ANNA numbers the world Association of National Numbering

ANNA numbers the world Association of National Numbering Agencies scrl 7 th International Conference of the AECSD Minsk/Belarus – September 9, 2010 Report from ANNA Dan Kuhnel Chairman

Agenda Ø Ø Ø ANNA Objectives – Overview Current ANNA Structure ANNA Membership Overview ANNA‘s Key Areas of Focus – Existing and New Data Standards Questions/Comments ANNA numbers the world Dan Kuhnel 2

ANNA Objectives - Overview Ø Global promotion of ISO standards under ANNA's responsibility - the recognised Registration Authority; Ø Quality: development and pro-active maintenance of ISIN and CFI guidelines; Ø Committed to working with the global financial industry: Ø ISIN & CFI guidelines Ø Make available: ØInternational Securities Identification Number (ISIN) allocation according to ISO Standard 6166 + ISIN Guidelines; ØClassification of financial instruments (CFI) allocation according to ISO Standard 10962; ØDissemination of ISIN and CFI through NNAs and the ANNA Service Bureau (ASB); Ø Products of the ASB: ISIN_Access (Look-up service) and ISIN_db (Daily data feed). ANNA numbers the world Dan Kuhnel 3

ANNA Structure ANNA Membership ASB Board Regional Groups ANNA numbers the world ANNA Board Working Groups Dan Kuhnel ANNA Partners ANNA Secretariat Task Forces 4

ANNA Membership Overview Ø Total ‘full’ ANNA members (as of 31 August 2010): 82 National Numbering Agencies; Ø ANNA Partners (as of 31 August 2010): 27 organisations; Ø ISIN coverage of 120 countries; Ø CSDs/ICSDs represent 58% of ANNA membership composition Overview of Membership by Business Segment Stock Exchanges 24 Data Vendors 3 CSDs/ICSDs 47 Regulatory Bodies 4 Central Banks 4 Total ANNA numbers the world 82 Dan Kuhnel 5

ANNA numbers the world Association of National Numbering Agencies scrl ANNA Key Areas of Focus - Existing and New Data Standards-

ISO Standards Overview Ø ANNA has been designated as the Registration Authority for the following ISO standards: Ø ISO 6166 – ISIN Ø ISO 10962 – CFI Ø ANNA has been identified as the logical entity to act as the Registration Authority for the following future planned ISO standards: Ø ISO 18773 – Financial Instrument Abbreviations Ø ISO 18874 – Financial Instrument Short Names Ø ISO 16372 – Issuer & Guarantor Identifier ANNA numbers the world Dan Kuhnel 7

ISO 6166 – ISIN Standard Ø ISO 6166 standard - completed revision at ISO/TC 68/SC 4 level; Ø Draft revised standard circulated for voting to SC 4 “P” member countries – voting closes Sept 2010; Ø EU Commission continues their investigation into ISIN licensing and claimed Intellectual Property Rights matters: Ø Ruling should add clarity to security data elements that must be linked to the ISIN and made available to the market “free” and in a timely manner; Ø Ruling should also add clarity to what ISIN related data can be “sold” and under what conditions; Ø ISO have created a new Registration Authority Agreement linked to the ISO 6166 standard – outlining conditions that NNAs must operate under; Ø Data quality issues in the ANNA Service Bureau continue to dominate ASB client dialogue. Data quality and accuracy is key. ANNA numbers the world Dan Kuhnel 8

ISO 10962 – CFI Standard Ø ISO 10962 standard has undergone a revision at SC 4 level; Ø New data elements proposed to be added to add more granularity to instrument identification; Ø New instrument types added eg. Structured products. Ø Standard should be circulated for voting in coming weeks – to SC 4 “P” member countries; Ø Issues remain with NNAs adoption of the standard and allocation of CFI codes; ØASB database has: Ø 11. 045 million ISINs, of which 4. 22 million are active but only Ø 8. 642 million CFIs, of which 3. 537 million are active Continued focus with NNAs on importance of CFI assignment ANNA numbers the world Dan Kuhnel 9

ISO 18773/18774 – Issuer Abbreviations/Financial Instrument Short Names Standards Ø Business rationale: standardised issuer abbreviation linked with a short description of the security (using defined rules); Ø The FISN is composed of: Ø an issuer name with a maximum length of 15 alphanumeric characters. To ensure uniformity, the same issuer short name should be used for different financial instruments of the same issuing entity; Ø a “/” as the delimiter between issuer name and description; Ø an instrument description with a maximum length of 19 alphanumeric characters, assuming that the available length of the issuer name has been fully used. In the event that all the 15 characters have not been used in the issuer abbreviation, the remaining space may be used to describe more characteristics of the financial instrument. ANNA numbers the world Dan Kuhnel 10

ISO 16372 – IGI (Issuer & Guarantor Identifier) Standard Ø Business rationale: A global scheme for uniquely identifying business entities* acting as issuer or guarantor of a financial instrument. Main goals: Ø Unambiguous identification of issuing entities (or guarantors). Ø Facilitation of portfolio management (risk on issuers or guarantors) Ø The IGI is a unique identification scheme for every issuer of financial instruments (including eg. municipalities or ski lift companies that issue securities) and guarantors. * a business entity in the context of IGI is an entity, structure or arrangement that has a legal constitution. ANNA numbers the world Dan Kuhnel 11

ISO 16372 – IGI (Issuer & Guarantor Identifier) Standard cont‘d Reasons for an international standardized ID for issuing entities (and guarantors): Ø Risk management i. e. perform easier risk management assessment across portfolios Ø Efficiency - reduce costs of securities processing Ø Maintenance of static data for business entities Ø Reduce processing risk Ø Reduce administration Success factors for IGI : Encourage the following institutions to carry IGI in their databases: Ø Regulators and Central Banks Ø Market data providers (e. g. Telekurs, Reuters, Bloomberg, Rating agencies) Ø Financial institutions (e. g. investment firms, banks, brokers, insurance companies) ANNA numbers the world Dan Kuhnel 12

ANNA numbers the world Association of National Numbering Agencies scrl Questions & Comments Thank you Dan Kuhnel ANNA Chairman