The global LEI system
The LEI system makes it possible to uniquely identify legal entities and their financial transactions.
The purpose of the global LEI-code system is to identify legal entities conducting financial transactions. At Global FinReg, we ensure that our customers' LEI data is updated continuously, so their LEI code is always valid. This way, our customers don’t experience disruptions to their business activities, and they don’t risk being sanctioned by their bank.
LEI codes help the authorities monitor the markets and assess risks, but they are also used by companies wanting to reduce counterparty risks and ensure operational efficiency. You can look up a company’s LEI code by use of the GLEIF search database.
If you need help with updating your LEI data or renewing your LEI code, you may contact us here.
The LEI entity data can be divided into two levels. They are referred to as Level 1 and Level 2 data.
Level 1 data contains information such as the legal name, registered address, country of formation, and important registration dates. Level 2 data contains information about ownership and company structure.
Level 1 data is a minimum requirement for an LEI code and effectively answers the question, ‘Who is who.’ It contains the following information:
Level 2 data is about the entity's ownership and ownership structure and answers the question, ‘Who owns whom.’ Owner means the legal owner, i.e., the direct accounting consolidating parent company, as well as the ultimate accounting consolidating parent company.
If the group structure has several links between the ultimate and the direct parent company, these are not publicized. Only the direct parent and the ultimate parent are relevant when it comes to registering an LEI code. If one of the parent companies has an LEI code, that LEI code will appear on the registration.
The short answer is that you either pick a LEI provider who does it for you - or you check the data yourself.
When we register a new LEI code for a customer, we automatically retrieve the official company data and load it into our database. We are directly connected to local corporate registers via APIs in several countries around the world.
Because of this automated process, 1) your application is error-free, and 2) you save time because you don’t need to provide additional documentation to your LEI code application.
When you have an LEI code registered with us, we will continuously update your company information, so you don’t have to do anything when and if changes occur. We will also take care of updating your LEI data in GLEIF.
If you have an entity without a business number, or if your entity is registered in a country without a publicly available corporate register, you must approve your data once a year to ensure that it’s updated. If there are changes to your data, you must send them to us. It doesn’t cost you anything to submit changes. Other providers may only offer to change your data once a year.
An LEI code is only valid, if the LEI data is correctly registered. If you find out that your LEI data is incorrectly registered, it could be that your LEI code has expired and needs to be renewed. When an LEI code has expired, your data will not be updated, until you initiate a renewal of your LEI code.
However, it could also be that you have an LEI provider that doesn’t automatically update your data. If that is the case, you risk being sanctioned by your bank or the authorities and should consider moving your LEI code to another provider.
If you need help or have any questions, please contact our customer service. You can also read our FAQ here.
The LEI system makes it possible to uniquely identify legal entities and their financial transactions.
If you don't know what an LEI code is or why it's important, please read this article.
Our search function is user-friendly and lets you search for all global LEI codes.
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