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AML Compliance

Sanctions

Anti-Money Laundering compliance — policies and controls to prevent use of trade transactions for money laundering.

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Anti-money-laundering compliance means the controls a firm maintains to detect and prevent the movement of criminal proceeds through it: customer identification, beneficial-ownership checks, ongoing monitoring, escalation and reporting of suspicion, record keeping, training. There is no single global AML rulebook. Obligations come from each jurisdiction’s own legislation and are enforced by its own supervisor, differing in who is caught, what thresholds apply and when a report must be filed. So “we are AML compliant”, without naming the regime and the supervisor, is not a claim that can be tested. Note also where the duty sits: the obligations bite on the regulated firm and its officers, not on a transaction, and a counterparty’s assurance that a payment is clean discharges nothing you owe.
Why this entry carries no source list. This lexicon cites an official primary source wherever one exists and says plainly where none does. No body defines this term: it is commercial vocabulary, and what it means in any particular deal is whatever the document says. Citing a bank’s product page, an insurer’s brochure or a consultancy’s explainer would dress one firm’s usage as a general rule. The paragraph above therefore ends by naming what to read instead of the word.

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From the AJG lexicon archive (July 2026).

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