Stock Market Glossary
Compliance
Compliance with legal and internal requirements in financial companies.
In brief: Compliance with legal and internal requirements in financial companies.
Meaning in practice
Visible to investors in MiFID II documents, suitability checks and record keeping requirements. Compliance increases bureaucracy, but is intended to protect investors from false advice and insider trading.
Context for investors and traders
For legal, tax or formal terms, the specific case matters. Rules, deadlines and obligations can change and can differ by residence, product and broker.
How to use this in practice
For tax and regulatory topics, the process matters more than a general definition: payment country, product type, timing, broker and personal tax data can lead to different outcomes. Keep statements and certificates so transactions remain traceable and can be corrected if necessary.
What to keep in mind
This glossary entry explains the principle, but does not replace a current tax or legal review. Deadlines and documentation can be decisive for withholding tax, loss offsetting, fund taxation and cross-border custody accounts.
