Preview Questions Fraud Analyst | Role Specific Skill

Question 1: What is the most effective analytical technique to determine the root cause of a recurring fraud type in the BFSI industry?

Which action should you take?

Choose only one option

Correlation analysis of transaction patterns

Statistical analysis of historical fraud data

Root cause analysis with stakeholder interviews

Regression analysis based on account features

Question 2: To identify financial crimes related to trade-based money laundering, what is the key data to analyze?

Which action should you take?

Choose only one option

The customer's credit score

Trade invoices and shipment tracking details

The number of transactions per day

The origin of the financial transactions

Question 3: What is the role of correlation analysis in identifying financial fraud?

Which action should you take?

Choose only one option

It determines the total financial loss from fraud

It identifies the fraudster's geographic location

It verifies the legitimacy of financial statements

It helps detect unusual patterns by correlating transaction data with known fraud indicators

Question 4: Which regulation requires that financial institutions implement internal controls and conduct regular audits to prevent financial fraud?

Which action should you take?

Choose only one option

Basel III

Dodd-Frank Act

EU Anti-Money Laundering Directive

Sarbanes-Oxley Act

Question 5: Which of the following is the best approach to identifying the risk of internal fraud within a financial institution?

Which action should you take?

Choose only one option

Investigating staff access to critical systems

Monitoring client account activities

Employee transaction behavior monitoring

Transaction comparison against external benchmarks

Question 6: In fraud detection, how can a Fraud Analyst use historical data to predict future fraud risks?

Which action should you take?

Choose only one option

By predicting the likelihood of fraud based solely on customer income levels

By relying only on customer feedback

By randomly sampling previous fraud cases

By identifying patterns and trends in previous fraud cases