What is 'Know Your Customer (KYC)'? Definition & meaning

A legal requirement for financial firms to understand exactly who their customers are. Used to prevent money laundering and terrorist financing.

More terms

Oligopoly

A situation in which a market or industry is controlled by a small group of companies.

Equity

The amount of money a company would be left with by subtracting its liabilities from the value of its assets.

NASDAQ

A US stock exchange specialising in the shares of technology companies.

LSE

London Stock Exchange, which was founded in 1571 and now has a market cap of almost $5 trillion.

Real Estate Investment Trust (REIT)

An investment trust specialised in investing in commercial property such as parking garages or GP offices.

Arithmetic Mean

The sum of a set of numbers added together and then divided by the total amount of numbers in that set.

SPAC

Find our what a SPAc or special purpose acquisition company is.

Net Income (NI)

The money a firm is left with from sales after subtracting taxes and different business costs.

Exchange-Traded Fund (ETF)

A collection of investments, pooled into a single fund that can be bought and sold on a stock exchange.

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Know Your Customer (KYC)