The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

S&P Capital IQ Stands Ready to Fulfil Regulatory Oversight Committee Requirement for LEI Hierarchy Data

S&P Capital IQ is ready to meet the data hierarchy requirements for Legal Entity Identifiers (LEIs) that are expected to be set out by the Regulatory Oversight Committee (ROC) of the Global LEI System towards the end of this year. The company’s offer is based on existing products and can extend beyond LEI hierarchy data to link entities not only to ultimate parent companies but also to instruments at the trading level.

The company made its first commitment to entity hierarchy data a decade ago when it introduced Crosswalk, a solution that tracks instrument ownership from issuer to domestic and global parent companies. In 2013, S&P Capital IQ introduced its Business Entity Cross Reference Service (BECRS), which provides immediate hierarchy and cross reference capabilities for almost 6 million public and private entities using standardised and proprietary identifiers including the global LEI, S&P Capital IQ Company ID, S&P Capital IQ Ultimate Parent ID, rating agency identifiers and Cusip issuer numbers.

In 2014, the company went on to add a Global Instruments Cross Reference Service (GICRS) that resolves the securities numbering problem in a global trading and processing environment by allowing access to a comprehensive database of security identifiers that cross reference almost 19.5 million instruments.

Lance Risi, global product manager of cross reference solutions at S&P Capital IQ, explains: “We have a hierarchy solution that links LEIs to associated entities up and down a corporate structure, as well as to securities associated with those entities. To date, we have captured 90% of LEIs and we will soon reach 100%. We source LEI data directly from Local Operating Units within the Global LEI System and cleanse the data before it is distributed.”

While customers can select standalone data services covering entity level identifiers via BECRS or instrument level identifiers via GICRS, Risi says most customers subscribe to S&P Capital IQ’s complete cross reference solution, which allows clients to link from the trading level up to the ultimate parent for a top down view of an entire corporate structure. Many of the company’s customers are financial institutions that can benefit from cross reference services when complying with regulations such as Solvency II, Dodd-Frank and European Market Infrastructure Regulation. Other use cases for S&P Capital IQ’s cross reference solution, which is delivered using the company’s Xpressfeed data feed management solution, include internal risk management and sanctions screening.

Related content

WEBINAR

Recorded Webinar: Data Standards – progress and case studies

Global data standards and identifiers are essential to business growth, market stability and cost reduction – but they can be challenging to implement, while a lack of consistency across jurisdictions has presented obstacles to global take-up. However, with regulators starting to sit up and take note, the issue of data standards is coming increasingly to...

BLOG

DSB Managing Director Emma Kalliomaki Outlines Issues in Progressing the UPI

As the Derivatives Service Bureau’s (DSB’s) first round of industry consultation on fee principles for the Unique Product Identifier (UPI) plays out, we talked to Emma Kalliomaki, managing director of ANNA and the DSB, about some of the issues involved in getting the UPI up, running and ready for its Q3 2022 release. Early conversations...

EVENT

RegTech Summit New York City

Now in its 5th year, the RegTech Summit in NYC explores how the North American financial services industry can leverage technology to drive innovation, cut costs and support regulatory change.

GUIDE

RegTech Suppliers Guide 2020/2021

Welcome to the second edition of A-Team Group’s RegTech Suppliers Guide, an essential aid for financial institutions sourcing innovative solutions to improve their regulatory response, and a showcase for encumbent and new RegTech vendors with offerings designed to match market demand. Available free of charge and based on an industry-wide survey, the guide provides a...