In which circumstance must a KYC analyst obtain source of wealth information on a client subject to CDD?
Answer(s): D
FATF requires obtaining and verifying source of wealth information in higher-risk situations, such as when there is increased involvement with high-risk jurisdictions or Politically Exposed Persons (PEPs), as part of enhanced due diligence.
Customers opening accounts online identify their occupation from a drop-down list. A KYC analyst notices a high volume of applicants selecting "Accountant" because itis at the top of the list. The institution's KYC policy does not require evidence to verify occupation.Which is the most appropriate action for the KYC analyst to take?
A sudden pattern in occupation selection can indicate inaccurate self-reporting or potential misuse of the onboarding process. Even if policy does not require occupation verification, such anomalies should be escalated to the KYC manager for review and potential policy or process adjustments.
Which situation would most likely increase the inherent risk of a corporate customer?
Expanding business operations beyond the home country increases inherent risk due to cross-border transactions, exposure to multiple jurisdictions, and potential dealings with regions of higher money laundering or terrorism financing risk.
A compliance officer in an international bank is reviewing new customer onboarding files. The relationship manager provides a whole set of customer documents, in addition to information from open source research. What information should be used by the compliance officer as secondary documentation to verify the primary documentation?
Answer(s): A
Secondary documentation for verification purposes should be recent, reliable, and issued by a trusted source. Utility bills, phone bills, or bank statements issued within the last three months are commonly accepted to confirm address and identity details provided in primary documentation.
Sanctions screening is important before onboarding a customer, or when using the services of a financial institution, because it:
Answer(s): C
Sanctions screening is conducted to detect whether a customer or related party is on a sanctions list or linked to a sanctioned location, ensuring compliance with legal and regulatory requirements before establishing or continuing a business relationship.
Which is the best technique to effectively document a customer profile?
Effective customer profile documentation should be clear, precise, and free from subjective language. Providing context and avoiding ambiguity ensures the information is reliable, verifiable, and usable for risk assessment and compliance purposes.
A KYC analyst is running an adverse media search on a prospective client's directors and learns that one of the directors has been accused of receiving bribery payments. Which step should the KYC analyst take next?
Answer(s): B
Allegations of bribery involving a director are a significant red flag for potential financial crime risk. The KYC analyst should escalate the finding to the compliance team for assessment and guidance before making any decision on the business relationship.
A bank's business team has developed a new strategy, which includes the introduction of prepaid cards as a new high-risk product offering. The compliance team has proposed to impose a monetary limit on each prepaid card and limit the offering to the existing customers of the bank only. Which best describes the risk impact of the controls proposed by the compliance team?
Inherent risk is the natural risk before controls are applied. The compliance team's measures (monetary limits and restricting to existing customers) reduce the exposure to misuse, thereby lowering the residual risk - the risk that remains after controls are implemented.
Share your comments for ACAMS CKYCA exam with other users:
question 18 : response isnt a ?
plaese add questions
is dumps still valid ?
thanks for this
please upload questions
please upload the question dump for professional machinelearning
question 4 answer is c. this site shows the correct answer as b. "adopt a consumption model" is clearly a cost optimization design principle. looks like im done using this site to study!!!
number 52 answer is d
just started preparing for my exam , and this site is so much help
question 35 is incorrect, the correct answer is c, it even states so: explanation: when a vm is infected with ransomware, you should not restore the vm to the infected vm. this is because the ransomware will still be present on the vm, and it will encrypt the files again. you should also not restore the vm to any vm within the companys subscription. this is because the ransomware could spread to other vms in the subscription. the best way to restore a vm that is infected with ransomware is to restore it to a new azure vm. this will ensure that the ransomware is not present on the new vm.
i would like to take psm1 exam.
cbd and pdb are key to the database
the purchase and download process is very much streamlined. the xengine application is very nice and user-friendly but there is always room for improvement.
please upload p_sapea_2023
anyone use this? the question dont seem to follow other formats and terminology i have been studying im getting worried
good questions
hello are these questions valid for ms-102
some questions are wrongly answered but its good nonetheless
how to get system serial number using intune
is it really helpful to pass the exam
#229 in incorrect - all the customers require an annual review
kindy upload
fantastic assessment on psm 1
56 question correct answer a,b
thank you for providing the q bank
true quesstions
i can´t believe ms asks things like this, seems to be only marketing material.
hi, could you please add the last update of ns0-527
question #3 refers to vnet4 and vnet5. however, there is no vnet5 listed in the case study (testlet 2).
sometimes it may be good some times it may be
qs 4 answer seems wrong- please check
very detailed explanation !
the interactive nature of the test engine application makes the preparation process less boring.
very useful.
Keeping this site free takes real effort. We constantly battle automated scraping and unauthorized content copying. A quick account helps us protect the community and keep the site free.
To continue studying for your CKYCA, please sign in or create a free account.