The Global Legal Entity Identifier System: How Can It Deliver?

摘要

We examine the global legal entity identifier (LEI) system for the identification ofparticipants in financial markets. Semi-structured interviews with data professionals revealed themany ways in which the LEI can improve both business process efficiency, and counterparty andcredit risk management. Larger social benefits, including the monitoring of systemic financial risk, areachievable if it becomes the accepted universal standard for legal entity identification. Our interviewsalso review the substantial co-ordination and investment barriers to LEI adoption. To address these,a clear regulatory-led road map is needed for its future development, with widespread application inregulatory reporting.