nerdexam
ACAMS

CAMS · Question #984

The recently appointed senior money laundering reporting officer (MLRO) at a newly opened small digital bank has been instructed by the group chief compliance officer to implement an effective AML…

The correct answer is C. Whether the monitoring system is adequate with respect to the bank's size, activities, complexity, D. Whether the monitoring system can be configured to enable the bank to execute trend analysis of. C: "The system must be adequate and proportionate to the bank's size, activities, complexity, and risk profile. A one-size-fits-all solution is not appropriate." D: "Effective monitoring systems should support the detection of unusual trends and business relationships…

AML/CFT Compliance Programs

Question

The recently appointed senior money laundering reporting officer (MLRO) at a newly opened small digital bank has been instructed by the group chief compliance officer to implement an effective AML transaction monitoring system that can identify unusual and suspicious transactions. What are important considerations for the project to select and implement the AML transaction monitoring system at the digital bank? (Select Two.)

Options

  • AWhether the vendor has documented appropriate internal controls for designing system and data
  • BWhether the permissions and user access settings for reviewing, investigating, and reporting
  • CWhether the monitoring system is adequate with respect to the bank's size, activities, complexity,
  • DWhether the monitoring system can be configured to enable the bank to execute trend analysis of

How the community answered

(32 responses)
  • A
    6% (2)
  • B
    16% (5)
  • C
    78% (25)

Explanation

C: "The system must be adequate and proportionate to the bank's size, activities, complexity, and risk profile. A one-size-fits-all solution is not appropriate." D: "Effective monitoring systems should support the detection of unusual trends and business relationships, facilitating meaningful analysis and alerts."(CAMS 6th Edition, Transaction Monitoring System Requirements)

Topics

#transaction monitoring system#digital bank#system implementation#MLRO responsibilities

Community Discussion

No community discussion yet for this question.

Full CAMS Practice