Allan D. Grody, of Financial InterGroup Holdings Ltd., looks at the conflict between federated and centralised models of handling and storing data.
A grand experiment is set to begin globally between
regulators and sovereign governments to organize a "Bar code
for financial market participants".
However, past financial industry innovators may hold this
Internet-based financial network of legal entity identifiers
from their hoped for success.
The Regulatory Oversight Council, a collection of over 60
regulatory bodies from 45 countries are set to meet this week
in Paris, France to officially inaugurate the Global Legal
Entity Identifier (LEI) System. The ROC as it is known was
formed from the Financial Stability Board, itself a creation of
the G20, whose mandate is to stabilize the global economy.
In 1994 when I and colleagues began to understand the impact
of the Internet on financial services our first inclination was
to build a "supersite" for financial services - a centralised
repository of information.
There were a few websites starting up at the time from
pioneering companies, mainly media companies like the Wall
Street Journal and Nihon Keizai Shimbun. They needed to
experiment to make sure they were not preempted by this
apparent paradigm shift in distribution technology, especially
a totally free one.
This article is available to subscribers and registered users
Please log in to continue reading.
Not yet registered? Take a free trial.
If you have already taken a free trial you
have ongoing access to the analysis section of FOW.com including this story.
Log in using your details below to read.
Already have an account? |