The challenge for financial firms is that entity-to-entity relationships are increasingly complex. Corporate entities can be issuers of securities, trading counterparties and also institutional customers. How can a firm get a clear overview of its client relationships when they are stored in such a fragmented way? There is a solution.Talk to an MDM specialist
The difficulty firms have understanding their exposure to their counterparties was one of the most serious problems highlighted during the financial crisis. Years after the financial crisis and in spite of stringent regulatory developments, counterparty reporting and entity data quality continue to be major concerns.
The challenge is that entity-to-entity relationships are increasingly complex: corporate entities can be Issuers of securities, trading counterparties and also institutional customers. How can a firm get a clear overview of its client relationships when they are stored in such a fragmented way?
The answer is simple – firms need to link data into a single, centralized entity master.
The GoldenSource Entity Master is the only Master Data Management (MDM) platform to manage instrument, counterparty and issuer data on a single platform.
By linking a single entity to its various roles and identifiers, efficiency and accuracy are achieved. Financial institutions have a clearer understanding of the relationships between their customers and counterparties.
Our solid entity master accessed via the LEI is the foundation for understanding exposure to specific entities, including improved visibility and more rigorous risk management practices.
This unified approach to entity management facilitates data standardization and cross-referencing, resulting in: