What is Source of Wealth?

  • Identity & compliance
  • Ongoing review & funding context
  • 3 min read

The short answer

Source of wealth concerns how a person accumulated their overall wealth, which is distinct from the origin of a specific payment.

Source of Wealth: why it matters

An onboarding or review decision can contain several different questions. Keeping this concept distinct helps the team assign the right evidence and decision owner, rather than rely on a single completed status.

How to assess it in practice

Separate the wider wealth explanation from transaction-specific funding evidence and document remaining uncertainty. Start by defining the question the team needs to answer. Identify the relevant record or evidence, check its scope and date, and retain the reasoning behind the result. If evidence conflicts, keep that conflict visible for review.

Worked example

Illustrative workflow: a team reviewing a business adds a separate check for source of wealth. The reviewer’s task is to separate the wider wealth explanation from transaction-specific funding evidence and document remaining uncertainty. The outcome is recorded together with the supporting evidence; an unresolved question stays open rather than being converted into a positive result.

Illustrative scenario

Evidence of a business sale supports a wealth explanation, but a new payment funded through another route still requires its own source-of-funds assessment where appropriate.

Distinctions that matter

Source of Wealth belongs to the ongoing review & funding context topic family. Read Ongoing Due Diligence alongside it to understand the adjacent question. Each page has its own intended scope; shared context does not make the concepts equivalent.

Evidence and review output

Review these

  • Previously approved baseline
  • New facts and source dates
  • Review outcome and next trigger

The review should produce

An updated relationship assessment with changes, unanswered questions and the next action made explicit.

Across this family

Compare the current understanding of a relationship with its approved baseline. A scheduled review and an event-driven review can answer different questions, so specify what triggers each and how outcomes update the file. A delivered notification is not itself a completed reassessment.

A note from practice

Source of wealth explains how overall wealth accumulated, often across several activities and periods. Reconcile the explanation with the person's circumstances without assuming it proves the origin of every subsequent payment.

Limits and common mistakes

The practical boundary is important: Separate the wider wealth explanation from transaction-specific funding evidence and document remaining uncertainty. Do not substitute a related label for this check or assume that missing information is a negative finding. Source-specific and jurisdiction-specific rules require their own review.

Frequently asked questions

Which evidence should I review?

For this topic, focus on previously approved baseline, new facts and source dates, review outcome and next trigger. The relevant source and dates should be retained with the finding.

How is Source of Wealth different from Ongoing Due Diligence?

Ongoing due diligence maintains an understanding of an existing relationship as customer information and activity change. The distinction matters because the evidence needed for that concept may not resolve the question addressed on this page.

What should the result of the review contain?

An updated relationship assessment with changes, unanswered questions and the next action made explicit. Preserve material conflicts instead of replacing them with an unexplained success flag.

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