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Main Features of AML Foundation Courses

By Claire Cattone, California Business Journal

What are AML foundations? Main features

There are a huge number of different specialists working in the financial sector. They all have different responsibilities but must have a basic knowledge of how the industry works. One of the most important aspects is AML foundations. This provides general knowledge on this issue, which can be extremely useful to various specialists.

What is AML?

Money laundering occurs when a hidden source attempts to pass off an unauthorized money transfer as legitimate. Such activities are carried out only by criminal firms. To maximally regulate financial flows, a unique legislative framework has been created, with the help of which ML is being fought worldwide.

Therefore, it is essential to study this problem in detail and be able to combat illegal money transfers effectively. For this purpose, there are courses on combating ML which teach, in fact, about the existing criminal algorithms used to launder money. In addition, specialists are explained what methods and technologies are used to be able to detect this illegal scheme. Specific examples from practice are given, and how, in each case, it was possible to catch financial criminals.

Almost all states require firms (especially financial ones) to implement a policy that provides the following:

have a non-responsible employee on staff who will control the legality of money transfers;
the company’s activities must include an AML programme;
conduct regular audits to reduce the risks of fraud.

In addition, all firms can be checked for compliance with AML requirements and strict adherence to their rules. If non-conformities are identified, the organization is fined, and the relevant authorities may impose sanctions. Also, other companies that follow this policy will only want to cooperate with a firm implementing a programme. In this case, the company’s rating will be low, and its reputation will be negative. To avoid negative consequences for regulators and potential partners, it is necessary to implement and follow an AML policy.

What do AML courses provide?

A specialist who has an AML certificate will have advantages that will allow him to find a high-paying job and advance his career in the financial sector:

the certificate confirms that the employee chooses to follow the AML programme;
during the courses, he will gain knowledge that will allow him to assess risks and detect schemes of criminals;
having an AML specialist (or department) will give the company a good reputation amongst business partners.

In addition, high-quality material will necessarily contain specific examples of criminal algorithms and technologies with the help of which fraudulent activities were detected. Therefore, AML courses will allow you to improve your professional level and become more in demand in the labor market of financial organizations.

Features of thematic lectures on AML

Each course includes a set of thematic lectures, each covering a particular topic in more depth. Below are a few issues that every AML course should consist of.

Method for illegal transactions

Financial professionals are introduced to the various illegal schemes that scammers use—specific examples of actual cases and how these frauds with financial transfers were identified.

Assessing the risks of illegal transactions

This material teaches how to assess possible risks associated with ML correctly. Practical examples are also provided, which allow you to understand this topic more effectively.

Implementation of the AML programme

This question reveals that every company must have a policy for its activities and strictly follow it. Relevant employees must be competent and monitor compliance with AML requirements within the firm, including monitoring regular audits.

Methods and technologies for detecting illegal actions

To see illicit transactions, you need to know special techniques and technologies that allow you to do this. Therefore, this lecture introduces all methods aimed at identifying financial fraud.

Create a report

The employee responsible for maintaining the legality of transactions must correctly create a report for the head of the firm when suspicious actions are detected.

In the end

Consequently, AML courses reveal in detail the specifics of the AML policy, teach specialists to identify criminal fraud with money using special techniques and technologies, and also teach them to assess potential risks.