Introduction to Trade Finance Compliance
Learning Objectives
By the end of this letter of credit course you will be able to:
Understand the role of regulatory bodies such as the Financial Action Task Force (FATF) the United Nations and The Bank for International Settlements.
Define what a “risk-based approach” means.
Define what Know Your Customer (KYC) requirements are and explain how they are applied to trade finance transactions.
Describe trade-based money laundering policies.
Explain the global implications of sanctions, embargoes, and NPWMD.
Explain the function of national and cross jurisdictional regulations.
Describe the elements of a ‘risk-based approach’ to financial crime compliance.
Identify the specific implications of KYC on the parties to trade finance transactions.
List and describe the “Three Lines of Defence” model for financial crime compliance.
Explain the levels of financial crime compliance transaction control and the implications of transaction review.
Course curriculum
Lessons
In this lesson, we will explore the structure of the global compliance regulatory environment. Both national and regional regulations as well as bank policies and procedures related to compliance obligations vary widely and are subject to change on a regular basis.
In this lesson, we will learn about financial crimes risk and the risk-based approach. A financial institution’s FCC requirements should be established based on a risk-based approach in accordance with its local compliance regulations.
At the end of this lesson, you will be able to describe what is meant when using the terms “Know Your Customer” (KYC) or “Customer Due Diligence” (CDD). A customer can be a corporation, individual, another financial institution or a government entity.
In this lesson, we will cover the basics behind trade-based money laundering (TBML). Today, most financial institutions have a comprehensive strategy for dealing with dealing with their compliance obligations related to TBML.
In this lesson, we will cover an important topic related to financial institutions and their responsibility to screen transactions against sanctions, embargoes, and Non-Proliferation of Weapons of Mass Destruction (NPWMD) lists of which they are subject to.
In this lesson, we will explore how (and why) trade finance transactions are reviewed for suspicious activities in accordance with the risk-based approach.
This section will test your knowledge on what you have learned so far and aims to equip you with the skills and context you will need in the field. Please note, this is not an exam.
FAQs
Answers to your most commonly asked questions.
This course forms part of the curriculum for the Global Trade Certificate (GTC) but can also be purchased on its own.
If you just complete this course then you will earn a Letter of Completion once you finish (please note there is no exam for this individual course).
However, this course can also be put towards achieving the GTC qualification. More details can be found here.
If you complete the GTC then you will earn a Certificate of Achievement, signed by the ICC Secretary General, once you pass the final exam
A strong interest in trade and trade finance is recommended and all candidates need to be able to read and write in English.
Your purchase includes 12 months to access all the lessons. You can access the lessons as many times as you like within the 12-month access period
This course is accredited by the London Institute of Banking and Finance (LIBF), The Bankers Association for Finance and Trade (BAFT) and the Global Trade Professionals Alliance (GTPA).
Due to the immediate availability of our course content upon registration, ICC Academy has a strict no-refund policy for our courses and certifications. For more details, please refer to our Terms and Conditions.
This online course will take approximately 3-4 hours to complete depending on your level of experience.
Candidates will have 12 months to complete the lessons.
- One-year access to the online course and all 8 lessons
- 18 assessment questions – we’ll show you how to apply what you learn to real-world scenarios. Please note this is not an exam.
- 13 animated explainer videos and 1 video lecture
- A printable glossary containing all the key terms for you to refer to throughout the course
- Dedicated, full-time IT support
- Certificate of completion
Yes, all our courses are taken online. This means they are accessible at any time, from anywhere in the world. Learn when and where you want.
This course has been designed for general practitioners working in banks, corporates, or financial institutions in functions such as relationship management, credit and compliance, but with an interest in trade finance.
