On 8 June, 2012, in response to a request from the G20, the FSB published a report 'A Global Legal Entity Identifier for Financial Markets', which set out 15 global LEI system High Level Principles and 35 recommendations for the development of a unique identification system for parties to financial transactions. Such a system would contribute to and facilitate many financial stability objectives. The FSB recommendations were endorsed by the G20 at the Los Cabos Summit in June 2012.

The FSB report defines the scope of coverage as "a 'legal entity' refers to a legal person or structure organised under the laws of any jurisdiction. Legal entities include, but are not limited to, unique parties that are legally responsible for the performance of financial transactions or have the legal right in their jurisdiction to enter independently into legal contracts". Natural persons are excluded from the scope.

The FSB recommended a three-tier structure for the global LEI system (GLEIS):

  • Regulatory Oversight Committee (ROC). The ROC will have the ultimate responsibility for the governance of the global LEI system.
  • Global LEI Foundation (GLEIF) operating the Central Operating Unit (COU). The Global LEI Foundation operating the Central Operating Unit is the pivotal operational arm of the global LEI system and has responsibility for delivering high quality operations.
  • Local Operating Units (LOU). Local Operating Units will provide the primary interface for entities wishing to register for an LEI. They will be the local implementers of the global system.

At its November 4-5 2012 meeting, the G20 endorsed recommendations made by the FSB with regard to a Charter for membership of the GLEIS. In 24 January 2013, the LEI Regulatory Oversight Committee (ROC) took over the responsibility for development and implementation of the Global LEI System. The FSB Secretariat provides the stand-up support to this new organization. Further information on the LEI ROC can be found at leiroc.org.