False positives can come from stale labels, weak matching logic, overly broad exposure thresholds, poor customer context, or rules that do not distinguish direct exposure from remote indirect exposure. Measurement should be paired with quality assurance and miss-rate review.
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Glossary term
What is False positive rate?
False positive rate is the share of alerts, matches, or risk flags that prove not to be true issues after review. In compliance operations, a high false positive rate can drain analyst time and create customer friction, but lowering it must not come at the cost of missing real suspicious or sanctioned activity.