Risk Based Approach (RBA) to Anti Money Laundering

1. Unit 1 – Risk Assessment for Money Laundering
This unit describes the need for combating AML 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.

2. Unit 2 – Risk-Based Approach (RBA)
This unit describes the RBA methodology when assessing risk according to the Financial Action Task Force (FATF) recommendation: taking into account risks relating to types of customers, countries or geographic areas, and particular products, services, transactions or delivery channels.

3. Unit 3 – Assessing and Managing the ML/TF risk
A risk assessment enables the Financial Institutions to focus on its AML/CFT efforts and to adopt appropriate measures to optimally allocate the necessary resources. On the Basis of the assessments conducted, the Financial Institutions should have controls, policies and procedures that enable them to manage and mitigate the identified risks effectively.

4. Unit 4 – Simplified and Enhanced Due Diligence measures
According to FATF Recommendation 1, where higher risks are identified financial institutions and Designated Non-Financial Business and Professions (DNFBPs) should be required to take enhanced measures to manage and mitigate the risks.

5. Unit 5 – 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 5 hours to complete. However, actual study time differs as each learner uses their own training pace.

Participants

This module is addressed to all individuals who practice Anti-Money Laundering such as Compliance/AML Managers in Banks, Investment Firms, Investment Funds, ASPs, Trust Service Corporate Providers and Lawyers.