Unit of competency Outline

Date retreived
22/07/2026 10:42 PM AWST

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Design customer due diligence policies and procedures

Design customer due diligence policies and procedures

Unit of competency
National Code
FNSAML804
State Code
AWF28
TGA Status
Replaced
DTWD Status
Replaced
Current Release Number
1.00
Current Release Date
14/01/2016
View on TGA
State Implementation and Classification
Approved Date
12/05/2016
Field of Education
080101 - Accounting
Original Release Date
12/05/2016
Nominal Hours
70
Description
This unit describes the skills and knowledge required to analyse requirements and design customer due diligence policies and procedures relating to the identification of customers, monitoring of customer behaviour and governance processes and controls for the customer identification process. It applies to individuals who use specialised anti-money laundering and counter terrorism financing (AML/CTF) knowledge and skills to evaluate complex information and compliance requirements and apply to relevant tasks. Individuals typically lead and review organisation wide activities, exercise significant autonomy, responsibility and accountability and contribute to the strategic goals and operations of the organisation. They review, critically analyse, consolidate and synthesise knowledge to generate ideas and provide solutions to complex problems. No licensing, legislative or certification requirements apply to this unit at the time of publication.
Notes
Elements and Performance Criteria
1. Design processes for customer identification
  • 1.1 Design processes to collect information and documentation from different categories of clients
  • 1.2 Design processes for determining the ultimate beneficial owner of assets or funds where the client is a trust or fund or wealth management company
  • 1.3 Design a separate process for verifying client information and documentation
  • 1.4 Establish procedures for retention and retrieval of information and documentation from clients
  • 1.5 Design an assurance or oversight process to ensure all collection, verification, retention and retrieval processes comply with relevant AML/CTF rules
  • 1.6 Design processes for risk rating clients based on evaluating their characteristics, including jurisdiction and nature of business or occupation, with a financial crime specific risk framework
2. Design processes for identifying and monitoring customer behaviour
  • 2.1 Devise a process for determining a customer’s source of wealth
  • 2.2 Specify a control for identifying the source of funding for a transaction, where required
  • 2.3 Design a process for analysing the products utilised by a customer and considering how that may impact their risk profile
  • 2.4 Establish a procedure investigating the entities and individuals with whom a client is involved and whether this impacts their risk profile
  • 2.5 Determine the risk indicators that may apply to specific customers who represent an increased risk to the organisation
  • 2.6 Determine the specific monitoring, approval and review controls applicable to different client categories based on the risk that they represent for the organisation
3. Design governance processes and controls for the customer due diligence processes
  • 3.1 Determine the assurance governance procedures for client identification and money laundering and terror financing (ML/TF) risk processes
  • 3.2 Determine the oversight framework for the customer due diligence procedure
  • 3.3 Design a governance framework for customer due diligence policies and procedures
  • 3.4 Design a process for ensuring that client risk assessment is consistent with the organisation’s risk appetite
  • 3.5 Specify processes for ensuring that customer due diligence policies and procedures are updated to reflect changes in regulation and organisational risk appetite
  • 3.6 Design and document the escalation procedure, including the escalation triggers and to whom issues will be escalated
  • 3.7 Design and document the exemptions policy and procedure
No information
No information
Replaced By
State Code National Code Title Type
OBR79 FNSAML814 Design customer due diligence policies and procedures Unit of competency