New LEI lookup feature

Accessing netting outcomes for a particular counterparty is complex and time-consuming, with decisions on-hold until the jurisdiction of incorporation, legal form and regulatory status of the counterparty has been determined, and netting conclusions from the relevant industry master for that counterparty-type finalised.

aosphere's new LEI lookup for netalytics, repoAnalytics and SLAnalytics delivers up-to-date, actionable netting analysis conclusions simply by inputting a counterparty's LEI. AI-supported LEI lookup and classification functionality reduces manual research and legal analysis, provides transparent reasoning for every decision, and accelerates counterparty netting decisions.

LEI lookup uses AI to match an LEI (Legal Entity Identifier) to likely Counterparty Types and their associated netting conclusions in two stages. From an entity LEI inputted by the user, the AI:

•  confirms which entity the LEI refers to, establishing its legal name, jurisdiction of incorporation, legal form, corporate relationships and regulatory status

•  assigns the best-matching Counterparty Type classification code(s) to that entity from aosphere's proprietary taxonomy

Once the AI has gathered enough information on the entity, it assigns the best-matching Counterparty Type(s) (should at least one apply), each with:

•  a confidence level (High / Medium / Low)

•  a short rationale explaining why that Counterparty Type is a potential match

•  cited sources, so the public information used to underpin the AI's conclusions is transparent and can be checked

Human-in-the-loop approval of proposed mappings keeps the bank in total control of its netting decisions.

Key benefits

•  Reduce risk — Avoid inconsistent counterparty classifications and application of netting rules, which can lead to legal misinterpretation, regulatory breaches, and financial risk

•  Save time — The time taken for a bank to map an entity to its ISDA, GMRA and GMSLA netting conclusions is reduced from hours to seconds

•  Save money — Reduce error-prone manual processes in getting to consistent, reliable counterparty netting conclusions