In a large US bank, an individual leads a team in charge of overseeing the governance and effectiveness of the bank's transaction monitoring approach. Which strategies should the team implement?…

Question

Options

• APeriodic and ad hoc cooperation with the legal team to appropriately investigate and monitor the
• BPeriodic review of client profiles to ensure that the most up-to-date information is on file for high-
• CPeriodic review of suspicious activity reports (SARs) filed with FinCEN to determine whether any
• DPeriodic review of the transaction monitoring scenarios and their productivity to ensure that

• A
  13% (7)
• B
  80% (43)
• C
  7% (4)

Explanation

Effective oversight of transaction monitoring includes: Periodic review of client profiles to ensure up-to-date information for high-risk clients (B):"Reviewing and updating customer profiles is essential to ensure that monitoring scenarios are based on current risk data."(CAMS 6th Edition, Transaction Monitoring and Customer Due Periodic review of transaction monitoring scenarios and productivity to ensure appropriate AML typologies are reflected (D):"Firms should periodically review the parameters and output of transaction monitoring systems to ensure they continue to identify relevant ML/TF risks and typologies."(CAMS 6th Edition, Monitoring and Surveillance)

No community discussion yet for this question.