Global LEI System Business Report Q2 2023
Global LEI System Business Report | Summary | Q2 2023 | page 02 @ GLEIF LEl issuance and LEI growth potential: State of play In the second quarter of 2023, the overall renewal rate was 59.4%, which Statistics on the reporting of parent information by legal entities is slightly higher than the previous quarter (59.1%). At the end of the At the end of the second quarter of 2023, the total LEl population was quarter, 61.7% of all LEls were in good standing (previous quarter: 61.7%). In the second quarter of 2023, approximately 2.26 million LEI registrants approximately 2.31 million. Around 63,000 LEls were issued during this The renewal rate in the EU increased to 63.9% (previous quarter 63.1%). (previous quarter: 2.19 million), representing 98% of the total LEI quarter, compared to over 63,000 in the previous quarter. This represents In non-EU jurisdictions, it fell slightly to 51.8% (previous quarter: 52%). In population, reported information on direct and ultimate parents. 99.9% a quarterly growth rate of 2.8% (previous quarter: 2.9%). the reporting period, Hungary (94.2%) demonstrated the highest renewal of those LEI registrants who obtained a newly issued LEI or renewed an rates. Other jurisdictions in the top five for renewal rates are Japan existing LEl in this quarter reported parent information. In the second quarter, Saudi Arabia had the highest quarterly LEl growth (91.3%), Finland (86.7%), Liechtenstein (82.1%) and India (80.3%). rate at the jurisdiction level (12.1%), followed by India (8.3%), Sweden The five jurisdictions with the highest non-renewal rates include Saudi In the reporting period, the percentage of legal entities reporting a (7.8%), Tiirkiye (5.4%) and Iceland (5.1%). In Saudi Arabia, India and Arabia (77.6%), China (76.5%), Belize (71.4%), the Russian Federation direct parent with an LEl was 5%. 3% of legal entities reported a direct Turkiye, growth was primarily driven by regulatory requirements and (66.6%) and Thailand (64.8%). parent that does not have an LEI. 87% of legal entities reported no initiatives. In Sweden, the growth was due to a change in practice by direct parent according to the definition used. 5% of legal entities’ Finansinspektionen — the Swedish Financial Supervisory Authority (FSA) — LEl transfers among LEI Issuers relationship information is non-public and therefore creates obstacles regarding LEl obligation under the European Union’s revised Market in to releasing this information. The pattern is almost ide
ntical for ultimate Financial Instruments Directive (MiFID Il), particularly within the insurance In the second quarter of 2023, KELER Central Depository Ltd. (KELER) parent reporting. In the previous quarter, reporting trends are also very industry. terminated its operation. LEls managed by KELER were transferred to GS1 similar. AISBL in this quarter. Competition in the Global LEI System Updates of Common Data File formats Level 1 reference data corroboration This report identifies the least and most competitive markets among those In March 2022, the Common Data File (CDF) formats were updated with over 1,000 LEls, based on the number of LEIl issuers providing services The business card information available with the LEI reference data, such based on the Regulatory Oversight Committee (ROC) policies: in the jurisdiction (the most competitive markets are those with the most as the official name of a legal entity and its registered address, is referred e Legal Entity Events (formerly referred to as “Corporate Actions") and LEl issuers per jurisdiction with similar market share). In the second to as ‘Level 1’ data. It defines ‘who is who’. The Level 1 data is considered Data History in the Global LEl System, quarter of 2023, China, the Netherlands, Slovenia, Poland and Turkiye fully corroborated if, based on the validation procedures in use by the LEI e Policy on Fund Relationships and Guidelines for the registration of were the five least competitive markets, in descending order. The five issuer, there is sufficient information contained in authoritative public Investment Funds in the Global LEI System, most competitive, also in descending order, were Malta, Portugal, sources to corroborate the information provided by the legal entity for o LE| Eligibility for General Government Entities Guidance Document. Bulgaria, Norway and Marshall Islands. There is no significant overall the record. If this is not the case, or the legal entity is not required to file Following these updates, GLEIF has compiled a transition period report change compared to the previous quarter. with a local register’ (e.g. fund or trust), the business card information on these new legal entity categories and the fund relationships reported available with an LEIl record is classified as ‘entity-supplied only’. this quarter. LEl renewal rates In the second quarter of 2023, the percentage of fully corroborated Level At the end of the second quarter of 2023, over 5,100 legal entities were T
he annual renewal process ensures that both legal entities and LEI issuing 1 reference data within the entire LEI population increased slightly to identified as government entities (previous quarter: 5,000), and 32 legal organizations review and re-validate legal entity reference data at least 84.8% (previous quarter: 84.6%). entities were reported as international organizations (previous quarter: once per year. The Global LEI System is unique in providing absolute 30). More than 123,000 legal entities reported their fund relationship transparency regarding when entity data was last verified. structures (previous quarter: 107,000). Among those, 66.4% were funds managed by a main management entity, 33% were sub-funds to umbrella funds, and 0.6% were feeder funds. Feeder funds are those that are exclusively, or almost exclusively, invested in a single other fund or several other funds that have identical investment strategies. L Registration requirements vary based on jurisdiction. Please see the GLEIF Registration Authorities list for further detail: www.gleif.org/en/about-lei/code-lists/gleif-registration-authorities-list © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | | Page 11 L CDF Update Transition Period: Level 2 Fund Relationship L ] Top 5 Jurisdictions of the Legal Entities for legal entities reported Level 2 Fund Relationship Reporting | Fig.-1 level 2 Fund Relationship 21,27 data by the end of Q2 3 19,624 2023 I 9'2I” 7,693 7,376 United States Luxembourg France Japan Ireland Validation status of the fund relationship | Fig.-2 Level 2 Fund Relationship Categories | Fig.-3 12.9% 1.9% | 9f1 (:.6?) 0 i S reeder 1o Entity Supplied Only Partially Corroborated 54,984 (33.0%) Is Subfund Of 110,736 (66.4%) 85.2% Is Fund Managed By Fully Corroborated DISCLAIMER: All figures of this Global LEI System Business Report are derived from the Global Legal Entity Identifier Foundation (GLEIF)‘s LEI-Common Data File (CDF) format version 3.1, Relationship Record (RR) CDF format version 2.1 and Reporting Exceptions format version 2.1 excluding LEIs with registration statuses DUPLICATE, ANNULLED and RETIRED. While every care has been taken in the compilation of this information, GLEIF will not be held responsible for any loss, damage or inconvenience caused because of inaccuracy or error within the Global LEI System Business Report. The text and graphic content of the Global LEI System Business Report may be used, printed and distributed ONLY with the copyright information displayed (© Copyright Global Legal Entity Identifier Foundation (GLEIF)). © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | 02 2023 | page 03 © . ____________________________________________________________________________________________________________________] Level 1 Data Report Q2 2023 1 Active LEIs Total Number Of Active LEIls by Jurisdictions | Fig. 1 Paag) ¥7 (L K 61 . o & 22 & Mg » ’,‘- : 846 1,524 = ' 374 4 k ; 18,930 2 N b s 86,6 9 = L "y ) 254 [ '- i \/ ‘& 1 : 193 205 ad ; 51 3 40 » = = 3 3,298 1 c : 4,492 o ' T t 1 5 34,698 233%223 Sl 4 ,086 . 447 14 27 4 6 3 1,572 . iR 6 A 820 97 2 50 7 1 6 2,304 3 4 6 17 1 184 96841 977 2 1,727 6 14 1 1 445 1026 745 9 71 11 3,160 . 1,266 185 66 65 108 282 Non-Locale Countries 721 510 ) . Country ’, European Union 4 3 g los Other Jurisdictions' 17 United Nations 11 © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public 1. Other Jurisdictions refers to international organizations that do not have a legal jurisdiction.
Global LEI System Business Report | 02 2023 | page 04 © | Active LEIs Total LEI Trend-Top 5 Jurisdictions | Fig.-2 Top LEI Trend-Top 5 LEl Issuers | Fig.-3 300K 500K - - O °© 260K G\e\e_§e 240K 400K 220K 200K 300K 180K @——W 160K (9/@/@/@ 200K o e 120K (3—6— — e — _e 100K 100K Q3-2022 Q4-2022 Q1-2023 Q2-2023 Q3-2022 Q4-2022 Q1-2023 Q2-2023 [ united States ¥ Business Entity Data B.V. [l united Kingdom [ ubisecure . Germany . London Stock Exchange [ italy B Bloomberg . Spain . WM Datenservice © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | 02 2023 | page 05 © | Growth in Total Number of Active LEIs New LEl Issuance | Fig.-4 LEI Forecast | Fig.-5 Total LEIs Actual Active LEIs Newly Issued LEIs Forecasted Active LEls 2500K 2000K Q1-2023 Q2-2023 Q3-2023 Q4-2023 1500K 1000K 2)247,000 [ 2,307,485 JN2;302;000 2,361,000 2,425,000 500K 0K Q3-2022 Q4-2022 Q1-2023 Q2-2023 Quarterly LEI Growth - Top 5 Jurisdictions | Fig.-6' Quarterly LEI Growth - Top 5 LEl Issuers | Fig.-7 12.1% 14.3% 12.2% 11.0% 0, 8.3% 7.8% 7.7% 5.4% 5.1% l 6.6% Saudi Arabia (3) India (128) Sweden (88) Tiirkiye (7) Iceland (4) Unilei (7) NasdaqLEl (1) SACB /Moarif (3) Ubisecure (225) LEIL (58) Total issuance in thousands at most recent quarter-end date in parenthesis Total issuance in thousands at most recent quarter-end date in parenthesis 1. Analysis includes only those jurisdictions with at least 1,000 LEls in total at the previous quarter-end date. © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | 02 2023 | Page 06 © L] I R N ————E——E S ——— LEI Renewal activity LElI Renewal - Top 5 Jurisdictions | Fig.-9 94.2% 91.3% io - 86.7% LEI Renewal | Fig.-8 82.1% 80.3% 2500K 2000K Total Active LEls 1500K 1000K Active and Verified LEls Hungary (18) Japan (11) Finland (43) Liechtenstein (12) India (128) 500K B ————————————————— oK Total issuance in thousands at most recent quarter-end date in parenthesis Q3-2022 Q4-2022 Q1-2023 Q2-2023 L Reference Data Corroboration by LEl issuers LEI non-Renewal (Lapsed LEIls) - Top 5 Jurisdictions | Fig.-10' Percentage of Fully Corroborated LEls | Fig.-11 77.6% 76.5% 71.4% 83.8% 84.3% 84.6% 84.8% I I I 66.6% 64.8% Saudi Arabia (3) China (106) Belize (1) Russian Federation (2) Thailand (2) Q3-2022 Q4-2022 Q1-2023 Q2-2023 Total issuance in thousands at most recent quarter-end date in parenthesis 1. Analysis includes only those jurisdictions with at least 1,000 LEls in total at the previous quarter-end date. © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | 02 2023 | page 07 © | Competition amongst LEl issuers Least Competitive (Most Concentrated) Markets | Fig.-12" Most Competitive (Least Concentrated) Markets | Fig.-13' 19.7% 18.8% 97.9% 16.8% 17.3% 18.0% I ] ] j j I I I I
China (106) Netherlands (129) Slovenia (4) Poland (31) Tiirkiye (7) Malta (5) Portugal (12) Bulgaria (4) Norway (48) Marshall Islands (2) Total issuance in thousands at most recent quarter-end date in parenthesis Total issuance in thousands at most recent quarter-end date in parenthesis Transfer out of LEls —Top 5 LEI Issuers | Fig.-14 Transfer in of LEIs — Top 5 LEl Issuers | Fig.-15
7,162 7,320 6,044 3,589 1,912 4 1,669 -1’296 - - l - - -1’299 KELER (0) Business Entity Data Ubisecure (225) EQS (123) Bloomberg (181) GS1 AISBL (46) Ubisecure (225) Bloomberg (181) EQS (123) Unilei (7) B.V. (413)
Total issuance in thousands at most recent quarter-end date in parenthesis Total issuance in thousands at most recent quarter-end date in parenthesis
- Analysis includes only those jurisdictions with at least 1,000 LEls in total at the previous quarter-end date. . - . . .
The higher the percentage the more concentrated LEI management is with a single LEl issuer. © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | | Page 08
L _________________________________________________________________________________________________________________________}
Level 2 parent reporting
Top 5 Jurisdictions of the Legal Entities for legal entities reported Direct and Ultimate Parent Reporting | Fig.-1 In May 2017, the process of enhancing the LEI direct and ultimate . . : 225,769 data pool, by including ‘Level 2’ data to Pa;e“:;":;;';g by the 12 3ce 170,200 . end o ) y
answer the question of ‘who owns whomn’, 167,083 150,594
began. The graphic below provides
information on direct and ultimate parent
data collected through June 2023".
United States United Kingdom Germany Italy Spain Each legal entity reports information on its Each legal entity reports information on its of legal entities . of legal entities of legal entities of legal entities of legal entities of legal entities of legal entities . of legal entities q . . d ulti i N X .
reported direct parents ted direct ¢ reported having no relationship reported ultimate reported ultimate reported having no relationship
having an LEI* EEPOIEECicecHbanen s direct parent information is parents having an LEI* parents who do not ultimate parent information is
(See next page for who do not have an LEI according to the non-public and (See next page for have an LEI according to the non-public and additional details.) definition used therefore creates additional details.) definition used therefore creates
obstacles to releasing obstacles to releasing this information this information
1 Referenced to level 2 relationship record CDF Golden Copy file dated 01 July 2023. 2 99.9% legal entities reported direct parent. 3 99.9% legal entities reported ultimate parent.
4 The definitions of ultimate and direct parent are based on percentage share of accounting consolidation as per LEl Regulatory Oversight Committee . . . . i prescription. Related link https://www.gleif.org/en/about-lei/common-data-file-format/current-versions/level-2-data-reporting-exceptions-2-1-format © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | | Page 09 ; Level 2 parent reporting Identification of the direct and ultimate parents of a legal entity with an LEl allows users to research entities owned by individual companies. It provides a better understanding of the entity from which a company or individual is buying goods or services or in which it is investing. The following charts provide additional information on relationships where the direct or ultimate parents are identified by an LELI. Additional Information on Direct Parents Having an LEI Additional Information on Ultimate Parents Having an LEI Number of Direct Parents | Fig.-3 Number of Ultimate Parents | Fig.-5 35K 24K 30K 21K 18K 25K _ L 20K 12K 15K 9K N 10K & > S‘ 6K o) T = 2 R e (99} 5K 5 3 . = 3K ~ 8 - © al o 0K = 0K I I I I I I I I I I 1 2 3 4 5 5 plus 1 2 3 4 5 5 plus © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public
Global LEI System Business Report | 02 2023 | page 10 O | New policies implementation transition period report: new entity categories The new Common Data Format identifies resident government entities and international organizations as specific entity categories. The following figures show the evolvement of the government entities and international organizations in the Global LEI System. No. of government entities | Fig.-1 Top 5 jurisdictions reporting government entities | Fig.-2 5,054 5,159 1,055 4,637 4,852 751 709 382 I I . . 2022 -Q3 2022 - Q4 2023 -Q1 2023 - Q2 Poland (30) United States (277) Italy (170) Czech Republic (23) United Kingdom (179) Total issuance in thousands at most recent quarter-end date in parenthesis No. of international organizations | Fig.-3 Top 5 jurisdictions reporting international organizations | Fig.-4 32 17 30 27 11 19 . . 4 XX United Nations European Union 2022 -Q3 2022 -Q4 2023 -Q1 2023 -Q2 Total issuance in thousands at most recent quarter-end date in parenthesis
- XX refers to international organizations that do not have a legal jurisdiction. © 2023 GLEIF and/or its affiliates. All rights reserved. | Release date 2023-07-18 | Version 1.0 | Public