[May 13, 2023] Genuine CAMS Exam Dumps New 2023 ACAMS Pratice Exam
New 2023 Realistic CAMS Dumps Test Engine Exam Questions in here
The Certified Anti-Money Laundering Specialist (CAMS) certification is a globally recognized credential for professionals working in the anti-money laundering (AML) field. The CAMS exam is designed to test a candidate's knowledge and understanding of AML laws, regulations, and best practices. It is one of the most prestigious certifications in the AML industry, and it is highly valued by employers and regulatory agencies around the world.
Topics Covered
All in all, the CAMS exam is based on four domains. The first of which is Risks and Methods of Money Laundering & Terrorism Financing. This topic accounts for 26% of the exam items and consists of several subdomains. Thus, the following is a brief portion of the list of those subdomains: recognize ways of money laundering used by banks and similar institutions, by insurance companies, by broker-dealers, capital markets, or investment advisors. What's more, you need to also be aware of recognizing methods of money laundering utilized by organizations such as casinos or other game-related industries, by companies dealing with precious metals or other high-value goods, real estate, etc. In addition, here, you need to know more about the red flags, commercial transactions, human trafficking, and the like.
The second objective is Compliance Standards for Anti-money Laundering (AML) and Combating the Financing of Terrorism (CFT) which stands for 25% of all test content. In particular, this domain consists of 11 areas. So, to master this topic in full, you need to learn to recognize the main aspects of the EU Directives on money laundering, the USA PATRIOT Act, and the OFAC sanctions. On top of that, you need to touch on how to identify the FATF 40 Recommendations and how to deal with the aspects of the BASEL Committee Customer Due Diligence Principles including the coverage of Egmont Group objectives.
The third section the real exam tests individuals on are AML, CFT, and Sanctions Compliance Programs that covers 28% of the exam and consists of 31 subdomains. In all, under this category, you have to recognize the main items of an anti-money laundering training program and the part that senior management and director boards play in how an organization deals with anti-money laundering oversight. Then, you need to also be proficient in handling AML tools, governance, audits, and situation.
The last part covered is Conducting and Supporting the Investigation Process detailing 21% of the exam questions. All in all, such a portion focuses on recognizing suitable methods of conducting interviews for potential parties involved in an anti-money laundering event, dealing with public source information or other sources of information that may be available for use in an investigation given a specific scenario, accepting ways in which law enforcement organizations may request data from an institution with regards to money laundering, etc.
NEW QUESTION # 179
Outgoing foreign transactions of similar amounts trigger a monitoring alert for a customer's accounts. During the evaluation of the accounts, the bank discovers the wire transfers were very small amounts and occurred within the last 3 months following a long period of inactivity. The wire transfers appear to originate from legal sources. To assess the potential of terrorist financing, the institution must ensure the:
- A. beneficiaries of transfers are not on a terrorist watch list.
- B. beneficiaries of transfers are not included on the Transparency International List.
- C. account holder does not reside in a country included on the U.S. State Department State Sponsors of Terrorism List.
- D. account holder presents proof the funds are legal.
Answer: A
NEW QUESTION # 180
What is the currency threshold under the European Union Fourth Anti-Money Laundering Directive?
- A. 10,000 Euros
- B. 3,000 Euros
- C. 15,000 Euros
- D. 5,000 Euros
Answer: A
Explanation:
Reference: https://www.acams.org/aml-resources/eu-fourth-aml-directive/
NEW QUESTION # 181
The compliance officer for a private bank has been tasked with reviewing the procedure for authorized signatories on customer accounts to ensure it is in line with relevant Wolfsberg Anti-Money Laundering Principles for Private Banking.
Which three statements from the procedure are in line with Wolfsberg? (Choose three.)
- A. Where the Authorized Signatory is not a lawyer or accountant, due diligence as to the source of funds and wealth of the Authorized Signatory should be undertaken.
- B. Where due diligence has been satisfactorily completed on all authorized signers, the responsible private banker may reduce the due diligence performed on the account holder and/or beneficial owner.
- C. If an individual has signing authority over an account but does not act on a professional basis as a manager of funds, the responsible private banker must understand and document the relationship between that authorized signer, the account holder, and, if different, the beneficial owner of the account.
- D. The responsible private banker must establish the identity of a holder of general powers over an account (e.g. a signatory for the account) and, as appropriate, verify that identity.
- E. The responsible private banker must obtain the necessary documentation establishing the authorized signer's authority to act on behalf of the account holder or beneficial owner (e.g. a Power of Attorney).
Answer: B,C,E
Explanation:
Reference:
https://www.wolfsberg-principles.com/sites/default/files/wb/pdfs/faqs/20.%20Wolfsberg-FAQs-on-Intermediarie
NEW QUESTION # 182
How do payable through accounts (PTAs) differ from normal foreign correspondent accounts?
- A. The customers do not have to worry about sanctions list screening such as OFAC
- B. The customers have the ability to directly control funds at the correspondent bank
- C. The customers can contact the correspondent bank directly to send wire transfers
- D. The customers can hide their identity through the use of cover payments in U.S. dollars
Answer: A
Explanation:
Explanation
Explanation/Reference:
Payable-Through, Pass Through, and Pass-By Accounts | Definitions and Summary A payable-through account (PTA) is also referred to as a pass through account or a pass-by account. These types of accounts are offered by US financial institutions as banking products and are used by foreign financial firms to provide their customers with access to the US financial system.
A payable-through account (PTA) is a demand deposit account through which banking agencies located in the United States extend cheque writing privileges to the customers of other institutions, often foreign banks.
PTA accounts are a concern to bank regulators because the banks or agencies providing the accounts may not subject the end customers to the same level of scrutiny as they would their own customers. These concerns were addressed in Title 3A, especially Section 311(b)(4), of the Patriot Act.
Foreign financial institutions use PTAs, also known as "pass-through" or "pass-by" accounts, to provide their customers with access to the U.S. banking system. Some U.S. banks, Edge and agreement corporations, and
U.S. branches and agencies of foreign financial institutions (collectively referred to as U.S. banks) offer these accounts as a service to foreign financial institutions. Law enforcement authorities have stated that the risk of money laundering and other illicit activities is higher in PTAs that are not adequately controlled.
What is the difference between a regular correspondent bank account and a "payable-through, pass through, or pass-by account"?
With a payable-through, pass through or pass-by account, a foreign financial firm is able to create a corresponding account in the US. However, the foreign bank also provides checks to its foreign customers who might be interested in conducting US transactions. These foreign customers are then able to write checks to withdraw from or make deposits into the account.
In general, these foreign customers of a foreign bank are not subject to anti-money laundering screening, but they end up having full access to the US financial system.
Higher Money Laundering Risk
Based on their nature, payable-through, pass through, and pass-by accounts are considered as posing higher money laundering risk concerns.
Risk Factors
PTAs may be prone to higher risk because U.S. banks do not typically implement the same due diligence requirements for PTAs that they require of domestic customers who want to open checking and other accounts.
For example, some U.S. banks merely request a copy of signature cards completed by the payable through customers (the customer of the foreign financial institution). These U.S. banks then process thousands of sub- accountholder checks and other transactions, including currency deposits, through the foreign financial institution's PTA. In most cases, little or no independent effort is expended to obtain or confirm information about the individual and business subaccountholders that use the PTAs.
Foreign financial institutions' use of PTAs, coupled with inadequate oversight by U.S. banks, may facilitate unsound banking practices, including money laundering and related criminal activities. The potential for facilitating money laundering or terrorist financing, OFAC violations, and other serious crimes increases when a U.S. bank is unable to identify and adequately understand the transactions of the ultimate users (all or most of whom are outside of the United States) of its account with a foreign correspondent. PTAs used for illegal purposes can cause banks serious financial losses in criminal and civil fines and penalties, seizure or forfeiture of collateral, and reputation damage.
NEW QUESTION # 183
You are designing an AI application that will use an azure Machine Learning Studio experiment.
The source data contains more than 200 TB of relational tables. The experiment will run once a month.
You need to identify a data storage solution for the application. The solution must minimize compute costs.
Which data storage solution should you identify?
- A. Azure Database for MySQL
- B. Azure SQL Data Warehouse
- C. Azure SQL Database
Answer: C
Explanation:
Explanation/Reference:
References:
https://azure.microsoft.com/en-us/pricing/details/sql-database/single/
NEW QUESTION # 184
Potential indicators of money laundering associated with Trust and Company Service Providers include:
(Select Two.)
- A. frequent deposits to or withdrawals from bank accounts.
- B. multi-jurisdictional wire transfers with no legal purpose.
- C. generation of rental income to legitimize illicit funds.
- D. use of legal persons in jurisdictions with strict secrecy laws.
- E. structuring cash deposits into third party accounts.
Answer: B,D
Explanation:
Explanation
This is stated in the Certified Anti-Money Laundering Specialist (the 6th edition) manual on page 595, which states: "Potential indicators of money laundering associated with Trust and Company Service Providers include the use of legal persons in jurisdictions with strict secrecy laws, structuring cash deposits into third party accounts, multi-jurisdictional wire transfers with no legal purpose, and frequent deposits to or withdrawals from bank accounts."
NEW QUESTION # 185
You deploy an application that performs sentiment analysis on the data stored in Azure Cosmos DB.
Recently, you loaded a large amount of data to the database. The data was for a customer named Contoso, Ltd.
You discover that queries for the Contoso data are slow to complete, and the queries slow the entire application.
You need to reduce the amount of time it takes for the queries to complete. The solution must minimize costs.
What is the best way to achieve the goal? More than one answer choice may achieve the goal. Select the BEST answer.
- A. Migrate the data to the Cosmos DB database.
- B. Change the transaction isolation level.
- C. Change the request units.
- D. Change the partitioning strategy.
Answer: D
Explanation:
Explanation/Reference:
References:
https://docs.microsoft.com/en-us/azure/architecture/best-practices/data-partitioning
NEW QUESTION # 186
As a result of an audit, a policy exception was identified that had been approved by the compliance officer. The auditor determined that the policy exception is a violation of a regulatory requirement.
What should the auditor do?
- A. Include the regulatory violation in the audit report and recommend the compliance officer be subject to disciplinary action by the board of directors.
- B. Consult with legal counsel to determine if the approval of the policy exception was acceptable.
- C. Advise the compliance officer on how to appropriately respond to policy exceptions.
- D. Include the regulatory violation in the audit report and report it to the board of directors.
Answer: D
NEW QUESTION # 187
A large international bank has detected potentially suspicious activity in one of its customer accounts. Following an investigation, the bank has determined the activity to be typical of suspected money laundering.
To which entity should this activity be reported on a suspicious transaction report according to Financial Action Task Force?
- A. National Security Council
- B. Federal law enforcement agency
- C. Local law enforcement agency
- D. Financial Intelligence Unit
Answer: C
NEW QUESTION # 188
How can dealers in high-value items be at risk for money laundering?
- A. Paperwork is not required to ship precious metals and gems
- B. The value of precious metals such as gold and silver is constantly fluctuating.
- C. Drug dealers prefer cash to precious metals and gems
- D. Carrying large amounts of gems of high value is physically easy
Answer: D
NEW QUESTION # 189
Which is a red flag for funds transfers?
- A. Funds transfers are to a higher-risk geographic location with a known supplier within the same industry as the originator.
- B. Funds transfers are received in numerous small quantities from entities that are in related industries.
- C. Funds transfers are repetitive and within expected patterns.
- D. Funds transfers are repeatedly sent to the same beneficiary out of line with the business purpose.
Answer: C
NEW QUESTION # 190
Who has the day-to-day responsibility of communicating and reinforcing the established anti-money laundering compliance culture and program?
- A. Business lines
- B. Board of directors
- C. Compliance officer
- D. Senior management
Answer: C
Explanation:
Explanation/Reference: http://files.acams.org/pdfs/English_Study_Guide/Chapter_4.pdf
NEW QUESTION # 191
Who has the day-to-day responsibility of communicating and reinforcing the established anti-money laundering compliance culture and program?
- A. Business lines
- B. Board of directors
- C. Compliance officer
- D. Senior management
Answer: C
Explanation:
Reference:
http://files.acams.org/pdfs/English_Study_Guide/Chapter_4.pdf
NEW QUESTION # 192
Typical events to identify and investigate potential AML activities include: (Select Three.)
- A. blocked transactions involving individuals included in the Office of Foreign Assets Control Specially Designated Nationals and Blocked Persons List.
- B. alerts triggered by the automated AML monitoring system.
- C. requests from law enforcement agencies.
- D. subpoenas requesting information for civil cases.
- E. internal tips from employees of the bank about potential suspicious activity.
- F. accounts going to dormant status.
Answer: A,B,E
Explanation:
Explanation
Typical events to identify and investigate potential AML activities include: A) blocked transactions involving individuals included in the Office of Foreign Assets Control Specially Designated Nationals and Blocked Persons List; B) internal tips from employees of the bank about potential suspicious activity; and C) alerts triggered by the automated AML monitoring system [1]. Blocked transactions are those which involve individuals included on the Specially Designated Nationals and Blocked Persons List - this is a list maintained by the Office of Foreign Assets Control of individuals who are subject to economic or trade sanctions [1], or who may be involved in money laundering or terrorist activities [2]. Internal tips are those which are provided by employees of the bank who may have observed suspicious activity, or have reason to believe that certain transactions or activities may be related to potential money laundering. Alerts triggered by the automated AML monitoring system are those which are generated by the banks systems and processes which are designed to detect potential money laundering.
NEW QUESTION # 193
An auction house dealing in fine art and antiques sells a well-known painting at a price of $12 million to an agent bidding for a group of local investors. The same painting sold ten years prior at auction for $5 million. The auction house receives payment for the painting via wire transfer from an account maintained in an offshore jurisdiction by the investor group. No beneficial ownership information is available for the account.
What are the two money laundering red flags? (Choose two.)
- A. Payment is received from an account in an offshore jurisdiction.
- B. Lack of beneficial ownership details for the originating account.
- C. The painting has more than doubled its value in ten years.
- D. The payment is received via wire transfer.
- E. An agent bids on the painting for a group of investors.
Answer: B,E
NEW QUESTION # 194
Note: This question is part of a series of questions that present the same scenario. Each question in the series contains a unique solution that might meet the stated goals. Some question sets might have more than one correct solution, while others might not have a correct solution.
After you answer a question, you will NOT be able to return to it. As a result, these questions will not appear in the review screen.
You have an app named App1 that uses the Face API.
App1 contains several PersonGroup objects.
You discover that a PersonGroup object for an individual named Ben Smith cannot accept additional entries.
The PersonGroup object for Ben Smith contains 10,000 entries.
You need to ensure that additional entries can be added to the PersonGroup object for Ben Smith. The solution must ensure that Ben Smith can be identified by all the entries.
Solution: You modify the custom time interval for the training phase of App1.
Does this meet the goal?
- A. Yes
- B. No
Answer: B
Explanation:
Instead, use a LargePersonGroup. LargePersonGroup and LargeFaceList are collectively referred to as large- scale operations. LargePersonGroup can contain up to 1 million persons, each with a maximum of 248 faces.
LargeFaceList can contain up to 1 million faces. The large-scale operations are similar to the conventional PersonGroup and FaceList but have some differences because of the new architecture.
References:
https://docs.microsoft.com/en-us/azure/cognitive-services/face/face-api-how-to-topics/how-to-use-large-scale
NEW QUESTION # 195
A bank employee reviews wire transactions looking for indications of wire stripping.
Which two actions should the employee take to complete appropriate bank procedures? (Choose two.)
- A. Compare the wire transaction as it enters and after it leaves the bank
- B. Identify large incoming wire transactions received on behalf of a foreign client with no explicit reason
- C. Check for suspicious phrases usually used to conceal originator or beneficiary identity
- D. Identify wire transaction activity to or from a financial institution located in a higher risk jurisdiction
Answer: B,D
NEW QUESTION # 196
A compliance officer identifies a potentially significant risk in a popular financial product. Further investigation reveals there is no mitigating control.
Which course of action should the compliance officer take?
- A. Launch a long-term project to remediate the control deficiency
- B. Note the risk and address it during the next round of policy and procedure review
- C. Immediately cease providing the product and only offer it after effective permanent mitigation is implemented
- D. Implement a temporary mitigation plan that enables effective management of the risk until a permanent plan can be developed
Answer: D
NEW QUESTION # 197
What is suspicious activity or red flag with regard to a customer's activity? Choose 3 answers
- A. Engaging in wire transactions with an offshore account
- B. Paying the tellers he deals with a regular gratuity
- C. Asking about the bank's fee schedule for a series of transactions
- D. Exchanging small denomination bills for large ones
Answer: A,B,D
NEW QUESTION # 198
In addition to monitoring for suspicious activity, what are electronic monitoring systems also valuable for?
- A. Proving to the Board of Directors that the FIU is doing its job
- B. Identifying how customers are using products
- C. Highlighting the skills of the system analysts
- D. Meeting mandatory regulatory requirements for system implementation
Answer: D
NEW QUESTION # 199
Which of the following is the most likely reason for the Financial Action Task Force to remove a jurisdiction from the Non-Cooperative Countries and Territories list?
- A. Receiving a favorable mutual evaluation.
- B. Conducting successful annual self-assessments.
- C. Entering into a mutual legal assistance treaty.
- D. Joining the Wolfsburg Group.
Answer: C
NEW QUESTION # 200
Which method is used to launder money via wire remittances sent through a bureau de change or money services business?
- A. A customer in country A makes frequent wire transfers to a single customer in country B that are slightly under the legal reporting threshold.
- B. A customer in country A receives four small wire transfers from four different individuals located in country B on December 21. The aggregate of the wire transfers falls below the legal reporting threshold.
- C. A customer in country A makes a weekly small wire transfer to the bank account of an individual in country B.
- D. A large number of wire transfers are sent from a large number of senders in country A to a large number of recipients in country B during the period of December 1 to December 15.
Answer: A
NEW QUESTION # 201
......
To become a CAMS certified professional, candidates must pass a rigorous exam that consists of 120 multiple-choice questions. The exam is divided into four sections, and candidates are required to score at least 75% in each section to pass the exam. The exam is computer-based and can be taken at various testing centers around the world. The certification is valid for three years, after which professionals are required to renew their certification by completing continuing education courses.
Grab latest Amazon CAMS Dumps as PDF Updated: https://www.practicematerial.com/CAMS-exam-materials.html
Updated Official licence for CAMS Certified by CAMS Dumps PDF: https://drive.google.com/open?id=1iCu2Nl6wgERWz7CTrkbep8gpfClFdhKs
