The Anti-Money Laundering and Counter-Terrorist Financing (AML/CTF) Risk Management course is designed to equip students with comprehensive knowledge and practical skills to identify, assess, and mitigate the risks associated with money laundering and terrorist financing in financial institutions (FIs). This course comprises four modules that delve into the critical aspects of AML/CTF, risk concepts, risk assessment, and risk treatment and mitigation.
Module 1 serves as an introduction to AML/CTF, examining the different stages and exemplary methods employed by criminals for money laundering and terrorist financing. Students will explore the impact of these illicit activities on institutions and their customers, along with a real estate-based case study on terrorist financing. This module concludes with a summary and multiple-choice quiz to test comprehension.
Module 2 delves into risk concepts and AML/CTF risks faced by financial institutions. Students will gain insights into various types of risks, risk culture, and risk appetite within organizations. The module emphasizes the importance of AML/CTF risk mitigation and presents a case study on the role of the Financial Action Task Force in preventing ML/TF risks. A module summary and quiz allow students to reinforce their understanding.
In Module 3, students will explore AML/CTF risk assessment, understanding key considerations, risk classification, and risk management governance. The module emphasizes the significance of AML/CTF risk assessment in financial institutions and provides practical guidance on risk identification, assessment, and analysis. A case study focusing on the documentation required for AML/CTF risk assessment enhances students’ knowledge. The module concludes with a summary and quiz.
Module 4 focuses on AML/CTF risk treatment and mitigation. Students will learn how to identify ML/TF risk indicators and respond effectively. The module highlights the responsibility of performing AML/CTF risk reviews and investigations, and introduces the four factors of risk treatment: tolerate, treat, transfer, and terminate. Students will explore various risk control techniques implemented in financial institutions and engage in a case study on independent AML/CTF compliance reviews. The module ends with a summary, quiz, and additional resources for further reading.
By completing this course, students will develop a strong foundation in AML/CTF fundamentals, enabling them to recognize, assess, and mitigate risks effectively. With the knowledge gained from this course, individuals can contribute to the safeguarding of financial systems and help combat money laundering and terrorist financing.
