knowledge topics

Financial Services Industry Oversight

KNOWLEDGE EXPECTED OF: Both CFP^® Professionals and QAFP^TM Professionals

Identify the financial services oversight bodies that are under the jurisdiction of the Government of Canada, such as:
- Office of the Superintendent of Financial Institutions (OSFI)¹
- Financial Transaction and Report Analysis Centre of Canada (FINTRAC)²
- Financial Consumer Agency of Canada (FCAC)³
- Office of the Privacy Commissioner of Canada (OPC)⁴
Identify the mandate of the Office of the Superintendent of Financial Institutions (OSFI).⁵
Identify the organizations that fall under the supervision and regulation of the Office of the Superintendent of Financial Institutions (OSFI).^6,7
Identify the functions that the Office of the Superintendent of Financial Institutions (OSFI) performs.⁸
Identify the mandate of the Financial Transaction and Report Analysis Centre of Canada (FINTRAC).⁹
Explain the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA), including:
- The requirements of an individual employed in the financial services industry to report potential money laundering schemes to The Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), such as:
  - Suspicious transactions
  - Terrorist property
  - Large cash transactions
- The sanctions that may be imposed on an individual and their employer for non-compliance of the Proceeds of Crime (Money Laundering) and Terrorist Financing Act (PCMLTFA),such as:
  - Failure to report suspicious transactions
  - Failure to report a large cash transaction
  - Disclosing the fact that a suspicious transaction was made or disclosing the contents of such a report with the intent to prejudice a criminal investigation (“tipping”)
Identify money laundering red flags, such as:
- Contact information changing often
- Disconnected phone numbers
- Source of assets not easily verifiable
- Transaction history not aligned with employment or business
- Frequent fund transfers
- Large wire transactions
- Exhibited lifestyle cannot be supported by earnings
- Insurance products purchased using single large premium payment
- Large cash holdings
Explain methods for laundering money, such as:
- Use of national and/or international banking system
- Use of trade-based systems
- Use of mobile and internet payment systems
- Use of alternative remittance systems
- Use of precious metals (gold, silver) or jewels (diamonds)
Explain the stages of money laundering.¹⁰
- Placement
- Layering
- Integration
Identify the mandate of the Financial Consumer Agency of Canada (FCAC).¹¹
Identify the mandate of the Office of the Privacy Commissioner of Canada (OPC).¹²
Explain the Personal Information Protection and Electronic Documents Act (PIPEDA)¹³or substantially similar provincial legislation¹⁴, including:
- The requirement to protect consumer information
- The rights of consumers to request, receive and correct incorrect information
- The sanctions that may be imposed for non-compliance with the Act
Identify which information is considered private information under the Personal Information Protection and Electronic Documents Act (PIPEDA).

Glossary of Verbs (mouse over to see definition)

Define

To state exactly the meaning of
Identify

To be aware of / to recognize and correctly name / to locate an appropriate resource
Explain

To make clear the meaning of / to describe something in more detail or reveal relevant facts or ideas related to it
Compare

To note the similarities and differences between two or more things
Estimate

To determine an approximate value for
Calculate

To find the value using mathematics
Convert

To change from one form or purpose to another
Evaluate

To reach a conclusion or make a judgement through careful study
Interpret

To give the meaning of / to construe or understand / to translate orally

Financial Planning Body of Knowledge

knowledge topics

Financial Services Industry Oversight

KNOWLEDGE EXPECTED OF: Both CFP® Professionals and QAFPTM Professionals

Glossary of Verbs (mouse over to see definition)

RELEVANT CASE STUDIES

REFERENCES

KNOWLEDGE EXPECTED OF: Both CFP^® Professionals and QAFP^TM Professionals