Section 5 GwG – Risk analysis
(1) 1The obliged entities are required to determine and evaluate the risks of money laundering and terrorist financing associated with the business activities they engage in. 2They are required to pay particular attention to the risk factors specified in annexes 1 and 2 and to the information that is made available on the basis of the national risk assessment. 3The extent of the risk analysis depends on the nature and size of the business of the obliged entity.
(2) The obliged entities are required to
- document the risk analysis,
- regularly review and, as appropriate, update the risk analysis and
- make the most recent version of their risk analysis available to the supervisory authority upon request.
(3) In cases where the obliged entity is the parent company of a group, subsections (1) and (2) apply to the whole group.
(4) The supervisory authority may, at the request of an obliged entity, release the obliged entity from the obligation to document its risk analysis if the obliged entity can demonstrate that the specific risks inherent in the respective sector are clear and understood.