How well do led uv strips work to detect forged passports and banknotes?

Depends how well the forgery is, how well taught the person examining the possibly forgery is at detecting the fake from the original of course.

As a rule of thumb criminals always get smarter with the increase of technology and the internet it has become apparent that they can now look up tutorials on how to create these illegal documents. I trust the FBI are keeping people from seeing how to make counterfeit money so far. Which is a good thing, These days most reserve banks take extra precautions when minting new bank notes. Yet even these modern steps can't always prevent the frauds from trying or even succeeding in fooling authorities.

Getting back to the point though, if you have a poster or something that can illustrate what to look for in a original bank note then you can usually spot the fakes from the real notes. I know 1 of our employees use such a poster.

How reliable are they ? Unfortunately as I mentioned that depends on how good the forgery is.

If the watermarks are good then it shouldn't be possible to mimic it completely so just check for any discrepancies.