between
legacy fraud and anti-money laundering systems.
- Architected for the cloud, and available on Amazon Web
Services, FICO Falcon X delivers the radical flexibility needed to
counter real-time payment fraud schemes.
- New AML machine learning models and robotic process automation
eliminate unnecessary alerts and make high priority investigations
more efficient.
FICO® Falcon® X, announced today at the
Finovate conference in New York,
delivers groundbreaking AI and machine learning technology aimed at
preventing new forms of fraud and financial crime that are enabled
by the rapid adoption of real-time payments. Running on Amazon Web
Services (AWS), FICO Falcon X streamlines both fraud detection and
anti-money laundering processes — something banks and financial
institutions worldwide are seeking. This convergence of
capabilities represents a significant cost savings opportunity as
FICO estimates an 80% overlap in the data processing, systems
maintenance, and ongoing administration of legacy systems needed to
support these functions independently.
More information:
https://www.fico.com/en/products/falcon-x
"The worldwide rollout of real-time payments — including
person-to-person transfers and mobile payments — has given rise to
criminal threats that thrive on the fact that these payments are
often irrevocable," said Jason
Keegan, who oversees the fraud line of business for
FICO. "Criminals have exploited the rigid infrastructure that
underpins our global financial system. This has allowed them to not
only commit theft, but also finance drug trafficking, human
smuggling, and terrorist activity. With Falcon X, we set out to
help institutions detect and prevent criminal activity before the
real-time transfer occurs."
"Global regulators are encouraging financial institutions to
evaluate new methods of detecting financial crimes," said TJ
Horan, FICO's vice president of fraud and compliance
products. "We're bringing to bear the orchestration of
purpose-built machine learning models, contextual data, and expert
workflows, giving fraud and compliance teams unprecedented
flexibility. We blended the latest analytic technologies with
FICO's payments and machine learning domain expertise to help banks
strengthen their defenses, level the playing field, and quickly
operationalize capabilities that not only satisfy regulatory
requirements, but also detect the earliest indications of criminal
intent."
FICO® Financial Crimes Studio
As part of the FICO® Falcon® X
solution, FICO is also introducing the
FICO® Financial Crimes Studio with InstantML, which
shortens the time to develop and deploy real-time financial crime
models through purpose-built and domain-specific FICO machine
learning algorithms. The FICO Financial Crimes Studio also allows
data scientists to build models based on their banks' unique
customer portfolio using open source machine learning libraries
such as R, Python, and H2O. Explainable AI tools in the Financial
Crimes Studio aid model governance by providing visibility into
model behaviors.
With InstantML, FICO is opening its proven portfolio of AI and
machine learning techniques, which have been proven to perform at
scale across thousands of financial institutions. For the first
time, data scientists can use FICO's industry-leading financial
crime machine learning algorithms in their own models. These models
can be seamlessly deployed on Falcon X in order to identify the
subtlest indications of illicit activity.
"Financial institutions and fintechs around the globe are
heavily investing in machine-learning analytics to help balance
risk mitigation with the customer experience," said Julie Conroy, research director at Aite
Group. "The ability to democratize the development and
deployment of advanced modeling capabilities is a top priority for
many firms so they can keep pace with the rapid evolution of fraud
and money-laundering attacks. Falcon X provides the key tools to
address these needs and empower banks and fintechs to respond
rapidly to evolving crime patterns."
"The original Falcon solution changed the industry when it
introduced AI to fraud detection 25 years ago," said Dr.
Scott Zoldi, FICO's chief analytics
officer. "It has continuously evolved, through more than 95
patents for fraud-specific machine learning algorithms, and today
protects more than 2.6 billion payment accounts worldwide. Falcon X
represents a major leap forward in the use of AI to stop fraud.
Banks around the world have told us their data scientists are
building open source models that work well in the lab but can't
perform at the scale needed in the real world. FICO Financial
Crimes Studio and InstantML remove that obstacle by providing our
clients with the toolkits and specialized financial crimes machine
learning algorithms they need to build models that perform at the
scale and speed required to detect entirely new forms of financial
crime."
A Unified Platform for Fraud and Compliance
Today, fraud teams and financial compliance teams often use
different solutions and analytics to detect and investigate
suspicious activity. In a recent survey conducted by Ovum, the
majority of banks across all regions surveyed said they have
strategic plans to converge their fraud and financial crime
operations. FICO® Falcon® X eliminates
redundancy by supporting both functions, whether they are performed
separately or in a unified fashion, with configurable workflows and
a common case manager that includes robotic process automation for
more efficient operations.
FICO Falcon X allows fraud executives, financial crimes
investigators, in-house data scientists, product leaders, and
digital experience teams to collaborate on strategies that support
the goals and policies of the institution while eliminating
inefficiency and latency from the innovation process. FICO Falcon X
is now available to global financial institutions and other
organizations that must comply with financial crime regulations. It
includes pre-mapped data integration for retail baking payments,
packaged rulesets, and sample workflows for rapid on-boarding as
well as optional FICO-developed machine learning models for
real-time payments fraud and anti-money laundering programs.
About FICO
FICO (NYSE: FICO) powers decisions that help people and businesses
around the world prosper. Founded in 1956 and based in Silicon
Valley, the company is a pioneer in the use of predictive analytics
and data science to improve operational decisions. FICO holds more
than 195 US and foreign patents on technologies that increase
profitability, customer satisfaction and growth for businesses in
financial services, telecommunications, health care, retail and
many other industries. Using FICO solutions, businesses in more
than 100 countries do everything from protecting 2.6 billion
payment cards from fraud, to helping people get credit, to ensuring
that millions of airplanes and rental cars are in the right place
at the right time. Learn more at http://www.fico.com.
Join the conversation at https://twitter.com/fico &
http://www.fico.com/en/blogs/
For FICO news and media resources, visit www.fico.com/news.
FICO and Falcon are trademarks or registered trademarks of Fair
Isaac Corporation in the United
States and in other countries.
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SOURCE FICO