ACAMS Certified Anti-Money Laundering Specialist Question Bank: Page 14 • ExamPrepare

302 questions in this view

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Question 79

Financial crime risks associated with real estate transactions include: (Select Two.)

purchases in the name of a natural person.
paying true market price for a property.
cross-border purchases.
non-financed purchases.

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Question 80

Which of the following statements is true regarding using an artificial intelligence (AI)-based system to review and identify applicable privacy and data protection rules?

Generated results are likely to be accurate and valid because of the large number of rules analyzed.
AI may be ineffective in this context because it cannot be trained to only identify rules that are applicable to a specific bank.
Generated results will still have to be assessed for the completeness and applicability of the identified rules.
Training should focus on the rules used and not how the AI performs its function.

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Question 81

Which of the following is the key component of onboarding controls?

Risk-based customer due diligence and behavior assessment
Implementation of written policies and procedures to guide AML compliance
Provision of employee training programs to ensure AML awareness
Deployment of real-time customer feedback surveys
Using social media background checks as the primary source of customer information

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Question 82

Which team is tasked with designing controls to ensure compliance with board-approved tolerance levels?

The AML compliance group
The first line of defense
The second line of defense
The third line of defense

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Question 83

With the introduction of the risk-based approach (RBA), financial institutions (FI) have started to consider Financial Crime Country Risk (FCCR) ratings as a key element in assessing the financial crime risk of prospective customers, taking into account factors such as a customer’s domicile, country of incorporation, center of activity, and tax residency.

How should FCCR be applied when assessing the customer risk? (Select Two.)

FCCR ratings should be balanced and weighed against other relevant risk factors, which in combination define the applicable level of risk in the context of a customer's activities.
FCCR ratings define the outcome of customer risk classification and always outweigh other risk elements if the customer is a resident of a jurisdiction placed on the Financial Action Task Force's (FATF) "grey" or "black" lists.
FCCR should be balanced against other risk factors that in combination define the applicable level of customer risk, with financial risk factors outweighing other risk types.
An elevated FCCR should not preclude a priori onboarding clients from certain countries, instead FIs should consider whether their control environment is appropriately robust to manage the risk in a given country.
FCCR dictates the escalation procedures for deciding on whether to onboard a client.

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Question 84

The primary function of the risk management team of an organization is to:

ensure that the organization and its hedge funds are compliant with banking sector regulations.
protect the organization from cyber attacks as well as identity theft and other forms of financial fraud.
study the potential vulnerabilities of activities that may expose the organization.
analyze markets and stocks to advise traders and fund managers on trading decisions.

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Certified Anti-Money Laundering Specialist Practice Questions

Question 79

Question 80

Question 81

Question 82

Question 83

Question 84