Interactive Data is adding support for ISO 17442-based entity identifiers to its Business Entity Service, which provides data and corporate hierarchy information, beginning with the CFTCs Interim Compliance Identifiers (CICI).
CICIs are the interim identifiers used by the CFTC prior to the launch of an official global legal entity identifier (LEI) system. CICIs follow the model expected to be used by the G20 Financial Stability Board for LEIs, and will become LEIs once those are approved by the regulators.
CICIs are now required by the CFTC for OTC derivatives trade reporting.
Interactive Datas Business Entity Service extends LEI information to include portions of the corporate structure that are not directly involved in financial transactions, including entity, parent and ultimate parent levels for entities that have issued securities. Interactive Data will continue to expand coverage of the Business Entity Service by mapping and cross-referencing new LEI schemas as they are introduced to the existing data within the service, it says.
We see the introduction of the LEI as an opportunity to go beyond simply providing the identifier, says Mark Hepsworth, president of Pricing & Reference Data at Interactive Data. By linking it to entity hierarchies and their issued securities we can provide clients with a more comprehensive solution to monitor risk exposure and see a more complete risk profile.
Integrating the CICI within our Business Entity Service and existing reference data products gives each security a connection to an entity identifier, where one exists, Hepsworth continues. The linkage delivered in these products shows the inter-relationships between financial instruments, issuers and market data to provide risk managers with the means to identify and manage risk exposure across the enterprise, something that cannot be achieved with the LEI alone.
(CG)