What kind of organization is the Joint Money Laundering Steering Group?

The Joint Money Laundering Steering Group (JMLSG) is recognized as a trade body that provides guidance and best practices for the financial services sector regarding compliance with anti-money laundering (AML) regulations in the UK. As a trade body, the JMLSG consists of representatives from a variety of sectors within the financial industry and seeks to enhance the effectiveness of AML practices among its members. It develops and publishes guidance that assists firms in meeting their obligations under UK law, thus enabling them to better manage the risks associated with money laundering and terrorist financing.

The nature of a trade body is to represent the interests of its members, offering a platform for collaboration, sharing of information, and promoting the industry's standards. This is distinctive from a governmental body, which would involve state functions and regulation, or a non-profit organization, which may focus more broadly on social causes and issues without specifically promoting trade interests. Financial institutions, on the other hand, are the entities that comply with the regulations and guidelines set forth by bodies like the JMLSG.

Therefore, identifying the JMLSG as a trade body aligns with its role in fostering best practices in the sector while influencing policy and regulation within the financial industry regarding money laundering controls.