Investing term

What is KYC?

'Know Your Customer' — the identity-verification step every regulated broker must perform before accepting your money.

KYC — "Know Your Customer" — is the identity-verification every regulated broker must perform before accepting your money, collecting ID and personal details to prevent fraud and money laundering. Far from a red flag, robust KYC is a sign of a legitimate, regulated firm. A platform that lets you deposit with no verification at all should make you suspicious.

For example

A real broker asks for your ID and address before you can fund the account — that KYC step is reassuring, not a hassle to avoid.

KYC is taught hands-on in Stage 7 — Brokers, Accounts & Getting Started.

See the lesson →

Related terms

Account statementThe monthly or quarterly document summarising your account activity, balances, and realized gains.BrokerThe licensed firm you go through to buy and sell investments on an exchange.Brokerage accountThe account you open at a broker to hold your investments.CommissionThe per-trade fee some brokers charge to execute an order.
← Back to the full glossary