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Certified Anti-Money Laundering Specialists (the 6th edition) Valid Exam Format & CAMS Latest Practice Questions & Certified Anti-Money Laundering Specialists (the 6th edition) Free Updated Training
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ACAMS Certified Anti-Money Laundering Specialists (the 6th edition) Sample Questions (Q48-Q53):
NEW QUESTION # 48
Which practices are dealers in antiques, precious metals, precious stones, jewelry, and art advised to follow to reduce the element of money laundering risk? Choose 3 answers
- A. Avoid accepting cash payment from the buyers
- B. Insist all vendors submit an appropriate license issued by enforcement agencies authorizing the sale
- C. Insist on all vendors signing a declaration that the item placed by them for sale was not stolen or acquired through illegitimate means
- D. Verify the identities of all new vendors and customers and conduct due diligence on them
Answer: A,C,D
NEW QUESTION # 49
An internal review of anti-money laundering training documentation revealed only new agents employed by a financial institution that sells life insurance products were trained. Additionally, it typically took the institution 8 months to begin training for new actuaries. The compliance officer explained training was limited to actuaries because they perform the only high-risk function. The institution relied on e-learning techniques without follow-up assessment.
Which of the following issues would the internal review most likely recommend?
- A. The institution must provide anti-money laundering training to actuaries within 6 months.
- B. Pro duct-specific anti-money laundering training should be provided company-wide.
- C. Continue using e-learning to emphasize anti-money laundering content during training.
- D. All staff, apart from the Board of Directors, must be trained.
Answer: B
Explanation:
The internal review would most likely recommend that the institution provide product-specific anti-money laundering training to all relevant employees, not just actuaries. This is because life insurance products can be used for money laundering purposes, such as purchasing policies with illicit funds, surrendering policies for cash value, or using policies as collateral for loans. Therefore, all employees who are involved in selling, servicing, or processing life insurance products should be aware of the money laundering risks and red flags associated with these products, and how to report any suspicious activity. The institution should also ensure that the training is timely, effective, and tailored to the specific roles and responsibilities of the employees.
The other options are not as relevant or appropriate as the correct answer. Option A is too broad, as not all staff need to be trained on anti-money laundering, only those who are relevant to the institution's business activities and exposure to money laundering risks. Option C is too narrow, as it only focuses on actuaries and does not address the need for training other employees who may deal with life insurance products. Option D is not sufficient, as e-learning alone may not be effective in ensuring that employees understand and retain the anti-money laundering content, and the institution should also conduct follow-up assessments to measure the impact and outcomes of the training.
References:
* ACAMS Study Guide for the CAMS Certification Examination - 6th Edition, Chapter 3: Compliance Standards for Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT), page
57.
* ACAMS CAMS Certification Video Training Course, Module 3: Compliance Standards for Anti- Money Laundering (AML) and Combating the Financing of Terrorism (CFT), Lesson 3.5: Training and Testing.
* Best Practices for Anti-Money Laundering Compliance - DIRO Original, Section 3: Adequate Training.
NEW QUESTION # 50
Which is most relevant when examining transactions suspected of being associated with money laundering via real estate?
- A. The beneficial owner of the asset
- B. The financial institutions involved in the transaction
- C. The currency used for payment
- D. The asset's location
Answer: A
Explanation:
Money laundering through real estate transactions involves integrating illicit funds into the legitimate financial system while providing a relatively "safe" property investment. In this context, the most relevant factor to examine is the beneficial owner of the asset. Identifying the true owner behind a property helps uncover potential money laundering schemes. Criminals often use third parties, shell companies, or complex ownership structures to distance the transaction from the source of illicit funds. Investigating the beneficial owner's identity is crucial for detecting and preventing real estate-related money laundering12.
References:
Understanding money laundering through real estate transactions
What Is Money Laundering? - Investopedia
NEW QUESTION # 51
Which scenariobest justifies why a financial institution (FI) might close a customer's account?
- A. The customeris the object of a civil subpoena.
- B. The account showsperiodic fixed amount remittances for tuition fees.
- C. The account hastransactions that triggered multiple Suspicious Activity Reports (SARs).
- D. The customeruses a shipping company dealing with specially designated nationals (SDNs).
Answer: D
Explanation:
Financial institutionsmust close accounts that violate sanctions laws or pose a severe AML risk.
* Option C (Correct):Doing business with Specially Designated Nationals (SDNs) violates U.S. OFAC and EU sanctions, requiring account closure.
* Option A (Incorrect):Multiple SARs do not always require account closure; the institution may continue monitoring the customer.
* Option B (Incorrect):Tuition payments are normal transactions and do not justify account closure.
* Option D (Incorrect):A civil subpoena does not imply financial crime and does not require closure.
Key Account Closure Triggers:
* Violation of OFAC, EU, or UN sanctions laws.
* Confirmed criminal activity (e.g., fraud, money laundering, terrorist financing).
* Regulatory directive or legal requirement to terminate the account.
Best Practices for Account Closure:
* Document the justification for closure (e.g., sanctions compliance, AML concerns).
* Notify the customer in a manner that does not constitute "tipping off."
* File SARs where required before closing high-risk accounts.
Reference:
OFAC Sanctions Compliance Guidelines
FATF Recommendation 6 (Targeted Financial Sanctions)
Wolfsberg Group AML Account Closure Best Practices
NEW QUESTION # 52
In many jurisdictions, financial institutions are prohibited from hiring a person who has been convicted of what type of offense?
- A. Offenses involving dishonesty
- B. Protests of government action
- C. Kidnapping
- D. Driving while under the influence
Answer: A
Explanation:
Explanation
Explanation/Reference:
NEW QUESTION # 53
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