The Egmont Group is a united body of 174 Financial Intelligence Units (FIUs) that uniquely support national and international efforts to counter terrorist financing and share financial information per global anti-money laundering and counter-financing of terrorism (AML/CFT) standards. Its primary objective is to enhance international cooperation in the investigation and prosecution of money laundering and financing of terrorism.
The Egmont Group facilitates the exchange of expertise and financial intelligence among FIUs to combat money laundering, terrorist financing, and associated predicate offenses. While it does not conduct financial investigations itself, it plays a crucial role in improving stakeholders' understanding of ML/TF risks and informing policy considerations related to AML/CFT implementation and reforms12.
References: 1: About - Egmont Group 2: Decoding Global AML: The Role Of The Egmont Group - Financial Crime Academy

According to the Anti-Money Laundering Specialist (the 6th edition) study guide, an AML training program should include the requirement that new staff receive training during employee orientation or shortly thereafter on bank procedures. This is because new staff need to be aware of the bank's policies and procedures for complying with the money laundering regulations, such as customer due diligence, transaction monitoring, record-keeping, and reporting of suspicious activities. Training new staff as soon as possible also helps to reduce the risk of human errors or oversights that could facilitate money laundering or terrorist financing.
1: ACAMS, CAMS Certification Package - 6th Edition, Chapter 5, page 143
2: ACAMS, CAMS Certification Package - 6th Edition, Chapter 5, page 144
3: Technical factsheet Anti-money laundering (AML) training: frequently asked questions, page 1

Asset management companies handlelarge amounts of funds, making themprime targets for money launderers.
Option A (Correct):Negative news (adverse media) screeningis essential for identifyingpotential financial crime risks.
Option D (Correct):Understanding thesource and origin of assetsensures that fundscome from legitimate sources.
Option B (Incorrect):PEPs should not be automatically rejected, butenhanced due diligence (EDD)is required.
Option C (Incorrect):While onboarding interviews help,they are not a mandatory AML measure.
Option E (Incorrect):Financial stability reportsare useful, butnot directly linked to AML compliance.
AML Risks in Asset Management:
High-value transactions that may mask illicit wealth.
Layering through investment portfolios to hide the origin of funds.
Use of offshore structures to evade regulatory scrutiny.
Best Practices for AML in Asset Management:
Conduct enhanced due diligence (EDD) on high-net-worth clients.
Monitor large and unusual transactions.
Screen customers against PEP, sanction, and adverse media databases.
Reference:
FATF Recommendation 22 (AML for Asset Management)
6th EU Anti-Money Laundering Directive (6AMLD)
Wolfsberg Group Asset Management AML Framework

A bank employee who willfully violates anti-money laundering laws faces the risk of criminal investigation and imprisonment, as these are serious offenses that could result in felony charges and penalties. According to the U.S. Department of Justice, individuals who knowingly violate the Bank Secrecy Act (BSA) or other anti- money laundering laws could face up to 10 years in prison and/or a fine of up to $500,0001. Similarly, in other jurisdictions, such as the UK, Canada, and Australia,individuals who commit money laundering offenses could face imprisonment and/or fines234.
:
1: U.S. Department of Justice, Criminal Resource Manual, Title 18 U.S.C. § 1956. Laundering of Monetary Instruments, Section 2101 2: UK Government, Proceeds of Crime Act 2002, Part 7: Money Laundering Offences, Section 327-329 3: Government of Canada, Criminal Code, Part XII.1: Laundering of Proceeds of Crime, Section 462.31 4: Australian Government, Criminal Code Act 1995, Chapter 10: National Infrastructure, Part 10.2: Money Laundering, Section 400.3-400.9 Penalties for AML/CFT violations, including criminal and civil penalties, fines, jail terms, as well as internal sanctions, such as disciplinary action up to and including termination of employment.

The next course of action for the anti-money laundering officer to take is to determine if there is a readily identifiable cause for the increase in compliance deficiencies. This could involve analyzing the data, interviewing the staff, reviewing the procedures, or conducting a root cause analysis. The anti-money laundering officer should try to find out if the deficiencies are due to human error, system failure, policy ambiguity, training gap, external factors, or any other reason. By identifying the cause, the anti-money laundering officer can then take appropriate corrective or preventive measures to address the issue and improve the compliance performance.
:
CAMS Study Guide - 6th Edition, Chapter 6, pages 171-172
CAMS Certification Exam Outline, Domain 3, Task 3.1, Skill 3.1.2
Anti-Money Laundering & Know Your Customer eBook, Chapter 5, pages 63-64 Summary of the Global Anti-Money Laundering Know Your Customer Policy, page 3