14 December 2017
visit www.avoka.com

London Stock Exchange rethinks securities numbering

23 July 2002  |  4911 views  |  0 London Stock Exchange rethinks securities numbering

The London Stock Exchange is talking with data users and vendors about the development of a new securities coding system aimed at reducing the number of failed cross-border trades.

Industry estimates put the cost of failed cross-border trades to the global securities marketplace at around £2.2 billion every year. Around £460 million of this loss can be linked directly to problems identifying the securities involved in cross-border transactions, says the LSE. These include existing systems being unable to provide codes quickly enough for shortened settlement times, as well as difficulties providing codes for global securities or those with multiple listings.

One proposal being considered by the Exchange, in consultation with data users and vendors, is to change the Sedol coding structure from a seven digit numeric to a seven digit alphanumeric code to create a hugely increased number of codes.

David Lester, the exchange's chief information officer, says: "With an ever-increasing number of financial instruments, alphanumeric Sedols would allow for a much greater number of codes. More importantly, they could provide a solution to one of the major inefficiencies facing our market place - the lack of a globally recognised unique identifier for cross-border trades."

If an appropriate solution can be found, says Lester, it will be introduced as one of the LSE's new range of products.
KeywordsBUY SIDE

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

DTCC pushes ahead with STP

DTCC pushes ahead with STP

23 July 2002  |  4934 views  |  0 comments
Investec and Shore Capital enter LSE Gateway

Investec and Shore Capital enter LSE Gateway

22 July 2002  |  5252 views  |  0 comments
SIA postpones T+1; introduces new STP programme

SIA postpones T+1; introduces new STP programme

19 July 2002  |  7277 views  |  0 comments
LSE to launch covered warrants market

LSE to launch covered warrants market

09 July 2002  |  3364 views  |  0 comments
Euroclear and Crest agree merger

Euroclear and Crest agree merger

04 July 2002  |  10280 views  |  0 comments
T+1 not top priority for institutions

T+1 not top priority for institutions

19 June 2002  |  3461 views  |  0 comments
Microsoft and CapCo unveil STP alliance

Microsoft and CapCo unveil STP alliance

19 June 2002  |  27687 views  |  0 comments
London Stock Exchange establishes Nordic presence

London Stock Exchange establishes Nordic presence

27 May 2002  |  3059 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
visit www.atos.netvisit www.niceactimize.comvisit www.thomsonreuters.info

Top topics

Most viewed Most shared
Deutsche Bank paper hails 'huge' blockchain potentialDeutsche Bank paper hails 'huge' blockchai...
10146 views comments | 16 tweets | 25 linkedin
satelliteRipple completes XRP Lockup
9056 views comments | 3 tweets | 2 linkedin
PSD2: Laying the regulatory foundation for a new age in paymentsPSD2: Laying the regulatory foundation for...
8830 views comments | 17 tweets | 36 linkedin
Alior Bank to use Open API platform and accelerator to create fintech marketplaceAlior Bank to use Open API platform and ac...
7566 views comments | 20 tweets | 11 linkedin
Brits flock to digital-only banksBrits flock to digital-only banks
7186 views 11 comments | 11 tweets | 15 linkedin

Featured job

Competitive base + commission + benefits
New York City, NY - USA

Find your next job