Which of the following statements is true regarding the 2012 Financial Action Task Force (FATF) 40 Recommendations and/or 11 Immediate Outcomes?

The correct answer is A. The cornerstone of the 40 Recommendations is the adoption of a risk-based approach by each. The FATF 40 Recommendations provide a global AML/CFT framework, and the Immediate Outcomes assess effectiveness. Option A (Correct): The risk-based approach (RBA) is the foundation of modern AML compliance and is mandated by FATF Recommendation.

Compliance Standards (International AML/CFT Standards and the role of FATF)

Question

Options

AThe cornerstone of the 40 Recommendations is the adoption of a risk-based approach by each
BEach jurisdiction can reach out to the FATF for private access to the interpretive notes to the 40
CThe 40 Recommendations have not been updated to reflect the impact of new technology.
DThe 11 Immediate Outcomes are recommendations specific to high-risk jurisdictions requiring

How the community answered

(44 responses)

A
80% (35)
B
5% (2)
C
14% (6)
D
2% (1)

Explanation

The FATF 40 Recommendations provide a global AML/CFT framework, and the Immediate Outcomes assess effectiveness. Option A (Correct): The risk-based approach (RBA) is the foundation of modern AML compliance and is mandated by FATF Recommendation.

Topics

#FATF 40 Recommendations#risk-based approach#AML/CFT framework#FATF standards

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