REFERENCE DATA USER GROUP (RDUG)
Members Update
October 2003


Background
RDUG was originally established in June 2002 by a number of Institutions including Asset Managers, Brokers and Custodians. Following initial discussions it was quickly recognised that there were many areas in which the adoption of certain reference data standards would undoubtedly assist in improving the rate of automation and straight through processing that could be achieved by both individual firms and the industry as a whole.

One of the overriding concerns of the RDUG membership was to ensure that RDUG focused on ‘what’s deliverable in a reasonable timeframe’ and presented the opportunity for ‘quick cost effective wins’.
It was agreed that the initial focus of RDUG would seek to address two specific areas:

• Unique Instrument Identification
• Legal Entity Identification

It was RDUG’s intention to complete its work in these two areas by around the end of 2004. A progress update with regard to both of these areas is provided below.

Membership
The RDUG membership now stands at ?? institutions split between Asset Managers, Brokers and Custodians. The current RDUG Executive Committee is comprised of the following individuals:

Alan Plom (Chairman) Gartmore Investment Management plc
Anthony Kirby Deutsche Boerse (Secretary)
Iman Szeto Northern Trust
Stuart McKinlay State Street
Michael Atkin REDAC
Ann Bonathan Schroder Investment Management
Terri Humphreys Baring Asset Management
Paul Rose Invesco
Geoff Mizen Merrill Lynch International.
Peter O’Keefe Nomura Securities
Steven Kelly Goldman Sachs & Co.
Simon Leighton-Porter Citigroup

Update - Unique Instrument Identification (UII)
A UII white paper was issued in conjunction with REDAC (Global Reference Data Coalition) during June 2003. The white paper has been universally well received with a common acceptance of the business issue that RDUG is seeking to address. The first potential solution should reach the market place in early 2004 with a number of other possible market offerings still being discussed and / or considered. The RDUG Executive Committee believes that it’s work with regard to UII is now complete although we recognise that there remains a requirement to define and publish a ‘best market practise’ for the intended use of UII. In the interest of not crossing over with the scope and coverage of other industry organisations we have requested that ISITC (Europe and US) consider taking on the definition of best market practise by forming an appropriate working group under the leadership of the ISITC Executive Committee. We are hopeful that this working group will be created during the course of November 2003.

Update – Legal Entity Identification (LEI)
Whilst an initial LEI white paper was published by RDUG during July 2003 there has been a considerable amount of further debate within both RDUG and REDAC as well as via the appropriate International Standards Organisation (ISO) Technical Standards Committee (ISO/TC68/SC4). The debate has expanded to include other similar initiatives, in particular the Business Entity Identifier (BEI) initiative. Whilst there are different drivers and priorities for each of these initiatives it is clear that there is a certain level of interaction and crossover between the two. RDUG, in conjunction with REDAC are now seeking to reinforce the LEI requirement by preparing and circulating a short precise definition of LEI that will also seek to gain some consensus from the membership as to the level of importance attached to resolving the LEI issue. It is anticipated that this document will be circulated to the membership during the course of November 2003.

What’s next
Given that RDUG’s work with regard to UII has now been completed the Executive Committee are keen to identify other reference data related areas to which it could turn its attention. If any members have suggestions with regard to areas that they would like to see addressed can they please forward details to one of the RDUG Executive Committee members prior to the next RDUG Executive Committee meeting which is currently scheduled to take place on 12th November 2003.