Inside the AML Talent Market: Trends, Challenges, and Opportunities

At the heart of every effective anti-money laundering (AML) program are professionals who know how to spot patterns, ask the right questions, and are committed to protecting people and the integrity of the financial system. As compliance challenges evolve and financial fraud becomes more sophisticated, financial institutions are in a tight race for this talent. 

Small and midsize banks face a steep challenge on this front. They need to compete for the best available candidates while managing budget constraints, adapting to regulatory changes, and navigating digital transformation risks. They want purpose, career growth, and the tools to do their job well. That means having access to modern technology, data, and systems that support smarter, faster decision-making. 

A silver lining is that the AML talent pool is expanding, as more purpose-driven professionals explore careers in financial crime prevention—motivated by the chance to work at the intersection of business, law, and technology, and the desire to make a positive impact. 

So, what other trends should employers and job seekers watch in today’s AML hiring market? To find out, we spoke with Sanjeev Menon and Zachary Plotkin, Managing Partners at Madison-Davis, a New York City–based executive search and staffing firm specializing in financial services and technology. They work with organizations across North America to place highly skilled professionals in critical roles. Here’s what they had to say. 

Dynamics shaping the AML hiring landscape 

As economic and regulatory pressures intensify, many financial institutions are reassessing the structure of their AML and compliance teams, according to Menon and Plotkin. A growing number are adopting temporary and project-based staffing models—an approach that supports compliance while managing headcount constraints and budget uncertainty. 

“We’re seeing temporary hiring rise to about 65% to 70% of our business right now,” says Plotkin. “In a climate of uncertainty, it’s become more common to bring someone in for three to six months, see how they perform, and then decide whether to hire them full time.” 

What kinds of projects are driving the demand for interim skilled talent? It’s a mix of the expected—like investigations, backlogs, and remediation efforts—and the unexpected. For example, Menon and Plotkin say that recent tariffs led one Canadian bank to onboard hundreds of U.S.-based clients in a hurry, requiring a fleet of onboarding specialists with Know Your Customer (KYC) expertise. 

AML roles and skills in high demand 

Menon and Plotkin say that recruiting skilled talent for AML, sanctions, and KYC roles remains an ongoing focus for most financial institutions. But they have also seen a significant surge in hiring for more specialized positions, particularly in areas like fraud and data analytics. Here’s a closer look at some of the most in-demand jobs, based on their observations. 

AML business analysts and system-tuning experts. These professionals optimize transaction monitoring systems to help financial institutions minimize alert fatigue and use their internal resources more effectively. These specialists refine rules, help reduce false positives, and ensure tools accurately reflect real-world risk scenarios.  
 

Fraud analysts and investigators. As financial scams and fraud grow more sophisticated and widespread, these professionals are on the front lines analyzing suspicious activity, identifying patterns, and recommending actions to help protect customers and the business. Demand for this talent is particularly intense at fintechs and digital-first institutions, where transaction volume is high and risk surfaces are complex. 
 
Compliance technologists. These hybrid professionals understand both AML compliance requirements and the systems that support them. They help banks select, implement, and optimize AML software—often serving as liaisons between risk teams and IT. As banks increase their reliance on automation and advanced analytics for AML and fraud detection, the compliance technologist role is crucial in bridging functional gaps. 
 
Consumer compliance specialists. Particularly relevant at retail-facing banks and community institutions, these professionals help ensure adherence to consumer protection laws such as Reg E (electronic fund transfers) and Reg Z (truth in lending). They play a crucial role in maintaining fair and transparent practices—a focus that may ebb and flow politically, but never fades entirely. 
 
Data and analytics professionals. From scenario development to contextual monitoring, data-savvy professionals—including those with a background in data science—are transforming how AML programs operate by leveraging AI and machine learning tools. These roles often involve trend analysis, alert prioritization, and support for AI model validation and verification. They’re especially valuable in financial institutions trying to move from reactive to proactive compliance. 

 As AI becomes more embedded in transaction monitoring, customer onboarding, and alert generation, banks of all sizes will need professionals who understand how to manage the potential risks that automation can introduce. This evolution will also give rise to new roles. “We’re not at the stage where banks are hiring AI compliance officers yet,” Plotkin explains. “But it’s coming. Smart institutions are already preparing for what’s next.” 

Finding an edge when competing for top AML talent 

AI, including generative AI, and automation are reshaping the nature of work for AML professionals and the skills needed to lead AML teams. But in a tight labor market, smaller banks face an added layer of difficulty in AML talent recruitment—standing out in a field where the biggest players tend to dominate. 

“A $10 billion bank wants to recruit the same talent that a $90 billion bank is targeting,” says Menon. He emphasizes that banks lacking big-name recognition or deep pockets can stand out to top candidates by focusing on sharing their brand story and positioning themselves as places where growth-minded professionals can build meaningful careers. 

Menon and Plotkin say small and midsize banks should frame available roles as opportunities for candidates to take on more responsibility, diversify their experience, and play a direct role in shaping the bank’s transformation journey. For professionals who feel siloed at massive financial institutions, the promise of broader exposure and greater influence can be an attractive proposition. 

“If you go to a smaller bank, you get to choose the direction you want to go,” Plotkin explains. “At a big bank, it’s likely remain in one area, or one lane.”  

Small and midsize banks can also win on work flexibility, according to Plotkin. While fully remote work options are rare, many smaller firms are able to offer hybrid arrangements and local autonomy—which industry giants often can’t, or won’t, do. 

What today’s AML professionals want: purpose, growth, and modern tools 

According to Menon and Plotkin, many professionals in AML and financial crime prevention are drawn to the mission. They often “fall into” the field from backgrounds in law enforcement, accounting, or auditing, and tend to stay because they see the real-world impact of their work.  

When evaluating opportunities, they say candidates consistently look for: 

• A chance to make a difference — whether by fixing, building, or leading something new 

• Room to grow — broader scope, more responsibility, or a meaningful step up in title 

• Leading-edge tech — think AI and ML, not running compliance on Excel 

• Leadership buy-in — an organizational culture that views compliance as a strategic asset, not just a checkbox 

Compensation also matters, of course, but so does intellectual engagement. In many cases, it’s the most experienced professionals who crave the biggest challenges. “One candidate told me, ‘I get paid well, but I’m not using all my brain cells,’” Menon recalls. “That’s not the kind of job that keeps someone motivated for the long term.” 

Building strong teams to grow stronger institutions 

For small and midsize banks, attracting top AML talent means competing not just on salary, but also on opportunity by offering the chance to shape programs, drive transformation, and work with modern tools and platforms. And for professionals who care about making a difference, AML offers a field where skill, commitment, and motivation are deeply valued. 

The real work of AML happens person to person. Every alert reviewed, transaction flagged, or investigation launched depends on human judgment grounded in insight, experience, and a sense of purpose. In many ways, AML is more than a career path—it is a calling. As Menon puts it: “AML is not just about stopping financial crime. It’s about protecting people, protecting communities, and protecting the integrity of the financial system.”