CounterpartyLink is accelerating provision of legal entity data to its customers through the integration of Datactics’ data quality and matching software with its workflows.
Realising the need to increase the speed of entity data delivery and reduce manual data matching processes across its database of over 350,000 entities, CounterpartyLink contemplated building its own data matching engine and considered a few vendor tools before selecting Datactics’ FlowDesigner software. The selection was made on the basis of the software’s speed of implementation and ease of integration with the company’s existing workflows, as well as its ability to handle large volumes of data and accelerate and simplify core tasks. The software also plays into CounterpartyLink’s provision of information on legal entities in more than 200 jurisdictions with support for many languages and information formats.
The company’s first use of FlowDesigner was a proof of concept focused on Legal Entity Identifiers (LEIs). The software was used to match, validate and integrate LEIs with CounterpartyLink’s entity database. Carl Needham, director of operations at CounterpartyLink, says: “We need to keep our customers up to date on all entities that have LEIs. Using FlowDesigner we can match a complete LEI file to our database every day. We can do this in about 30 minutes and add LEIs that have been issued by Local Operating Units in the past 24 hours. Previously, we used a mainly manual process, running the file every two weeks and taking about two weeks to match everything. Our customers wanted more speed, FlowDesigner gives us a massive improvement in efficiency.”
With LEI matching in place, CounterpartyLink has gone on to use the Datactics software for other purposes, including matching its database against a file of Global Intermediary Identification Numbers, the so-called GIIN identifiers required by foreign financial institutions subject to the Foreign Account Tax Compliance Act. It is also using the software to power client file matching on a bespoke basis.
Needham explains: “Rather than finding changes to data, we are provided with the changes by FlowDesigner and can then check the changes and upload them to the database. There is still manual work to be done, but the software has freed up more time for our researchers to check changes and effect them on the database.”
Stuart Harvey, Datactics’ CEO, joined the company about 18 months ago to extend its reach beyond healthcare, government and supply chain industries to capital markets. He comments: “We are using best practice from other sectors and focussing on risk and compliance in capital markets. CounterpartyLink is our first major client in this space.”