Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from China
Trade-based Money Laundering, a new form of money laundering using international trade as a signboard, always appears along with speculative capital movement which has been accepted as the most concerned and consensus incentive giving rise to the collapse of the financial market. Unfortunately, prev...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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Vilnius Gediminas Technical University
2019-05-01
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| Series: | Technological and Economic Development of Economy |
| Subjects: | |
| Online Access: | https://journals.vgtu.lt/index.php/TEDE/article/view/9383 |
| _version_ | 1818386676267876352 |
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| author | Xiangrui Chao Gang Kou Yi Peng Fawaz E. Alsaadi |
| author_facet | Xiangrui Chao Gang Kou Yi Peng Fawaz E. Alsaadi |
| author_sort | Xiangrui Chao |
| collection | DOAJ |
| description | Trade-based Money Laundering, a new form of money laundering using international trade as a signboard, always appears along with speculative capital movement which has been accepted as the most concerned and consensus incentive giving rise to the collapse of the financial market. Unfortunately, preventing money laundering is very difficult since money laundering always has a plausible trade characterization. To reach this goal, supervision for regulator and financial institutions aims to effectively monitor micro entities’ behavior in financial markets. The main purpose of this paper is to establish a monitoring method including accurate recognition and classified supervision for Trade-based Money Laundering by means of knowledge-driven multi-class classification algorithms associated with macro and micro prudential regulation, such that the model can forecast the predicted class from the concerned management areas. Based on empirical data from China, we demonstrate the application and explain how the monitor method can help to improve management efficiency in the financial market.
First published online 8 May 2019 |
| first_indexed | 2024-12-14T03:57:50Z |
| format | Article |
| id | doaj.art-39fa7d0625a84356b1572a7d60266d44 |
| institution | Directory Open Access Journal |
| issn | 2029-4913 2029-4921 |
| language | English |
| last_indexed | 2024-12-14T03:57:50Z |
| publishDate | 2019-05-01 |
| publisher | Vilnius Gediminas Technical University |
| record_format | Article |
| series | Technological and Economic Development of Economy |
| spelling | doaj.art-39fa7d0625a84356b1572a7d60266d442022-12-21T23:18:02ZengVilnius Gediminas Technical UniversityTechnological and Economic Development of Economy2029-49132029-49212019-05-0125610.3846/tede.2019.9383Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from ChinaXiangrui Chao0Gang Kou1Yi Peng2Fawaz E. Alsaadi3School of Management and Economics, University of Electronic Science and Technology of China, No. 2006, Xiyuan Ave, West Hi-Tech Zone, Chengdu, 611731, ChinaSchool of Business Administration, Southwestern University of Finance and Economics, No. 555, Liutai Ave, Wenjiang Zone, Chengdu, 611130, ChinaSchool of Management and Economics, University of Electronic Science and Technology of China, No. 2006, Xiyuan Ave, West Hi-Tech Zone, Chengdu, 611731, ChinaDepartment of Information Technology, Faculty of Computing and IT, King Abdulaziz University, Jeddah, Saudi ArabiaTrade-based Money Laundering, a new form of money laundering using international trade as a signboard, always appears along with speculative capital movement which has been accepted as the most concerned and consensus incentive giving rise to the collapse of the financial market. Unfortunately, preventing money laundering is very difficult since money laundering always has a plausible trade characterization. To reach this goal, supervision for regulator and financial institutions aims to effectively monitor micro entities’ behavior in financial markets. The main purpose of this paper is to establish a monitoring method including accurate recognition and classified supervision for Trade-based Money Laundering by means of knowledge-driven multi-class classification algorithms associated with macro and micro prudential regulation, such that the model can forecast the predicted class from the concerned management areas. Based on empirical data from China, we demonstrate the application and explain how the monitor method can help to improve management efficiency in the financial market. First published online 8 May 2019https://journals.vgtu.lt/index.php/TEDE/article/view/9383financial risk monitortrade-based money launderingmacro- and micro- prudential regulationmachine learning |
| spellingShingle | Xiangrui Chao Gang Kou Yi Peng Fawaz E. Alsaadi Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from China Technological and Economic Development of Economy financial risk monitor trade-based money laundering macro- and micro- prudential regulation machine learning |
| title | Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from China |
| title_full | Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from China |
| title_fullStr | Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from China |
| title_full_unstemmed | Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from China |
| title_short | Behavior monitoring methods for trade-based money laundering integrating macro and micro prudential regulation: a case from China |
| title_sort | behavior monitoring methods for trade based money laundering integrating macro and micro prudential regulation a case from china |
| topic | financial risk monitor trade-based money laundering macro- and micro- prudential regulation machine learning |
| url | https://journals.vgtu.lt/index.php/TEDE/article/view/9383 |
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