Which should the auditor recommend to management in terms of the client's risk rating procedures?

B Incorporating Comprehensive Risk Factors By including an assessment of channel, credit, and transaction risks, the client’s overall risk profile is accurately determined. This aligns with risk-based approaches emphasized by FATF and CAMS-Audit standards. These risk factors provide a granular view of the client’s risk level, ensuring proper classification into Standard or Enhanced Due Diligence categories​​. Regulatory Alignment FATF Recommendations mandate that client risk assessments consider the products, services, and delivery channels used, as well as geographic and transactional risks​. Conclusion Implementing composite AML and sanctions risk scores ensures the institution is compliant with regulatory standards and adequately mitigates risks associated with different client profiles.