JP Morgan issued the first LEI under the new Validation Agent model with LEI issuer, Business Entity Data, a wholly-owned subsidiary of DTCC.
GLEIF (Global Legal Entity Identifier Foundation) has announced that JP Morgan has become the first Validation Agent in the Global LEI System.
The Validation Agent Framework, announced by GLEIF in September 2020, enables financial institutions to improve their customer experience, accelerate client lifecycle management and reduce costs by using ‘business-as-usual’ KYC and AML onboarding procedures to facilitate LEI issuance for their clients.
“In other words, banks acting as Validation Agents can liaise with the LEI Issuer on its client’s behalf to ‘validate’ key identity data, such as the legal name and business registry information, confirming that these checks and processes have already been performed,” wrote GLEIF CEO Stephan Wolf in a recent article.
JP Morgan issued the first LEI under the new Validation Agent model with LEI issuer, Business Entity Data B.V. (BED), a wholly owned subsidiary of DTCC, via its GMEI Utility service.
“Working as a Validation Agent will allow us to improve our client onboarding experience as well as create valuable industry LEI reference data,” said George Brandman, JP Morgan’s Managing Director for Reference Data Strategy. “If a majority of financial institutions implemented this service, it would greatly multiply the number of LEIs in production to the benefit of all.”
“Increasing LEI volumes and broadening their usage will solve the issue of trust in financial transactions globally,” GLEIF’s Wolf said in a statement. “Validation Agents like JP Morgan will play a key part in making this vision a reality. They contribute to growth across the entire financial ecosystem and ultimately will benefit all stakeholders and the broader global economy.”