Background Checks Reveal the Hidden Risks at Asset Managers

Data released by Intelligo has revealed that more than half of the 3,000 financial services industry respondents in a recent study were flagged with moderate to severe risks. According to Intelligo co-founder Dana Rakovsky, “past behaviors can predict future behaviors,” and that includes some of the survey’s findings, ranging from misrepresentation of job history and involvement in an assault case. As part of the report, Intelligo aggregated the background checks on individuals it has undertaken for clients using its internal artificial intelligence program, Clarity, which gathers information from court records, social media, regulatory databases, and news articles. It then grouped the risks into three categories: information flags, yellow flags, and red flags. The category with the largest number of red flags was financial risks, such as foreclosures and bankruptcies.

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Posted Under: Due Diligence

Post By Ken Shafton (2,363 Posts)