FSB: work needed on consistent data standards

Public- and private-sector experts have worked hard over the past three years to develop the framework for a global legal entity identifier system, but more effort is needed to create consistent data standards for financial instruments and transactions, write Irina Leonova and Nigel Jenkinson

A lack of globally consistent, high-quality data was one of the key factors in the build-up of so much of the unnoticed risk in the financial system prior to 2008, regulators now agree. Under the oversight of the Financial Stability Board (FSB), a collection of public- and private-sector groups have worked to address these failings, initially focusing on a global legal entity identification system. Progress has been made, but more work is needed, particularly in developing a framework for