Page 1 of 43
ACAMS CERTIFICATION EXAM | FREQUENTLY
TESTED QUESTIONS WITH CORRECT ANSWERS |
BRAND NEW!
In 2009, FATF began to publicly identify high risk jurisdictions.
What made the named jurisdictions high risk? - ✔✔✔ Correct Answer >
Strategic deficiencies in their AML/CFT regimes
Describe a Patriot Act certification. - ✔✔✔ Correct Answer > A
certification is a formal assertion in writing, which is used by U.S.
regulators in different contexts, for example:
• certifying that the bank does not do business with shell banks
• stating that a matter is linked to money laundering or terrorist
financing.
What are six principles set forth in the Basel Committee's
Statement of Principles called "Prevention of Criminal Use of the
Banking System for the Purpose of Money Laundering"? - ✔✔✔
Correct Answer > • Customer identification,
• Compliance with laws,
• Conformity with high ethical standards and local laws and
regulations,
,Page 2 of 43
• Full cooperation with national law enforcement to the extent
permitted without breaching customer confidentiality,
• Staff training, and
• Record keeping and audits.
Identify the seven specific customer identification issues as
identified in the Basel Committee's October 2001 paper called
"Customer Due Diligence for Banks." - ✔✔✔ Correct Answer > • Trust,
nominee and fiduciary accounts,
• Corporate vehicles (e.g. nominees or bearer shares),
• Introduced businesses,
• Client accounts opened by professional intermediaries,
• Politically exposed persons,
• Non‐face‐to‐face customers, and
• Correspondent banking.
What are the four key elements of Know Your Customer (KYC) as
identified in the Basel Committee's October 2001 paper called
"Customer Due Diligence for Banks?" - ✔✔✔ Correct Answer > •
Customer identification,
• Risk management,
• Customer acceptance, and
• Monitoring.
,Page 3 of 43
Describe the elements that should be addressed in a global
approach to KYC identified in the Basel Committee's October
2004 paper called "Consolidated KYC Risk Management." - ✔✔✔
Correct Answer > • Risk management,
• Customer acceptance and identification policies, and
• Ongoing monitoring of higher‐risk accounts.
How did the European Union's Second Directive on Prevention on
the Use of the Financial System for the Purpose of Money
Laundering (2001) expand the scope of the First Directive? - ✔✔✔
Correct Answer > The definition of "criminal activity" was expanded to
cover not just drug trafficking, but all serious crimes, including
corruption and fraud against the financial interests of the
European Community.
How does the scope of the European Union's Third Money
Laundering Directive differ from the Second Money Laundering
Directive? - ✔✔✔ Correct Answer > • Includes the category of trust and
company service providers,
• Covers all dealers trading in goods who trade in cash over
15,000 Euros, and
• Financial institutions includes certain insurance intermediaries.
, Page 4 of 43
How does the Caribbean Financial Action Task Force (CFATF)
monitor member's implementation of the anti‐money laundering
recommendations? - ✔✔✔ Correct Answer > • Self‐assessment,
• Ongoing program of mutual evaluation of members,
• Coordination of, and participation in, training and technical
assistance programs,
• Biennial plenary meetings for representatives, and
• Annual ministerial meetings.
According to the Egmont Group, what is the definition of a
Financial Intelligence Unit (FIU)? - ✔✔✔ Correct Answer > • A central,
national agency responsible for receiving (and, as permitted,
requesting), analyzing and disseminating to the competent
authorities, disclosures of financial information,
• Concerning suspected proceeds of crime and potential
financing of terrorism, and
• Required by national legislation or regulation.
According to the Wolfsberg Anti‐Money Laundering Principles for
Private Banking (2000), what are situations for private banking
that require further due diligence? - ✔✔✔ Correct Answer > • Public
officials, including individuals holding, or having held, positions of
public trust, as well as their families and close associates,
ACAMS CERTIFICATION EXAM | FREQUENTLY
TESTED QUESTIONS WITH CORRECT ANSWERS |
BRAND NEW!
In 2009, FATF began to publicly identify high risk jurisdictions.
What made the named jurisdictions high risk? - ✔✔✔ Correct Answer >
Strategic deficiencies in their AML/CFT regimes
Describe a Patriot Act certification. - ✔✔✔ Correct Answer > A
certification is a formal assertion in writing, which is used by U.S.
regulators in different contexts, for example:
• certifying that the bank does not do business with shell banks
• stating that a matter is linked to money laundering or terrorist
financing.
What are six principles set forth in the Basel Committee's
Statement of Principles called "Prevention of Criminal Use of the
Banking System for the Purpose of Money Laundering"? - ✔✔✔
Correct Answer > • Customer identification,
• Compliance with laws,
• Conformity with high ethical standards and local laws and
regulations,
,Page 2 of 43
• Full cooperation with national law enforcement to the extent
permitted without breaching customer confidentiality,
• Staff training, and
• Record keeping and audits.
Identify the seven specific customer identification issues as
identified in the Basel Committee's October 2001 paper called
"Customer Due Diligence for Banks." - ✔✔✔ Correct Answer > • Trust,
nominee and fiduciary accounts,
• Corporate vehicles (e.g. nominees or bearer shares),
• Introduced businesses,
• Client accounts opened by professional intermediaries,
• Politically exposed persons,
• Non‐face‐to‐face customers, and
• Correspondent banking.
What are the four key elements of Know Your Customer (KYC) as
identified in the Basel Committee's October 2001 paper called
"Customer Due Diligence for Banks?" - ✔✔✔ Correct Answer > •
Customer identification,
• Risk management,
• Customer acceptance, and
• Monitoring.
,Page 3 of 43
Describe the elements that should be addressed in a global
approach to KYC identified in the Basel Committee's October
2004 paper called "Consolidated KYC Risk Management." - ✔✔✔
Correct Answer > • Risk management,
• Customer acceptance and identification policies, and
• Ongoing monitoring of higher‐risk accounts.
How did the European Union's Second Directive on Prevention on
the Use of the Financial System for the Purpose of Money
Laundering (2001) expand the scope of the First Directive? - ✔✔✔
Correct Answer > The definition of "criminal activity" was expanded to
cover not just drug trafficking, but all serious crimes, including
corruption and fraud against the financial interests of the
European Community.
How does the scope of the European Union's Third Money
Laundering Directive differ from the Second Money Laundering
Directive? - ✔✔✔ Correct Answer > • Includes the category of trust and
company service providers,
• Covers all dealers trading in goods who trade in cash over
15,000 Euros, and
• Financial institutions includes certain insurance intermediaries.
, Page 4 of 43
How does the Caribbean Financial Action Task Force (CFATF)
monitor member's implementation of the anti‐money laundering
recommendations? - ✔✔✔ Correct Answer > • Self‐assessment,
• Ongoing program of mutual evaluation of members,
• Coordination of, and participation in, training and technical
assistance programs,
• Biennial plenary meetings for representatives, and
• Annual ministerial meetings.
According to the Egmont Group, what is the definition of a
Financial Intelligence Unit (FIU)? - ✔✔✔ Correct Answer > • A central,
national agency responsible for receiving (and, as permitted,
requesting), analyzing and disseminating to the competent
authorities, disclosures of financial information,
• Concerning suspected proceeds of crime and potential
financing of terrorism, and
• Required by national legislation or regulation.
According to the Wolfsberg Anti‐Money Laundering Principles for
Private Banking (2000), what are situations for private banking
that require further due diligence? - ✔✔✔ Correct Answer > • Public
officials, including individuals holding, or having held, positions of
public trust, as well as their families and close associates,
