CAMS Question #952: Real Exam Question with Answer & Explanation

Question

Options

• Aidentify and address the current financial crime trends through the issuance of typologies
• Bprovide AM L/C FT technical assistance needed by members in their FSRB junsdiction.
• Ccoordinate technical assistance for members in their FSRB jurisdiction
• Dset and amend the FATF 40 Recommendations for members in their FSRB jurisdiction.
• Eidentify and address any gaps in the AML/CFT policies for members outside of their FSRB
• Foffer mutual evaluation and follow-up processes for members in their FSRB Jurisdiction.

Explanation

FSRBs support the FATF global network within their own regional jurisdictions by providing technical assistance, coordinating that assistance, and conducting mutual evaluations - they do not set FATF standards.

Common mistakes.

• A. FATF itself is the primary body responsible for issuing typologies on financial crime trends; while FSRBs may contribute regional input, issuing typologies is not listed as a core FSRB mandate.
• D. Only FATF has the authority to set and amend the 40 Recommendations; FSRBs are associate members of FATF and must adopt the standards, but they have no power to modify them for their region.
• E. FSRBs operate exclusively within their own regional jurisdictions; identifying and addressing AML/CFT policy gaps for countries outside their jurisdiction is outside their mandate and authority.

Concept tested. FATF-style regional bodies mandate and jurisdictional scope

Reference. https://www.fatf-gafi.org/en/countries/fsrbs.html

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