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

Venture Capital Trust (VCT)

A listed company run by a fund manager, investing mainly in private companies.e.

Income statement

A summary of a company's income and expenses over a set period of time.

Net Income (NI)

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

Gross Margin

The difference between a company's revenue and the cost to produce its goods/services, divided by revenue.

Total Return

This is the measurement of a fund’s performance in a specific period.

Bond

Learn what a bond is

Growth stocks

These are stocks in companies that are considered to be “growing”. These companies may be delivering new products and services, or entering new markets.

W-8BEN Form

Non-US individuals and businesses may have to file this form for the Internal Revenue Service (IRS), the US tax authority.

LSE

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

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Know Your Customer (KYC)