General

An investment compliance role is responsible for ensuring that a financial institution or investment firm complies with all relevant laws, regulations, and internal policies and procedures when making investment decisions. This includes reviewing investment proposals and transactions to ensure that they are in compliance with legal and regulatory requirements and do not pose any unnecessary risks to the firm or its clients.

In terms of value creation, an investment compliance role can contribute in several ways:

1. Protecting the firm’s reputation: Ensuring compliance with laws and regulations helps to maintain the firm’s reputation as a trustworthy and responsible investment manager, which can enhance its reputation and attract new clients.
2. Reducing risk: By identifying and preventing non-compliant activities, an investment compliance role can help to reduce the risk of financial losses or regulatory penalties, which can preserve and even enhance the firm’s value.
3. Facilitating efficient operations: A well-run compliance program can help to streamline investment processes and ensure that the firm’s operations are running smoothly and efficiently, which can improve the firm’s overall performance and create value for its stakeholders.
4. Enhancing transparency: By promoting transparency and disclosure in investment activities, an investment compliance role can help to build trust with clients and other stakeholders, which can create value for the firm.

there are 2parts to this question

Should I join? : Absolutely No. If you are ambitious in Finance then you should never join a compliance division. if you are a fresher, then yes compliance can be a gateway to something big.

How lucrative is the Investment compliance division of an Investment Management firm? – Irrespective of the region, this is a lucrative field. The reason being you get a deeper understanding of the regulatory environment.