Compliance Officer

AAA

DEFINITION of 'Compliance Officer'

An employee whose responsibilities include ensuring that the company complies with its outside regulatory requirements and internal policies. A compliance officer may review and set standards for outside communications by requiring disclaimers in emails, or may examine facilities to ensure that they are accessible and safe. Compliance officers may also design or update internal policies to mitigate the risk of the company breaking laws and regulations, as well as lead internal audits of procedures.

INVESTOPEDIA EXPLAINS 'Compliance Officer'

Compliance officers are expected to provide an objective view of company policies. Influence by other employees, including management and executives, to overlook infractions may result in significant fines or even business closure. Larger companies typically have a Chief Compliance Officer (CCO) to direct compliance-related activities.

RELATED TERMS
  1. Governance, Risk Management and ...

    An integrated approach used by corporations to act in accordance ...
  2. Compliance Examination

    A periodic examination of banks to make sure banks are operating ...
  3. Compliance Department

    The department or unit within a brokerage firm, bank or financial ...
  4. Internal Audit

    The examination, monitoring and analysis of activities related ...
  5. Internal Controls

    Methods put in place by a company to ensure the integrity of ...
  6. Sarbanes-Oxley Act Of 2002 - SOX

    An act passed by U.S. Congress in 2002 to protect investors from ...
Related Articles
  1. Professionals

    What's the average salary of a compliance officer?

    Learn about compliance officers, the locations and industries in which compliance officers work and how much they earn on average.
  2. Fundamental Analysis

    How The Sarbanes-Oxley Era Affected IPOs

    After the infamous collapse of companies like Tyco, Enron and WorldCom, the government responded to try and prevent it from happening again.
  3. Professionals

    Get A Job In Compliance

    If you're a stickler for rules, this could be a promising career path for you.
  4. Professionals

    On The Record: Communications With The Public

    NASD Rule 2211 can make or break your career as a registered principal.
  5. Professionals

    A Look At Entry-Level Careers In Finance

    Learn more about the career options that are available to you after you've obtained your finance degree.
  6. Economics

    The Pitfalls Of Financial Regulation

    Regulatory actions usually have lofty intentions that end up with unintended and negative consequences.
  7. Options & Futures

    Financial Regulators: Who They Are And What They Do

    Find out how these government agencies govern the financial markets.
  8. Professionals

    How to Choose a Robo-advisor? Follow the Money

    Which of the many robo-advisors will still be around in a decade? Here's an informal look at who might thrive and who might simply survive.
  9. Economics

    America's Most Notorious Corporate Criminals

    Learn about the crimes and punishments of some of the most infamous convicted white-collar crooks.
  10. Investing Basics

    Why Do Penny Stocks Fail?

    Penny stocks are speculative and highly risky investments. Lack of government and stock exchange oversight and general information leaves penny stock investors open to sudden losses.

You May Also Like

Hot Definitions
  1. Treasury Bond - T-Bond

    A marketable, fixed-interest U.S. government debt security with a maturity of more than 10 years. Treasury bonds make interest ...
  2. Weight Of Ice, Snow Or Sleet Insurance

    Financial protection against damage caused to property by winter weather specifically, damage caused if a roof caves in because ...
  3. Weather Insurance

    A type of protection against a financial loss that may be incurred because of rain, snow, storms, wind, fog, undesirable ...
  4. Portfolio Turnover

    A measure of how frequently assets within a fund are bought and sold by the managers. Portfolio turnover is calculated by ...
  5. Commercial Paper

    An unsecured, short-term debt instrument issued by a corporation, typically for the financing of accounts receivable, inventories ...
  6. Federal Funds Rate

    The interest rate at which a depository institution lends funds maintained at the Federal Reserve to another depository institution ...
Trading Center