Regulatory Alerts2019-12-03
CVM Instruction No. 617 of December 5, 2019: Prevention of Money Laundering and Terrorist Financing in the Securities Market
The Brazilian Securities and Exchange Commission (CVM) issued Instruction No. 617 to mandate anti-money laundering and counter-terrorist financing (AML/CFT) compliance across the securities market. The regulation requires covered entities to establish risk-based AML/CFT policies, conduct internal risk assessments, implement robust internal controls, and maintain continuous staff training. It further mandates strict client identification, beneficial ownership verification, ongoing monitoring, and mandatory reporting of suspicious activities to the Financial Intelligence Unit.
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