LEI codes required for cross-border payment transfers
In 2027, everyone will need to have an LEI code. This includes you.
We have had a lot of talks with hedge funds, banks, and asset managers, all of whom lost their LOU when GMEI exited the LEI space. The majority of these companies signed up with GMEI several years ago because they used DTCC as their clearing firm.
They have had major frustrations with GMEI due to poor communications and ditto customer service. As a consequence, they have become used to having zero expectations of their LEI administrator. In our opinion, this is not the way it’s supposed to work. You should be able to expect a lot more from your LEI provider.
An LEI provider should save you time and trouble by offering the following:
PLATFORM aggregating all your LEI codes across geographies and jurisdictions - Can your LEI provider handle all jurisdictions? Some providers may be able to register a company, but not funds in a jurisdiction.
QUALITY CUSTOMER SERVICE - Can you pick up the phone and contact your LEI provider directly?
A good LEI provider keeps investing in its technical infrastructure, so they can provide all these things - as well as respond to specific requests. So you should not abstain from asking and expecting more from your LEI provider. After all, compliance tools are supposed to be a value-add, not just a must-have.
Please contact us here, if you have any questions or need help.
In 2027, everyone will need to have an LEI code. This includes you.
All companies participating in financial transactions must have an LEI code.
David Silverman, the CEO of Global FinReg, is interviewed on the 'The Laundry' podcast.
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