ACAMS Certified Anti-Money Laundering Specialist (CAMS7 the 7th edition) - CAMS7 Exam Practice Test

A. how an organization defines Its risk-based approach.

B. how an organization determines its key risk and performance indicators.

C. the purpose of an organization's financial crimes compliance program.

D. the level and type of risk the organization is willing to take to meet its objectives

A. Allowing fixed income securities to mature

B. Engaging in transactions involving nominees or third parties

C. Receiving securities into an existing brokerage account following the death of a spouse

D. Using brokerage accounts like deposit accounts

A. An individual wants to execute wire transfers to a person in a FATF grey-listed jurisdiction and asks a close friend to send the money on his behalf, citing financial difficulties

B. An individual who is the secretary to a government official frequently accesses the bank's safe deposit vault to withdraw cash

C. An individual regularly imports sophisticated electronic items for civil use and pays all applicable customs duties

D. A customer regularly invests in equity funds using her spouse's bank account where she is a second account holder

E. A business owner mortgages his home with a financial institution that was recently fined for AML violations

A. Conform to the foreign jurisdiction policies to align with the head office policies.

B. Provide all foreign jurisdiction reports to the head office for approval.

C. Be consistent with the head office audits

D. Be tailored to the higher of standards between the jurisdictions.

A. The European Commission and the High Representative issue a joint proposal for an import ban on oil extraction equipment

B. The Council of the European Union adopts a new export control regime for electronic equipment

C. The Council of the European Union adopts a new import restriction regime for goods coming from countries that do not respect human rights

D. The European Commission and the High Representative issue a joint proposal for an import ban on refined oil products.

A. simultaneous encryption and decryption for underlying data.

B. full access to underlying data with full and uninterrupted calculations made on the data.

C. secure processing of data while it remains encrypted.

D. transfer, decryption and storage of data by the data processor.

A. Greater potential for laundering illicit proceeds

B. Reduced regulatory scrutiny compared to low-risk customers

C. Enhanced customer due diligence requirements

D. Increased likelihood of engaging in financial crimes

A. Collecting necessary documents to verify the veracity of information

B. Asking to provide a list of immediate family members

C. Verifying the financial crime awareness of the client

D. Inquiring about the source of wealth and source of funds

A. Accountants being used as intermediaries to introduce criminals to financial institutions

B. Criminals posing as individuals seeking financial advice to place assets out of reach to avoid future liabilities

C. A lack of professional body oversight or required use of accounting and auditing standards in the country of incorporation of the entity

D. Incomplete records being provided during bookkeeping, making them difficult to audit

A. Focus on the inherent risk in the FI's product and service offerings and the controls to mitigate potential money laundering risks.

B. Focus on understanding the risks presented by new clients within the assessment period, and the controls to mitigate associated money laundering risks.

C. Include appropriate measures and controls to mitigate money laundering risks stemming from higher-risk customers, products, and geographies.

D. Use a framework provided by a third-party vendor and used by other FIs in the jurisdiction.

A. engaging in providing financial services, including banking and investment activities, to the public and private sectors

B. collaborating with law enforcement agencies, financial institutions, and other stakeholders to detect and prevent Illicit financial activities.

C. enacting legislation regarding the operations of financial institutions.

D. conducting examinations of financial institutions to ensure compliance with anti-money laundering regulations.

E. facilitating the exchange of information between the public and private sectors.

A. Directing or facilitating the laundering of illicit funds, including structuring transactions

B. Establishing shell companies to enable money laundering activities, including placement or layering

C. Opening an account to settle an estate on behalf of a client

D. Opening third-party accounts for the primary purpose of masking the underlying client's identity

E. Opening a trust account to facilitate a legitimate real estate transaction

A. A relationship manager advocates for overriding the results of the company's client risk rating model that resulted in a client's high-risk rating.

B. An investigator does not complete the automated transaction monitoring system alerts assigned to them before the time required by company procedures.

C. An If employee shares information about a firm's risk management framework with employees of other firms at an industry convention.

D. A relationship manager makes an exception to company policy and proceeds with onboarding a customer without documenting a passport for customer identification

A. Money laundering typologies applicable to monetary instrument reporting

B. Money laundering typologies applicable to corporate loans

C. Applicable AML laws and regulations

D. Regulatory exam best practices