Spectra Automates KYC Document Processing with Rules and LLM Agents

Summary

KYC onboarding in capital markets requires analysts to classify documents, extract structured data from heterogeneous sources, and validate compliance with complex policies. The authors find that sequential handoffs make end-to-end onboarding take as long as multiple weeks, and propose consolidating a traditional four-party workflow into two parties that can share more of the work through automation. Their Spectra platform combines a structured rules engine with LLM-based classification, extraction, and validation agents. Compliance policies are stored in a queryable database so the system can inject focused context, reducing token use while improving extraction precision. Document processing is divided into isolated, auditable stages that can be optimized separately and traced to specific policy clauses. In an evaluation on real KYC documents, Spectra achieved 100% classification accuracy and 89.4% extraction accuracy, while reducing the human review burden by 96%.