Entities and Ownership glossary
Browse the site's published reference terms and opted-in content.
8 entries in this view.
B
BO (Beneficial Owner)Glossary term
The real person who ultimately owns or controls a client. Where a client is a company, you are looking for the individual or individuals who actually exercise control, whether through shareholding, voting rights, or other means.
K
KCA (Known Close Associate)Glossary term
Someone with a close financial or business relationship with a Politically Exposed Person. This could mean jointly owning an entity with a PEP, or being the sole owner of an entity set up for a PEP's benefit.
N
NomineeGlossary term
A person who holds something — shares, assets, or a directorship — on behalf of someone else. The nominee is the name on the register; the person behind them is the one you need to identify.
P
PEP (Politically Exposed Person)Glossary term
Someone who holds, or has held, a senior public position — government ministers, senior judges, senior military officers, directors of state-owned companies, and heads of international organisations. Public roles can create opportunities for corruption, so PEPs always require Enhanced Due Diligence. The label also extends to immediate family and known close associates.
PSC (Person with Significant Control)Glossary term
The individual or individuals who can meaningfully influence or control a UK company. Companies must keep a PSC register at Companies House. Where your CDD turns up information that does not match the register, you are required to report the discrepancy.
R
RCA (Relative or Close Associate)Glossary term
A family member or close associate of a PEP. The same enhanced due diligence requirements that apply to the PEP apply to their RCAs.
S
Shell CompanyGlossary term
A company that exists on paper but has no real operations, staff, or physical presence in the country where it is registered. Some legitimate holding structures use them, but they are also a common feature of money laundering arrangements because they obscure who actually owns what.
U
UBO (Ultimate Beneficial Owner)Glossary term
The natural person at the very top of an ownership chain. When you peel back layers of corporate structure, the UBO is the human being who ultimately owns or controls the client. Your CDD obligation is to identify and verify this person, not just the entity you are dealing with directly.