FAQ to the topic LEI

The Legal Entity Identifier (LEI), a unique ID consisting of 20 characters, enables the European regulators to identify the counterparties to a transaction, aiming to enhance the transparency of markets in financial instruments and to identify potential issues of market abuse.

The LEI is published in a publicly accessible database ( >Global LEI Index ) which can be seen as a global register and which is supposed to create more transparency on financial markets.

The European directive MiFID II (Markets in Financial Instruments Directive) – an amended version of the Markets in Financial Instruments Directive (2004/39/EC – MiFID I) adopted in 2007– as well as the European regulation MiFIR (Markets in Financial Instruments Regulation) oblige NORD/LB to increase transparency on and beyond trading venues. Concluded transactions in derivative financial instruments will thus be reported to the Federal Financial Supervisory Authority (BaFin).

This report requires the Legal Entity Identifier to explicitly match legal entities on financial markets.

After the financial market crisis, the G20-Heads of State and Government decided to improve financial market transparency in order to strengthen the financial system and to make it more resilient for the future. To improve transparency and functioning of the internal market for financial instruments, a new statutory framework was created that specifies harmonized requirements for the transparency of transactions within the financial markets. The particularities of transactions with financial instruments shall be reported to the competent authority in order to enable the detection of potential cases of market abuse as well as to monitor the fair and proper functioning of markets.

The report extends to all financial instruments that/whose

  • are traded on a trading venue,
  • underlying asset is a financial instrument that is traded on a trading venue or
  • underlying asset is an index or basket of financial instruments that is traded on a trading venue.

The reporting obligation applies irrespective of whether the transaction with one of the listed financial instruments was executed on a trading venue or not. New orders, amendments to existing transactions and the sale or early termination of a financial instrument will be reported.

Kindly note that the provision of a valid LEI is a necessary pre-requisite to conduct any financial instrument transactions with the Bank. This applies not only to new contracts but also to changes to and the disposal of a financial instrument.

In light of the Bank’s obligation to verify your LEI against ISO-standards it is crucial to provide us with your LEI by September 15th, 2017 at the latest.

Please use the >contact formular to report your LEI or send the reply form to:

NORD/LB - Norddeutsche Landesbank Girozentrale
Projekt MiFID II
Zuleitung 2312/2138
Friedrichswall 10
30159 Hannover
Germany

Please also include your customer number when communicating your LEI to us.

All our customers who need an LEI received a letter asking them to report their LEI to NORD/LB. If you have not received this letter, please contact our customer support via the >contact formular or by phone: +49 511 361–4032.

If transactions are to be concluded on your behalf by a third party representative, please also provide us with such agent’s LEI.

In case your agent is a natural person, the National Identification Number  ( >„National ID/NID“ ) of the third party has to be reported instead of the LEI for purposes of post-trading transparency reporting. The National ID varies depending on the nationality of the authorized natural person. An overview of the records to be submitted can be found in the following document:

The document mentions a so-called CONCAT which is a combination of the first five letters of the name and surname as well as the date of birth. If the CONCAT is the National ID of your authorized representative, it is necessary to report the name, surname and the date of birth of the representative and your NORD/LB customer number. Please use the aforementioned e-mail address to provide us your LEI (and the LEI or NID of your agent) besides your customer number.

A list of LEI Issuing Organizations can be found on the website of the Global Legal Entity Identifier Foundations website:

>Global Legal Entity Identifier Foundations

Associated charges can be found on the provider’s website. Please note that the LEI has to be renewed after one year. This is connected to further charges of the respective provider.

The LEI is valid for 12 months after the initial application. After these 12 months it is necessary that the owner confirms the correctness of the authentication data to renew the LEI validity. Some providers will remind you by e-mail to renew your LEI prior to the expiration date. Please note, that the NORD/LB will not inform you about the LEI expiration date.

Companies as set forth under MiFIR relates to any legal entity in the European Union that is engaging in business or entrepreneurial activities and consequently competes with other market participants. This holds true irrespective of any specific structure, i.e. regardless of whether the addressee of the Regulation is organized in a certain legal form, is entered in the Commercial Register or is a natural person.  However, entry in the Commercial Register is an indicator of entrepreneurial activities, particularly with respect to natural persons.

The Legal Entity Identifier of NORD/LB is "DSNHHQ2B9X5N6OUJ1236".

If you have any further questions about the Legal Entity Identifier, we recommend the following websites:

>https://www.leiroc.org/
>https://www.gleif.org/en/

If you wish to contact the responsible NORD/LB project, please send an e-mail to the MiFID2-Customersupport via the >contact formular or call +49 511 361 – 4032.