Compliance Glossary
Key Insights
- Key terms and definitions for AML, KYC, CFT, and financial compliance — sourced from FATF, ACAMS, FinCEN, and OFAC guidance.
Key terms and definitions for AML, KYC, CFT, and financial compliance — sourced from FATF, ACAMS, FinCEN, and OFAC guidance.
This glossary covers key concepts in compliance as used across AcaciaFund's research, learning materials, and knowledge base.
Core Concepts
AI in AML Surveillance
AI in AML Surveillance Also: AML AI, machine learning AML, AI surveillance, AML analytics
AML Audit & Examination
AML Audit & Examination Also: AML audit, regulatory examination, compliance audit
AML Case Management
AML Case Management Also: investigation case management, alert case management
AML Compliance Optimization
AML Compliance Optimization Also: AML efficiency, compliance optimization, automated compliance
AML Compliance Principles
AML Compliance Principles Also: compliance basics, AML fundamentals, compliance culture
AML Compliance Program
AML Compliance Program Also: AML program, BSA/AML program
AML Data Governance
AML Data Governance Also: AML data management, data quality AML, AML data lineage
AML Data Sharing & PPP
AML Data Sharing & PPP Also: FIU collaboration, public-private partnership, information sharing
AML Model Validation
AML Model Validation Also: model risk management, AML model testing, model governance
AML Oracle & AI Decision Systems
AML Oracle & AI Decision Systems Also: AML AI, decision intelligence, AI compliance
AML Program Reform
AML Program Reform covers the 2026 restructuring of US AML compliance requirements. The Federal Reserve's July 2026 proposed rule, FinCEN's April 2026 AML/CFT program rule, and the GENIUS Act collectively create the most significant BSA overhaul in 20+ years. Key elements include risk-based resource allocation, effectiveness-based supervision (only 'significant failures' trigger enforcement), board-level program approval, US-based compliance officer requirement, and explicit regulatory encouragement of AI/ML adoption for compliance. This represents a paradigm shift from prescriptive checklist-based compliance to outcomes-oriented risk management. Also: AML program reform 2026, Fed AML proposal, FinCEN program rule, BSA overhaul 2026, effectiveness-based supervision, risk-based resource allocation
AML Regime Effectiveness
AML regime effectiveness research, including Levi and Reuter (2006) and Ferwerda et al. (SSRN), critically examines whether anti-money laundering regulations actually achieve their stated goals. These studies question the effectiveness-cost trade-off, highlighting that despite massive spending ($200B+ annually) and millions of SARs, there is limited evidence that AML efforts significantly reduce crime. Also: AML effectiveness, Ferwerda, Levi-Reuter, FATF effectiveness, aml outcomes, aml-effectiveness
AML Regulatory Framework
AML Regulatory Framework Also: AML regulation, regulatory landscape, AML legal basis
AML Reporting Dashboard
AML Reporting Dashboard Also: AML dashboard, compliance reporting, AML visualization
AML Risk Scoring Models
AML Risk Scoring Models Also: risk scoring, AML risk assessment, risk-based approach
AML Threat Intelligence
AML Threat Intelligence Also: financial threat intel, AML intelligence, typology updates
AML Training & Awareness
AML Training & Awareness Also: compliance training, AML education, anti-money laundering training
AML-ESG Integration
AML-ESG Integration Also: ESG financial crime, green crime AML, environmental crime
Adverse Media Screening
Adverse Media Screening Also: negative news screening, adverse media check
Bank Secrecy Act
Bank Secrecy Act Also: BSA, Currency and Foreign Transactions Act
Beneficial Ownership
Beneficial Ownership Also: UBO, ultimate beneficial ownership, BO
Continuous AML Monitoring
Continuous AML Monitoring Also: real-time monitoring, ongoing due diligence, transaction surveillance
Correspondent Banking AML
Correspondent Banking AML Also: correspondent banking, nested accounts
Cross-Border Payment Compliance
Cross-Border Payment Compliance Also: cross-border compliance, SWIFT compliance, international payments
Crypto Travel Rule Compliance
Crypto Travel Rule Compliance Also: VASP travel rule, crypto transfer, travel rule compliance
Cryptocurrency AML
Cryptocurrency AML Also: crypto compliance, VASP, virtual asset compliance
Currency Transaction Report
Currency Transaction Report Also: CTR
Customer Due Diligence
Customer Due Diligence Also: CDD
Cyber AML / Financial Cybercrime
Cyber AML / Financial Cybercrime Also: financial cybercrime, cyber-enabled fraud
De-Risking in Correspondent Banking
De-Risking in Correspondent Banking Also: de-risking, financial exclusion, correspondent banking risk
DeFi AML Compliance
DeFi AML Compliance Also: decentralized finance, DeFi regulation, DeFi compliance
Enhanced Due Diligence
Enhanced Due Diligence Also: EDD
Entity Resolution
Entity Resolution Also: entity matching, record linkage
FATF Recommendations
FATF Recommendations Also: FATF 40 Recommendations
FATF Travel Rule
FATF Travel Rule Also: travel rule, VASP travel rule
FinCEN BOI Reporting
FinCEN BOI Reporting Also: Corporate Transparency Act, BOI, beneficial ownership information
Financial Crime Intelligence
Financial Crime Intelligence Also: fin crime intel, threat intelligence, crime analytics
Fraud Detection Systems
Fraud Detection Systems Also: payment fraud, identity fraud, application fraud
Global Sanctions Regimes
Global Sanctions Regimes Also: OFAC, EU sanctions, UN sanctions, sanctions compliance
International AML Cooperation
International AML Cooperation Also: mutual legal assistance, cross-border AML, FIU Egmont Group
Know Your Customer (KYC)
Know Your Customer (KYC) Also: KYC, know-your-customer
MiCA — Markets in Crypto-Assets Regulation
MiCA — Markets in Crypto-Assets Regulation Also: MiCA, Markets in Crypto-Assets, crypto regulation, CASPs
Money Laundering Basics
Money Laundering Basics Also: money laundering stages, placement layering integration, ML lifecycle
Network Analysis for AML
Network Analysis for AML Also: graph analytics, network forensics
Payment Fraud Detection
Payment Fraud Detection Also: payment fraud, ACH fraud, wire fraud, push payment fraud
Politically Exposed Person
Politically Exposed Person Also: PEP, politically-exposed-person
Regulatory Filing Automation
Regulatory Filing Automation Also: automated filing, reg reporting, compliance filing
Regulatory Reporting Automation
Regulatory Reporting Automation Also: automated reporting, regulatory filings
Regulatory Technology
Regulatory Technology Also: RegTech
Risk-Based Approach in AML
Risk-Based Approach in AML Also: RBA, risk-based compliance, AML risk management
Sanctions Screening
Sanctions Screening Also: OFAC screening, sanctions list check
Suspicious Activity Report
Suspicious Activity Report Also: SAR, suspicious-activity-reporting
Suspicious Transaction Report
Suspicious Transaction Report Also: STR
Trade Finance AML
Trade Finance AML Also: trade-based AML, trade finance compliance, documentary credits
Trade-Based Money Laundering
Trade-Based Money Laundering Also: TBML, trade-based-ml
Transaction Monitoring
Transaction Monitoring Also: TM, transaction surveillance
Transaction Monitoring Theory
Transaction monitoring theory, including Takáts (2007) 'A Theory of Crying Wolf,' analyzes the economics and effectiveness of suspicious transaction reporting. It models the trade-off between catching true positives (actual money laundering) and generating false positives, showing how poorly calibrated thresholds and risk aversion among compliance officers can flood the system with low-value reports. Also: Takáts 2007, crying wolf theory, STR effectiveness, aml alerting theory, transaction-monitoring-theory
Types of Financial Crime
Types of Financial Crime Also: financial crime categories, fraud types, economic crime
Relationships
- AI in AML Surveillance: enables Transaction Monitoring, enables Entity Resolution, requires ml-pipeline, requires Transaction Monitoring
- AML Audit & Examination: requires AML Compliance Program
- AML Case Management: implements Suspicious Activity Report, requires Suspicious Activity Report
- AML Compliance Optimization: implements Regulatory Technology, requires Regulatory Technology
- AML Compliance Principles: requires AML Regulatory Framework, requires Money Laundering Basics
- AML Compliance Program: implements Bank Secrecy Act, requires AML Compliance Principles
- AML Data Governance: related_to data-governance, requires AML Compliance Program
- AML Data Sharing & PPP: enables Regulatory Reporting Automation, requires AML Data Governance
- AML Model Validation: requires AI in AML Surveillance, requires AML Oracle & AI Decision Systems
- AML Oracle & AI Decision Systems: enables AML Case Management, requires Regulatory Technology
- AML Program Reform: influences AML Compliance Program, part_of AML Regulatory Framework, related_to Beneficial Ownership, regulates Bank Secrecy Act, influences Risk-Based Approach in AML
- AML Regime Effectiveness: related_to AML Regulatory Framework
- AML Reporting Dashboard: implements Regulatory Reporting Automation, requires Regulatory Reporting Automation
- AML Risk Scoring Models: enables Transaction Monitoring, requires Customer Due Diligence, requires Risk-Based Approach in AML
- AML Threat Intelligence: enables Financial Crime Intelligence, requires Transaction Monitoring
- AML Training & Awareness: implements AML Compliance Program, requires AML Compliance Principles
- AML-ESG Integration: related_to AML Compliance Program, related_to esg-investing, requires AML Compliance Principles
- Adverse Media Screening: part_of Know Your Customer (KYC), related_to Sanctions Screening, requires Know Your Customer (KYC)
- Bank Secrecy Act: regulates Suspicious Activity Report, regulates Currency Transaction Report, requires AML Regulatory Framework
- Beneficial Ownership: requires Customer Due Diligence
- Continuous AML Monitoring: implements Transaction Monitoring, requires Transaction Monitoring
- Correspondent Banking AML: requires Customer Due Diligence, requires Trade Finance AML
- Cross-Border Payment Compliance: requires Correspondent Banking AML, requires FATF Travel Rule
- Crypto Travel Rule Compliance: implements FATF Travel Rule, requires FATF Travel Rule
- Cryptocurrency AML: requires FATF Travel Rule, enables Transaction Monitoring, requires Transaction Monitoring
- Currency Transaction Report: enables Transaction Monitoring, requires Transaction Monitoring
- Customer Due Diligence: part_of Know Your Customer (KYC), requires Know Your Customer (KYC)
- Cyber AML / Financial Cybercrime: related_to Transaction Monitoring, requires Fraud Detection Systems
- De-Risking in Correspondent Banking: related_to Correspondent Banking AML, requires AML Risk Scoring Models
- DeFi AML Compliance: requires Cryptocurrency AML
- Enhanced Due Diligence: part_of Customer Due Diligence, requires Customer Due Diligence
- Entity Resolution: related_to Network Analysis for AML, requires Know Your Customer (KYC)
- FATF Recommendations: regulates Know Your Customer (KYC), regulates Suspicious Activity Report, part_of AML Regulatory Framework, requires AML Regulatory Framework
- FATF Travel Rule: part_of FATF Recommendations, regulates Cryptocurrency AML, requires Cryptocurrency AML
- FinCEN BOI Reporting: implements Beneficial Ownership, implements Regulatory Filing Automation, requires Beneficial Ownership
- Financial Crime Intelligence: enables Suspicious Activity Report, requires Network Analysis for AML, requires AML Threat Intelligence
- Fraud Detection Systems: requires AI in AML Surveillance, requires Transaction Monitoring
- Global Sanctions Regimes: regulates Sanctions Screening, requires Sanctions Screening
- International AML Cooperation: enables AML Data Sharing & PPP, enables Regulatory Reporting Automation, requires Suspicious Activity Report
- Know Your Customer (KYC): requires AML Compliance Principles
- MiCA — Markets in Crypto-Assets Regulation: regulates FATF Travel Rule, requires Cryptocurrency AML
- Money Laundering Basics: requires Types of Financial Crime
- Network Analysis for AML: requires Financial Crime Intelligence
- Payment Fraud Detection: related_to Fraud Detection Systems, implements Transaction Monitoring, requires Fraud Detection Systems
- Politically Exposed Person: requires Enhanced Due Diligence, requires Customer Due Diligence
- Regulatory Filing Automation: implements Regulatory Reporting Automation, requires Regulatory Reporting Automation
- Regulatory Reporting Automation: implements Regulatory Technology, requires Transaction Monitoring
- Regulatory Technology: enables Transaction Monitoring, enables Know Your Customer (KYC), requires data-pipeline, requires Transaction Monitoring
- Risk-Based Approach in AML: requires AML Compliance Principles
- Sanctions Screening: part_of Know Your Customer (KYC), requires Know Your Customer (KYC)
- Suspicious Activity Report: enables Transaction Monitoring, requires Transaction Monitoring
- Suspicious Transaction Report: enables Transaction Monitoring, requires Transaction Monitoring
- Trade Finance AML: detects Trade-Based Money Laundering, requires Transaction Monitoring
- Trade-Based Money Laundering: detects Transaction Monitoring, requires Trade Finance AML
- Transaction Monitoring: requires Know Your Customer (KYC), requires Risk-Based Approach in AML
- Transaction Monitoring Theory: part_of Transaction Monitoring
Authoritative Sources
- ACAMS — Association of Certified Anti-Money Laundering Specialists — training, research, typologies (https://www.acams.org)
- AML Intelligence — Daily AML news, enforcement actions, regulatory developments (https://www.amlintelligence.com)
- AMLA — EU Anti-Money Laundering Authority — rulebook, RTS, direct supervision (https://www.amla.europa.eu)
- AUSTRAC — Australian transaction reports and analysis centre — typologies, enforcement (https://www.austrac.gov.au)
- Basel Institute — Basel Institute on Governance — AML/CFT research, asset recovery, risk indicators (https://www.baselgovernance.org)
- Chainalysis — Blockchain analytics — crypto AML, DeFi compliance research (https://www.chainalysis.com)
- EBA AML — European Banking Authority — AML guidelines, RTS consultations, risk factors (https://www.eba.europa.eu/regulation-and-policy/anti-money-laundering-and-countering-financing-terrorism)
- ECB — European Central Bank — AML/CFT policies for the euro area (https://www.ecb.europa.eu)
- Europol — EU law enforcement — money laundering investigations, FIU cooperation, reports (https://www.europol.europa.eu)
- FATF — Financial Action Task Force — global AML/CFT standards and grey/black lists (https://www.fatf-gafi.org)
- FCA — UK Financial Conduct Authority — AML supervision and enforcement (https://www.fca.org.uk)
- FinCEN — US Financial Crimes Enforcement Network — SAR filings, advisories, BSA guidance (https://www.fincen.gov)
- FinCEN Press — FinCEN press releases — rulemakings, advisories, enforcement orders (https://www.fincen.gov/news/press-releases)
- FINTRAC — Canada's Financial Transactions and Reports Analysis Centre (https://www.fintrac-canafe.gc.ca)
- Egmont Group — Egmont Group of Financial Intelligence Units — global FIU network (https://egmontgroup.org)
- Global Financial Integrity — Illicit financial flows research — trade-based ML, beneficial ownership, tax evasion (https://gfintegrity.org)
- Gibson Dunn AML — Law firm analysis — AML enforcement, BSA developments, regulatory trends (https://www.gibsondunn.com/practice/anti-money-laundering/)
- MoFo AML — Morrison Foerster — AML quarterly newsletters, regulatory analysis (https://www.mofo.com/capabilities/bsa-aml-advisory-compliance-enforcement)
- OFAC — US Office of Foreign Assets Control — sanctions lists, enforcement actions (https://ofac.treasury.gov)
- Payments.org — Payments industry — travel rule, virtual asset compliance (https://www.payments.org)
- Wolfsberg Group — Global banking association — CDD/EDD standards, financial crime principles (https://www.wolfsberg-group.org)
Article Metadata
Bloom Taxonomy Questions
What are the core concepts in Compliance?
How do the concepts in this glossary relate to each other?
How would you use these terms when analyzing a real-world scenario?
Further Reading
FATF
Financial Action Task Force — global AML/CFT standards and grey/black lists
FinCEN Press
FinCEN press releases — rulemakings, advisories, enforcement orders
ACAMS
Association of Certified Anti-Money Laundering Specialists — training, research, typologies
FinCEN
US Financial Crimes Enforcement Network — SAR filings, advisories, BSA guidance
OFAC
US Office of Foreign Assets Control — sanctions lists, enforcement actions
AMLA
EU Anti-Money Laundering Authority — rulebook, RTS, direct supervision
Feynman Concept Cards
Master each concept: read the ELI5, explore analogies, work examples, and teach it back.
AI in AML Surveillance is a concept in advanced techniques. In simple terms, AI in AML Surveillance covers advanced techniques in Compliance. This compliance concept addresses key topics in the advanced techniques in compliance domain. Also known as: AML AI, machine learning A
Analogy
Example
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Explain AI in AML Surveillance as if teaching a colleague who is new to advanced techniques. Cover: what it is, how it works, and why it matters.
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Know Your Customer (KYC) is a concept in cdd kyc. In simple terms, Know Your Customer (KYC) covers customer due diligence within Compliance. This compliance concept addresses key topics in the customer due diligence within compliance domain. Also known as: KYC, know-
Analogy
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AML Audit & Examination is a concept in risk assessment. In simple terms, AML Audit & Examination covers risk assessment for Compliance. This compliance concept addresses key topics in the risk assessment for compliance domain. Also known as: AML audit, regulatory examinati
Analogy
Example
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Global Sanctions Regimes is a concept in sanctions. In simple terms, Global Sanctions Regimes covers sanctions compliance in Compliance. This compliance concept addresses key topics in the sanctions compliance in compliance domain. Also known as: OFAC, EU sanctions, UN
Analogy
Example
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AML Oracle & AI Decision Systems is a concept in regtech. In simple terms, AML Oracle & AI Decision Systems covers regulatory technology for Compliance. This compliance concept addresses key topics in the regulatory technology for compliance domain. Also known as: AML AI, de
Analogy
Example
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Research is a concept in specialized. In simple terms, A concept related to research
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