Authorized by Regulatory Oversight Committee (ROC), London Stock Exchange takes care of allocating LEIs to all local legal units. It acts as the Local Operating Unit (LOU) that processes the applications of all legal entities based on the guidelines set by ROC. Once the entire processing is complete, it allots a unique Legal Entity Identifier to the concerned party.
How does it help?
The concept of LEI has been endorsed by G20 nations and is believed to be a very potent weapon against the rising trend of financial fraudulence. With the help of LEI, all legal entities across the globe get that special layer of identification that makes all concerned parties in a financial transaction feel a lot safer. Every single involved entity is allotted a unique LEI number which can be checked by anyone and from anywhere. This helps people to quickly identify a concerned entity and even know the basic things such as ownership details.
What role does the London Stock Exchange play?
Since 31 July 2013, the London Stock Exchange has been tasked with allotting LEI codes to individual entities. The codes are being issued with the help of UnaVista platform. This makes sure that the entire Stock Exchange Data is in a single database, making it easier to search. The concerned LEI records are thoroughly crosschecked before filing a new data to avoid having duplicate entries. This ensures that the database remains accurate and reliable.
The interface on offer is extremely user-friendly and doesn’t require any technical knowledge to operate. Users can easily search any legal entity with the help of the search buttons. With the option of self registration, the power lies in the hands of the users. One can choose to submit the required details and supporting documents to get registered in almost no time. For people wanting to search or register more than 10 LEI records at the same time, the option of bulk search has been introduced.
Another very important factor linked with such databases is maintenance. London Stock Exchange ensures that the entire database and supporting security arrangements are thoroughly maintained. The introduction of interactive dashboards has also made life easier for users with simple overview of overall information.
What is the cost involved?
Getting registered will cost an initial fee of 185 pounds plus taxes. The fee includes the maintenance charge of 70 pounds. However, for companies that need bulk registrations, separate schemes are available.
Wrapping it up
When it comes to financial transactions, the growing need for transparency and safety is definitely the need of the hour. This is where global LEI come into the picture. The stock exchange of London takes care of the legal entities and forms a local operating unit of the global network.