CGSS EXAM QUESTIONS AND ANSWERS 100%
PASS |ALREADY GRADED A+| VERIFIED AND
UPDATED
What is string matching? - correct answer-String matching is an
algorithm for efficient searching that involves finding occurrence(s) of a
pattern string within another string or body of text. Also referred to as
pattern matching, this method can be used to recognize social security
numbers, telephone numbers, zip codes, and any other information
that follows a specific pattern. It is also useful for looking for
information that follows leading text and then extracting the text that
comes after it, as well as reprocessing documents. This algorithm works
by reading through text strings to match patterns.
What is the difference between static and unstructured data in relation
to a firm's use of ASTs? - correct answer-Some firms use two different
ASTs to separate screening of unstructured data and static customer
data. Even with one AST, firms may use different thresholds because the
screening of real-time payment messages can contain unstructured data
in the form of a "purpose of payment." In addition, the messages can
contain names and places with typographical errors and other mistakes
because they were entered and sent from an outside institution. With
static customer data, dual controls ensure that one person enters the
name correctly and the other person checks it for accuracy. Firms tend
to have higher data quality that is verified against legal documents for
,their customers than for the counter-parties. As such, the thresholds
may be higher when screening static data.
What is event-triggered monitoring, and when does it occur? - correct
answer-Event-triggered monitoring is an internal control used to
mitigate sanctions risks. Event-triggered monitoring occurs whenever
relevant information about an existing customer (e.g., its jurisdiction of
operation) changes, therefore requiring an interim review of
information prior to a scheduled review
What are the possible outcomes of assessing a hit? - correct answer-An
analyst's review of a hit will result in one of the following outcomes:
1. A target match—when the review concludes that the party identified
is in fact the same as the one named on a sanctions list
2. Escalate to a case investigation—generally enough information will
not be present to initially determine whether a hit is a target match;
therefore, escalation to a case investigation is required to conduct
additional due diligence and research
3. A false positive—not a match to a target named on a sanctions list
,4. A false negative—the hit is dismissed, but is in fact a match to a
target named on a sanctions list
What is transliteration? - correct answer-Transliteration is the
conversion of text from one script into another—for example, a
document written in Arabic characters that is converted into Cyrillic
script. This phenomenon can present a name screening challenge.
Define the process of romanization. - correct answer-Romanization is
the process of taking a different writing system (i.e., one that often does
not use the Latin A-Z alphabet) and converting it into Latin script—that
is, converting writing into the script that languages, such as English, are
written in today. Some scripts do not have equivalent letters or symbols;
as a result, there can be variations in the spelling of names and words,
even when they're written in the standard alphabet.
List at least 8 key fields used in SWIFT payment messages. - correct
answer-SWIFT messages are designed with predefined fields. Key SWIFT
fields include:
• Transaction Reference Number
• Bank Operation Code
, • Value Data / Currency / Interbank Settled
• Currency / Original Ordered Amount
• Ordering Customer (Payer)
• Ordering Institution (Payer's Bank)
• Sender's Correspondent (Bank)
• Receiver's Correspondent (Bank)
• Intermediary (Bank)
• Account with Institution (Beneficiary's Bank)
• Beneficiary
• Remittance Information (Payment Reference)
• Details of Charges (BEN / OUR / SHA) Certain fields in a SWIFT
payment message tend to be the most relevant for screening, such as
the ordering customer, beneficiary, and message details fields, which
need to be screened against all relevant sanctions lists.
What do the Bank Secrecy Act's Travel Rule and FATF Recommendation
16 specify regarding data transfer? - correct answer-The Bank Secrecy
Act (BSA) contains 31 CFR 1010.410(f), or the "Travel Rule," requiring
financial institutions to pass on specific information to the next financial
institution in the payment chain for certain fund transmittals that
involve more than one financial institution. The Travel Rule, which only
applies to funds transmittals of $3,000 USD or more, requires the
transmitting institution to include specific information in a transmittal
PASS |ALREADY GRADED A+| VERIFIED AND
UPDATED
What is string matching? - correct answer-String matching is an
algorithm for efficient searching that involves finding occurrence(s) of a
pattern string within another string or body of text. Also referred to as
pattern matching, this method can be used to recognize social security
numbers, telephone numbers, zip codes, and any other information
that follows a specific pattern. It is also useful for looking for
information that follows leading text and then extracting the text that
comes after it, as well as reprocessing documents. This algorithm works
by reading through text strings to match patterns.
What is the difference between static and unstructured data in relation
to a firm's use of ASTs? - correct answer-Some firms use two different
ASTs to separate screening of unstructured data and static customer
data. Even with one AST, firms may use different thresholds because the
screening of real-time payment messages can contain unstructured data
in the form of a "purpose of payment." In addition, the messages can
contain names and places with typographical errors and other mistakes
because they were entered and sent from an outside institution. With
static customer data, dual controls ensure that one person enters the
name correctly and the other person checks it for accuracy. Firms tend
to have higher data quality that is verified against legal documents for
,their customers than for the counter-parties. As such, the thresholds
may be higher when screening static data.
What is event-triggered monitoring, and when does it occur? - correct
answer-Event-triggered monitoring is an internal control used to
mitigate sanctions risks. Event-triggered monitoring occurs whenever
relevant information about an existing customer (e.g., its jurisdiction of
operation) changes, therefore requiring an interim review of
information prior to a scheduled review
What are the possible outcomes of assessing a hit? - correct answer-An
analyst's review of a hit will result in one of the following outcomes:
1. A target match—when the review concludes that the party identified
is in fact the same as the one named on a sanctions list
2. Escalate to a case investigation—generally enough information will
not be present to initially determine whether a hit is a target match;
therefore, escalation to a case investigation is required to conduct
additional due diligence and research
3. A false positive—not a match to a target named on a sanctions list
,4. A false negative—the hit is dismissed, but is in fact a match to a
target named on a sanctions list
What is transliteration? - correct answer-Transliteration is the
conversion of text from one script into another—for example, a
document written in Arabic characters that is converted into Cyrillic
script. This phenomenon can present a name screening challenge.
Define the process of romanization. - correct answer-Romanization is
the process of taking a different writing system (i.e., one that often does
not use the Latin A-Z alphabet) and converting it into Latin script—that
is, converting writing into the script that languages, such as English, are
written in today. Some scripts do not have equivalent letters or symbols;
as a result, there can be variations in the spelling of names and words,
even when they're written in the standard alphabet.
List at least 8 key fields used in SWIFT payment messages. - correct
answer-SWIFT messages are designed with predefined fields. Key SWIFT
fields include:
• Transaction Reference Number
• Bank Operation Code
, • Value Data / Currency / Interbank Settled
• Currency / Original Ordered Amount
• Ordering Customer (Payer)
• Ordering Institution (Payer's Bank)
• Sender's Correspondent (Bank)
• Receiver's Correspondent (Bank)
• Intermediary (Bank)
• Account with Institution (Beneficiary's Bank)
• Beneficiary
• Remittance Information (Payment Reference)
• Details of Charges (BEN / OUR / SHA) Certain fields in a SWIFT
payment message tend to be the most relevant for screening, such as
the ordering customer, beneficiary, and message details fields, which
need to be screened against all relevant sanctions lists.
What do the Bank Secrecy Act's Travel Rule and FATF Recommendation
16 specify regarding data transfer? - correct answer-The Bank Secrecy
Act (BSA) contains 31 CFR 1010.410(f), or the "Travel Rule," requiring
financial institutions to pass on specific information to the next financial
institution in the payment chain for certain fund transmittals that
involve more than one financial institution. The Travel Rule, which only
applies to funds transmittals of $3,000 USD or more, requires the
transmitting institution to include specific information in a transmittal
