Series 79 practice questionmediumAnti-Money Laundering in IB Context
Which of the following would most likely trigger a suspicious activity report (SAR) filing in an investment banking context?
- AA private placement subscriber wires funds from a country with known AML deficiencies✓ Correct answer
- BA U.S. pension fund invests in a new issue
- CA client requests a copy of an offering memorandum
- DAn issuer discloses its annual audit is delayed by two weeks
Explanation
Why A — A private placement subscriber wires funds from a country with known AML deficiencies
Wiring funds from high-risk jurisdictions is an AML red flag requiring possible SAR filing. The trap is missing that routine business actions are not inherently suspicious.
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