The global legal entity identifier (LEI) system, spearheaded
by a group of global financial trade associations, will launch
by March 2013. But much must be resolved before regulators
worldwide can issue LEIs.
The need for corporate IDs was born out of the financial
institution collapses during the global crisis, when regulators
were unable to determine which other institutions had
transacted with, and be impacted by, the failed bank.
"The LEI is a single tool that shines some light where
things have been very opaque in the past," says Rebecca Terner,
executive director of policy and regulatory affairs at the Asia
Securities & Financial Markets Association (Asifma). "While
it's not the panacea that's going to save the world, it does
play an integral role...