Which risks are involved in a correspondent banking client's ownership and management structure?

When dealing with correspondent banking clients, banks must evaluate the ownership and management structure of the client in order to assess the risks associated with the relationship. The status of the entity as a state, publicly, or privately held entity, as well as the transparency of the ownership structure, are important factors to consider when assessing these risks. Banks should also take into account the size of the management structure, the regularity of boardmeetings, and the length of time since the last Wolfsberg Group review in order to determine the risk associated with the correspondent banking relationship.