The big four consultancy is bringing an AI-driven regtech with the ability to assess remediation files to our shores.
UK-based regtech Recordsure will arrive in Australia after the firm formed an alliance with global consulting giant KPMG to roll-out its customer trust and transparency solutions to Australian financial institutions.
The firm was founded in 2013 after the Financial Conduct Authority (FCA) took action against the UK finance industry over a host of issues.
According to KPMG, Recordsure can help financial institutions capture data from their interactions with customers and ensure their regulatory compliance, thanks to its artificial intelligence and machine learning capabilities.
Using the technology, Recordsure can record and transpose speech to text, review documents such as emails and live chat and analyse the resulting data. The approach allows companies to identify possible risks early, such as behavioural triggers indicating a potentially vulnerable customer.
The technology could prove useful for wealth managers facing huge remediation costs after the Royal Commission - which has seen KPMG expand its advice remediation team - as it can "rapidly" assess customer files and provide a "comprehensive means to review interactions and support customers across all channels."
KPMG national industry leader of financial services Adrian Fisk said the Australian institutions have been looking for this kind of technology based compliance solution, and was excited to implement it in Australia as financial institutions find themselves under more scrutiny than ever before.
"Across the financial services industry organisations are looking to leverage technology to improve both compliance and customer experience," Fisk said.
"We first identified this area as a pain point in the market over 18 months ago. We considered building our own technology platform, but discovered Recordsure and saw an opportunity to integrate it with our risk and customer capabilities to solve some big challenges in the market.
"We are excited to be introducing this pioneering regtech technology in Australia, particularly at a time when interactions between the financial services industry and their customers are under more scrutiny than ever before."
Recordsure founder Joanne Smith said "throwing more people" wasn't the answer to the need for change in Australia's financial services industry.
"Our technology is needed to reform the system. The really encouraging thing is the determination business leaders are showing in addressing the root cause of the issues rather than papering over the cracks," she said.
"It's good news for consumers and the industry as a whole."