“The board should carry out due diligence on the service provider… and get comfortable that the delegates' controls meet the rules… you can only rely on a service provider's own AML audit if it includes testing that's specific to the fund's compliance program.”

Mariana Alves · The Regulatory 15/15 · Regulatory developments, FAQs for CIMA's AML and Sanctions Rules, changes to CRS, a Latin America update, tokenised funds and CIMA consultations on cybersecurity

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What was described

Board conducts due-diligence on AML service providers, assesses outsourcing risk, reviews service agreements, notifies CIMA of material outsourced compliance functions, and only relies on provider’s AML audit if it includes testing specific to the fund’s program

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