Professionals providing investment guidance, portfolio management, or financial planning to individuals or businesses. Their responsibilities often include analyzing financial goals and recommending suitable investment products.
Main/
Financial Advisor
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Code
AT0092
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Name
Financial Advisor
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Version
1.0
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Category
Professional Services & Advisors
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Created
2025-01-22
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Modified
2025-04-02
Related Techniques
Financial advisors—especially those operating with limited regulatory oversight—help structure business investments to hide illicit proceeds. They:
- Create layered corporate or investment arrangements, masking beneficial owners.
- Position criminal funds as standard investment capital, blurring the origin of assets.
Such practices hinder financial institutions’ due diligence, as transactions appear to be professionally managed investments rather than money laundering schemes.
- Criminals impersonate licensed advisors or establish unregistered investment entities.
- They present falsified credentials to persuade victims of their legitimacy.
- They divert or mismanage contributed funds for personal gain or Ponzi-style payouts, deceiving financial institutions that perceive these as seemingly routine advisory activities.
Financial advisors knowingly or unwittingly facilitate investment-based money laundering by:
- Establishing and managing multi-jurisdictional portfolios that conceal true beneficial owners.
- Guiding clients toward private funds or alternative investments that lack stringent AML oversight.
- Coordinating complex layering transfers that blur the source of funds for financial institutions.
These professionals' expertise and standing often reduce scrutiny, making it harder for banks or regulators to detect illicit activity.