What Is Know Your Customer (KYC)?

Know Your Customer (KYC) across 4 exams

Know Your Customer (KYC) appears on the following exams. Each defines it in the context candidates are tested on:

SIE

The regulatory requirement that firms obtain and verify information about each customer's identity, financial situation, investment experience, and objectives before opening an account or making recommendations. KYC is foundational to suitability analysis, anti-money laundering compliance, and fraud prevention, and must be periodically updated.

Series 24

The process of collecting and verifying customer identity, financial background, and investment experience before opening an account or executing transactions. Principals must ensure representatives gather and maintain accurate KYC information for all customers.

Series 99

A regulatory framework requiring broker-dealers to understand the identity, financial situation, and investment objectives of each customer to prevent fraud and ensure suitability. KYC documentation is a cornerstone of operations compliance.

Series 9/10

A fundamental supervisory requirement to gather and maintain accurate information about each customer's financial situation, investment objectives, risk tolerance, and experience. Sales supervisors must ensure their representatives obtain and regularly update this customer profile before making recommendations.