About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

Regulatory Oversight Committee of the LEI Revises Policy on Level 2 Data Reporting

Subscribe to our newsletter

The Regulatory Oversight Committee (ROC) of the Global LEI System (GLEIS) has revised two elements of policy covering the reporting of LEI parent relationship data, also known as Level 2 data.

To improve the usability of Level 2 data, the ROC has revised the list of opt-out reasons that can be used by an entity to decline providing information on its parents. The aim of the revision was to consolidate opt-out reasons to facilitate best use of them while retaining the most valuable and used information.

The decision to streamline the list of opt-outs was made at the ROC’s June 2021 meeting and based on statistics from the Global LEI Foundation (GLEIF) that highlighted the most used opt-outs. It resulted in the consolidation of five opt-outs in the ‘non-public’ category into a single opt-out, also called ‘non-public’. The five consolidated opt-outs are binding legal constraint, legal obstacles, disclosure detrimental, detriment not excluded, and consent not obtained.

The resulting ‘non-public’ opt-out joins existing and lasting opt-out categories of natural person(s), no LEI, no known person, and non-consolidating.

The ROC has also decided to discontinue collection of Provisional Node Identifier (PNI) data for parents without LEIs. This decision resulted from a pilot programme that collected metadata on parents without LEIs and assigned these parent entities PNIs as identifiers to supplement Level 2 data collection. The extended Level 2 information was internal to the GLEIS and made available to ROC members for evaluation purposes only.

The ROC recently undertook an analysis of the usefulness of the PNI data for ROC members. It showed that PNI data roughly doubled the information on the parents of LEI registrants available to regulators, but concluded that PNI data collection should be discontinued as the added value of continuing PNI data collection would be outweighed by the cost of cleaning the data to remove duplicates and address other data quality issues.

Instead, the ROC recommends that efforts and resources dedicated to PNI data collection should be redirected to improving the collection and validation of LEI registrants data on their parents, which is a key component of the quality of the LEI data.

You can read more detail about the ROC revisions to reporting LEI parent relationship data here. And we will be back soon with a review of the LEI’s progress through 2021 and the GLEIF’s plans for the identifier through 2022.

Subscribe to our newsletter

Related content


Recorded Webinar: How to automate entity data management and due diligence to ensure efficiency, accuracy and compliance

Requesting, gathering, analysing and monitoring customer, vendor and partner entity data is time consuming, and often a tedious manual process. This can slow down customer relationships and expose financial institutions to risk from inaccurate, incomplete or outdated data – but there are solutions to these problems. This webinar will consider the challenges of sourcing and...


Bloomberg and Kaiko Expand FIGI Cover for Crypto Assets

Bloomberg and Kaiko, a cryptocurrency data provider, have announced that Financial Instrument Global Identifiers (FIGIs) now cover almost 8,000 crypto assets and suggest this makes the FIGI the most widely used open identifier in the space. The companies issued the first series of FIGIs to cover crypto assets in 2021 as a push for standardisation...


RegTech Summit New York

Now in its 8th year, the RegTech Summit in New York will bring together the regtech ecosystem to explore how the North American capital markets financial industry can leverage technology to drive innovation, cut costs and support regulatory change.


Entity Data Management

Entity data management has historically been a rather overlooked area of the reference data landscape, but with the increase focus on managing risk, the industry is finally taking notice. It is now generally agreed to be critical to every financial institution; although the rewards for investment in entity data management appear to be rather small,...