We guarantee secure financial transactions and unlimited capacity to act in accordance with the law on financial markets. If your company does not yet have an LEI, you can apply for your LEI from one of the following international registries, including the Register of Legal Entity Identifiers – LEIReg of the Bundesanzeiger Verlag, www.leireg.de. In response, the LEI system was developed by the G20 in 2011[4] in response to the inability of financial institutions to clearly identify organizations so that their financial transactions can be fully tracked in different national jurisdictions. [5] Currently, the Legal Entity Identifier Regulatory Oversight Committee (LEI ROC), a coalition of financial regulators and central banks from around the world, promotes the expansion of the LEI. The United States and European countries require companies to use the legal entity identifier when reporting details of OTC derivatives transactions to tax authorities. [ref. needed] Today, authorities in 45 jurisdictions require the use of the LEI code to identify legal entities involved in various financial transactions. [ref. needed] There are a number of LEI issuers around the world that issue and store identifiers and act as primary interfaces to the global repository, usually these are financial exchanges or financial data providers. These are accredited by the Global Legal Entity Identifier Foundation (GLEIF) for LEI issuance.

Our comprehensive LEIReg service, which also includes our auto-renewal and registration service, ensures that you can act and remain legally compliant in international financial markets without any effort. The other part of the baseline, the “level 2” data, answers the question “Who owns whom?” Where appropriate, it allows the identification of the direct and ultimate parent companies of a legal entity. The Legal Entity Identifier (LEI) is a globally unique identifier for legal entities involved in financial transactions. [1] It is also known as the LEI code or LEI number and is used to identify legal entities in a globally accessible database. Legal entities are organizations such as companies or government agencies involved in financial transactions. One person cannot obtain an LEI. [2] The identifier is used in regulatory reporting to financial regulators and all financial companies and funds must have an LEI. The Local Operating Unit (LOU) responsible for awarding the LEI was Bundesanzeiger Verlag GmbH (Germany). The first award took place on 11.05.2017 (see www.leireg.de). Even if the LEI code of a legal entity follows the ISO technical specification, the LEI code itself does not provide valuable information, but only serves to uniquely identify each entity. The Legal Entity Identifier (LEI) is a 20-digit alphanumeric code based on ISO 17442 developed by the International Organization for Standardization (ISO). It connects to important reference information that allows clear and unambiguous identification of legal entities involved in financial transactions.

Each LEI contains information about a company`s ownership structure, answering the questions “who is who” and “who owns whom”. Simply put, the publicly available LEI database can be considered a global directory, which greatly increases transparency in the global marketplace. The publicly accessible LEI database is a unique key to obtaining standardized information on legal entities worldwide. Data are recorded and regularly reviewed in accordance with protocols and procedures established by the Regulatory Oversight Committee. The benefits generated by the Global LEI Index for the wider business community increase with the rate of LEI adoption. Therefore, in order to maximize the benefits of identifying companies in the capital markets and beyond, companies are encouraged to participate in the process and obtain their own LEI. Getting an LEI is easy. Registrants simply contact their preferred trading partner from the list of LEI issuing organizations available on the GLEIF website. ▶️Bundesanzeiger Verlag – www.leireg.de/de/ As stated above, in accordance with Article 26 of MiFID, the buyer and seller of the respective financial instrument must be reported. Due to the extension of the reporting obligation under Article 26 of the MIFR, the obligation to apply for an LEI also affects many foundations, including charitable foundations, which invest their foundation assets in financial instruments in accordance with their investment guidelines. Download our free white paper with important information about the LEI here (only available in German). In order to create transparency, the use of the LEI as an identification number was initially decided in the field of OTC derivatives trading in September 2009 at the G-20 Summit in Pittsburgh.

After creating a user account, the reference data of the company or foundation for which an LEI is to be requested must be entered using a ready-to-use mask. This data includes: The LEI is a globally valid identification number for independent legal entities in the financial market, which serves to uniquely identify each contractual partner and each financial transaction. It was introduced at the initiative of the G20 to improve the transparency of international financial transactions. The LEI can help improve internal risk management and facilitate the implementation of compliance requirements. Entrust us with the administration of your LEI, focus on your core business and use your own resources cost-effectively! In addition, the applicant must authorize itself as an authorized representative vis-à-vis the LEI issuer. This can be proven on the one hand by the digital entry of an extract from the commercial register, if the right is based on an organic position, or by the digital addition of a power of attorney, if the authorization is based on a legal power of representation. Investment services providers subject to the reporting obligation for such transactions and branches in countries outside the European Economic Area shall ensure that their LEI-enabled clients have an LEI in place prior to the execution of the transaction in order to be able to correctly identify them in the reports. Otherwise, the institution will not be able to carry out the reportable transactions. These clients are therefore encouraged to apply for an LEI. On 10.06.2021, BaFin supplemented module C of its Issuer Guide with specific guidelines for credit and financial institutions.