Fundamentals of the Risk-Based Approach to Anti-Money Laundering in United States

Fundamentals of the Risk-Based Approach to Anti-Money Laundering

This course aims to describe and explain the risk-based approach (RBA) procedures so that organizations focus their efforts on those areas where the risk of money laundering (ML) and terrorist financing (TF) appears to be higher. In other words, resources should be efficiently invested and applied where they are most required.

The risk-based approach (RBA) is central to the effective implementation of the Financial Action Task Force (FATF) recommendations. This means that supervisors, financial institutions, and intermediaries should be able to identify, assess, and understand the risks related to money laundering and terrorist financing to which they are exposed, and implement the most appropriate mitigation measures.

This course includes a general presentation of the RBA and provides specific guidance using risk criteria such as country or geographic risk, customer risk, and product or service risk. In addition, examples of risk factors under each of these categories are provided.

Course Content

• Risk Assessment for Money Laundering (ML)

This unit describes the need for combating ML risks and other financial crimes. Financial institutions must be able to respond to threats on a contextual basis to balance efficiency and cost needs with compliance obligations.

• Risk-Based Approach (RBA)

This unit describes the RBA methodology when assessing risk according to the FATF recommendation. This considers risks related to types of customers, countries or geographic areas, and particular products, services, transactions, or delivery channels.

• Assessing and Managing the ML/TF Risk

A risk assessment enables financial institutions to focus on their AML/CFT efforts and adopt appropriate measures to allocate the necessary resources in an optimal way. Based on the assessments conducted, the financial institutions should have controls, policies, and procedures that allow them to effectively manage and mitigate the risks identified.

• Simplified and Enhanced Due Diligence Measures

According to FATF recommendation 1, where higher risks are identified, financial institutions and Designated Non-Financial Businesses and Professions (DNFBPs) should be required to take enhanced measures to manage and mitigate risks.

• AML Case Studies

This final unit will offer a practical perspective by reviewing recent cases where financial institutions failed to adopt efficient risk-based AML mechanisms.

Training Duration

This course may take up to five (5) hours to complete. Keep in mind, however, that actual study time varies based on each learner’s training pace.

Cost

£350 (includes self-paced online course, customer support, and one-year free membership to AGRC)

Who Should Enroll?

This course is addressed to all individuals who practice AML such as compliance and/or AML managers in banks, investment firms, investment funds, ASPs, trust service corporate providers, and lawyers.

Training Method

The course is offered online using a self-paced approach. The learning units consist of video presentations and reading material. Learners may start, stop, and resume their training at any time.

At the end of the training, participants take a quiz to complete their learning and earn a Certificate of Completion.

Accreditation and CPD Recognition

This programme has been developed by the Association of Governance, Risk & Compliance (AGRC), a globally recognised GRC certification organization and network.

The syllabus is verified by external subject matter experts and can be accredited by regulators and other bodies for five (5) CPD units that approve education in financial regulation. The course may be also approved for CPD units by institutions that approve general financial training such as CISI and ACAMS.

Eligibility criteria and CPD units are verified directly by your association, regulator, or other any other body for which you hold membership.

Registration and Access

To register for this course, click on the button above to pay online and receive access. If you are purchasing this course on behalf of others, please be advised that you will need to provide us with their name and email address.

Access to the course is valid for 90 days.