ACAMS ACAMS Certifications CAMS Questions & Answers

• Question 71:

  Which activity associated with new or developing technologies does the FATF recommend FIs pay special attention to?

  A. Financial intermediaries performing transactions for customers

  B. High volumes of cash transactions

  C. Complex or unusually large transactions

  D. Non-face to face business relationships or transactions

  Correct Answer: D

• Question 72:

  A FI receives a legal request to freeze assets of a client. Which action should be taken?

  A. Immediately freeze the client's assets.

  B. Wait for the approval of the legal department.

  C. Process the latest transactions before freezing the bank account.

  D. Inform the client.

  Correct Answer: A

• Question 73:

  A company is endorsing the execution of terrorism through different activities, such as the development of content for pro-terrorist TV messages, encouraging the support of terrorist activities via web, advertising the use of cryptocurrencies and paying producers and reporters for the TV and web messaging. What specific action should be considered financing of terrorism?

  A. Funding producers and reporters

  B. Advertisement of cryptocurrencies

  C. Development of content

  D. Supportive web messages

  Correct Answer: A

• Question 74:

  An existing customer has changed its business scope and jurisdictions it deals with. Which are the steps the bank needs to take to manage sanctions compliance risk for this, customer?

  A. Perform a politically exposed persons and negative media screening

  B. Conduct further sanction screening on the customer's directors and ultimate beneficial owners

  C. Deploy an independent risk-based test to ensure the screening on this customer is effective

  D. Collect further customer reference data and determine what must be screened and at which frequency

  Correct Answer: D

• Question 75:

  What is a key objective of the Egmont Group?

  A. Exchange international law interpretations among regulators through plenary sessions

  B. Foster better and secure communications across Financial Intelligence Units (FIUs) through the application of technology

  C. Provide enforcement recommendations to national law enforcement agencies pursuant to a memorandum of understanding

  D. Validate FATF implementations in countries and territories through a system of evaluations

  Correct Answer: B

• Question 76:

  Which is a similarity between Office of Foreign Assets Control (OFAC) and UN imposed sanctions?

  A. Supporting foreign policy objectives

  B. Encouraging the sharing of funds

  C. Detering financing of terrorism

  D. Restoring sovereign lands

  Correct Answer: C

• Question 77:

  Which action does the FATF call on member countries to take in the most serious cases when countries have significant strategic AML deficiencies?

  A. Apply countermeasures

  B. Eliminate all financial dealings

  C. Report high-risk transactions

  D. Contribute to mutual evaluations

  Correct Answer: A

• Question 78:

  What are the main components of a FATF mutual evaluation?

  A. Measuring effectiveness and technical compliance

  B. Assessing a country and training

  C. Scoping and on-site visits

  D. Drafting reports and plenary discussions

  Correct Answer: A

• Question 79:

  In its paper. Customer Due Diligence for Banks, the Basel Committee on Banking Supervision identified which risks on banking institutions as a result of an inadequate KYC program?

  A. Outsourcing, legal, concentration, reputational

  B. Security, information, local, operational

  C. Legal, reputational, operational, concentration

  D. Credit, operational, market, concentration

  Correct Answer: C

  The Basel Committee on Banking Supervision identified four risks to banking institutions as a result of an inadequate KYC program: legal, reputational, operational, and concentration. Legal risks include the potential for fines or sanctions for non-compliance with applicable laws and regulations. Reputational risks include the loss of customer confidence due to the institution's involvement in illicit activities. Operational risks include the potential for fraudulent or suspicious activity to go undetected. Finally, concentration risks involve the potential for a single customer or group of related customers to dominate the institution's operations.

• Question 80:

  Which are red flags indicating potential engagement of a bank employee in money laundering? (Choose two.)

  A. Lavish lifestyle that cannot be supported by an employee's salary

  B. Reluctance to take a vacation when the employee has sufficient leave

  C. Failure to meet business goals for more than one period

  D. Providing longer than usual services for a certain customer

  E. Maintaining friendships with customers and going to restaurants, games, and other events

  Correct Answer: AB