Preview Questions Compliance Officer | Role Specific Skill

Question 1: The Basel III framework focuses primarily on what aspect of banking regulation?

Which action should you take?

Choose only one option

Capital adequacy and liquidity requirements

Anti-money laundering and fraud prevention

Customer protection and dispute resolution

Market conduct and consumer protection

Question 2: What type of risk does the ISO 31000 standard primarily address?

Which action should you take?

Choose only one option

Credit risk

Market risk

Compliance risk

All types of risks affecting organizational objectives

Question 3: In managing compliance risk, what is the significance of aligning risk management processes with ISO 31000 standards?

Which action should you take?

Choose only one option

Shift responsibility to external auditors

Ensure strict legal adherence

Focus on eliminating risks entirely

Standardize risk assessment

Question 4: During an investigation, how should compliance officers address discrepancies in financial records?

Which action should you take?

Choose only one option

Escalate all discrepancies immediately

Consult external auditors

Reconcile data with source documents

Ignore minor discrepancies

Question 5: Under GDPR, what is the maximum fine that can be imposed for non-compliance with data protection principles?

Which action should you take?

Choose only one option

?5 million

4% of annual global turnover

?10 million

?20 million

Question 6: What is the maximum exposure to market risk a financial institution can take according to Basel III?

Which action should you take?

Choose only one option

There is no explicit limit defined under Basel III

It is fixed at 2% of the institution's total assets

It should be equivalent to 100% of its capital base

It is determined by the institution's internal risk management framework