LEI Relationship Reporting Commences
The next step in the evolution of the Legal Entity Identifier has commenced with locally authorised LEI issuers (known as LOUs) now seeking information about the relationships between companies and their parent-entities. Over time this reporting will develop an extensive network of “Who owns Whom” connections which will provide new ways to understand counterparty risks and opportunities. Alf Heidemann, from Germany’s Bundesanzeiger described the process that companies go through to provide this additional information and the benefits that will accrue as the network effect (literally) takes hold.
