The abbreviation LEI stands for Legal Entity Identifier. LEI is a unique alphanumeric code consisting of 20 characters. The International Organization of Standardization (ISO) has developed this LEI code based on the IOS 17442.
The LEI code is taken by all the entities which trade in financial markets (forex, futures, bonds, stocks, etc.). This code is necessary to connect the financial markets, companies, and regulators. As the worldwide financial crisis of the year, 2007-08 has given rise to the need for financial transactions transparency.
Each LEI code contains crucial information about an entity’s ownership structure. Thus it is capable of answering questions like ‘who is who and who owns whom’. Owning an LEI code is a must as the LEI data works as a global directory, which helps in enhancing transparency in the global marketplace. To avoid the financial risk of individuals and business identity it is better to obtain the LEI code, this offers transaction’s reliability. see offer here.
One can obtain an LEI code by following these steps:
. Document list
First of all, log on to the online portal and get access to the downloads tab. The checklist of the required documents with the specific formats necessary for the submission is available there only. These are based on the legal structure of the entity.
. Self-registration on the online portal
A person must be appointed as an authorized person to carry out and look over the whole process of obtaining the LEI code. Only this authorized person can create an account, provide his official email id and proceed to fill up the necessary online forms.
The LEI registration form consists of 5 pages including a payment gateway too. These pages are:
- Company information page
- Holding company page
- Ultimate parent page
- Payment page
- Upload page
. Submission of the documents
After the self-registration process, the applicant entity has to upload all the necessary documents with are mentioned in the received email. The size of the documents should be uploaded must be 40MB. If the documents can not be successfully uploaded then the applicant can send the documents by courier at the address of the CCIL office.
. Verification process
Once the documents get successfully uploaded or sent physically to the CCIL office. Then, the verification process begins. Here the documents get verified by the
LEIL along with the filled application form. If the LEIL felt necessary then they can ask for additional documents too. If LEIL found some changes to be made and they are needed. Then they can also direct the entity to make necessary changes in the application form online.
. Issue of an LEI code
After the successful submission and verification of the application form and the related necessary documents the authority issue the LEI code to the entity. that
The issued LEI code will be further sent to the email address of the entity, and this code must be provided to the banks.
After some period the applicant needs to renew the code for further use.