How To Renew LEI Code4 min read
LEI code, or Legal Entity Identifier code is a unique identification code for entities which trade in financial markets, including stocks, forex, bonds, etc. Every deal conducted in the markets will connect to the other counterpart with LEI. It is also used for regulators to oversee financial markets.
Before we delve into LEI code renewal, it is important to discuss what the LEI code is.
Code Form Of LEI
The LEI code does not include embedded intelligence, neither it is like country codes, which can cause confusion and complexity for users. It is based on four simple principles:
1. It is a global standard.
2. Every legal entity is given one unique identifier.
3. It is available publicly and is free of charge to all users.
4. It has high quality data support.
The LEI code has 20 characters and the following structure:
Letters 1-4 are different for each LOU (Local Operating Unit) and affixed to the ROC Secretariat. 5-6 characters are reserved characters (00). Items 7-18 include a 12-character reference provided to LOU in a particular business based on clear and sound distribution policies. Numbers 19-20 are two check numbers under ISO 17442.
LEI Code Renewal:
The LEI code can be obtained by following the steps mentioned below:
You can log on the online https://leizone.eu/ portal:
The checklist for the documents and their specific formats necessary for submission are available here based on the legal structure of the entity.
Self-Registration On The Online Portal:
A person must be appointed as the authorized person to look over and carry out the process of obtaining the LEI Code. A person may be appointed as an authorized person by way of a resolution, power of attorney or voluntarily, as the case may be. This authorized user has the permission to create an account, providing their official email ID and proceeding to fill up the online form. Authorized persons include:
- Primary/Main user who submits the online application form. – Authorized User
- Name and email ID of the authorised officials named in the online form.
- Secondary User – Name and email id of the secondary authorised officials named in the online form.
- The LEI registration form consists of 5 pages in total, including the payment gateway.
- Company Information Page: All the basic details of the company are entered on this particular page.
- Holding Company Page (Direct Parent Information Page): Details of the parent company are to be filled in here.
- Ultimate Parent Page: Where the company is a step-down subsidiary, along with the parent’s details, the ultimate parent’s details are also to be provided.
- Payment Page: The payment for the form is to be made once it is complete.
- Upload Page: The necessary documents are uploaded on this page. Once the form is filled, the payment page offers the option to either make the payment online immediately or to choose the option of a demand draft. If any of the online payment options are chosen, following which the “Save and Submit” option is selected, once the payment is received by the Legal Entity Identifier a reference number is generated, which becomes key in any future communication between the parties. In addition to the reference number, an email is also sent, detailing the list of documents to be submitted to the Legal Entity Identifier. If the demand draft option is selected, following which the “Save and Submit” option is selected, the reference number and email are generated immediately.
- Submission of the documents: The applicant entity will have to upload all the necessary documents mentioned in the email. The total size of the uploaded documents should be 40MB.
- Verification process: Once the documents are uploaded or sent physically, they will be verified by the Legal Entity Identifier along with the application form. If necessary, the Legal Entity Identifier may ask for additional documents as well. The applicant entity may also be directed to make changes in the application form online by the Legal Entity Identifier.
- Issue of LEI Code: The LEI code will be issued on the successful submission and verification of the form and the related documents. The LEI code will be sent in an email to the entity, and this code must be provided to the banks.
Renewal Of The LEI Code
The LEI code is usually valid for one year. In order to continue using the code, it must be updated on the application form. This can be found on the same online portal; the only difference is that you select the “Repair and Update” option and not the “Register” option. Also, any changes in this section will also require an authorized person to do so.
In the form, once the LEI Code is entered, all details appear automatically. Any changes that will be made will take place automatically. The “LEI Renewal” checkbox should be checked to the right and the same procedure for completing the form, payment and submission of the document must be followed. After successful submission of all of the above, the LEI Code will be renewed, and the same confirmation is accepted.
A Final Word
Here, we discussed the details of LEI code, and the way you can create and renew it. Follow the above-mentioned procedure to renew your LEI code.