ANNA Ingestion Training: Objective and Process

ANNA Ingestion Training Manual

Objective of ANNA

• To integrate ANNA data from ANNA Vendor to S&P GLOBAL MARKET INTELLIGENCE database
• To provide all content under one roof as 'Integrated Desktop Solutions' to clients

Introduction to ANNA Feed

• ANNA (Association of National Numbering Agencies) Service Bureau is a product with the most complete coverage of ISIN (International Securities Identification Number) data
• ANNA acts as a central hub to receive ISIN data from 79 ANNA members and 25 partners
• Present in about 120 countries

National Numbering Agencies (NNAs)

• ISINs are assigned by governing bodies in each country, known as the national numbering agency (NNA)
• NNAs are coordinated through ANNA
• Examples of NNAs: CUSIP organization in North America, London Stock Exchange in the UK and Ireland, SIX Financial Information in Switzerland

Substitute Agencies (SNAs)

• In places where no NNAs exist, four NNAs have been assigned as substitute agencies:
  • Standard & Poor's - CUSIP Service Bureau in the US
  • WM Datenservice from Germany
  • SIX Financial Information
  • National Settlement Depository (MICEX Group) from Russia

Partners

• Partners of ANNA are smaller National Numbering Agencies with the following rights and obligations:
  • Assistance from ANNA in establishing the ISIN codification system in their country
  • No entitlement to vote or participate at General Meetings
  • Provide ISINs and updates for dissemination through the products of the ANNA Service Bureau (ASB) via an ANNA member
  • No financial obligation

Structure of An ISIN Identifier

• ISIN is a 12-character identifier that captures an issue's important differentiating characteristics within a common structure
• Consists of three parts:
  • Two-letter country code
  • Nine-character alphanumeric national security identifier
  • Single check digit

Corporate Actions (Identifier Changes)

• ANNA does not maintain details of ISIN changes
• Types of corporate actions:
  • Name changes
  • Reverse mergers
  • Splits
  • Domicile changes
  • Liquidation/Bankruptcy

Reference Data

• Briefly explains the raw data points received in the ANNA feed
• Key data points received from ANNA:
  • ISIN
  • Date/Time of Last Update
  • ISIN Type & Status
  • Issuer Name (long)
  • Issuer Name (short)
  • Issue Description
  • CFI Code/Debt/Equity Code
  • Country of Issuer
  • Currency of Issue

Linking ANNA ISIN In S&P CIQ Database

• ANNA ISIN will be ingested at the Security Level only
• Creating blank TID with exchange as UNQ
• Exclusions from the feed:
  • ISIN values containing '?' or special characters
  • ISIN values containing lower case letters

Auto-Linking Process

• Process of linking incoming unique identifiers to the Company ID, Security ID, and Trading ID
• Steps to link:
  • Derive National Security Numbers (NSNs) from the ISIN to find a potential security ID match
  • Check for a unique SECURITY ID match for the ISIN
  • Use National Security Numbers to find a Security ID match
  • Save the associated ANNA ISIN symbol type to securityIDs

Manual Linking Process

• All identifiers that could not be auto-linked need to be manually reviewed and associated to either existing or newly created CIQ entities
• Cases that will be queued for manual linking:
  • No exact match found based on the ISIN or any of the NSNs embedded in the ISIN
  • Identifiers are present in more than one CIQ ID/SECURITY ID, i.e., conflict case### ANNA ISIN Testing and Sampling
• ANNA ISIN auto-linking has been tested to validate the proposed structure and identify concerns and suggestions.
• The testing included manual and QC checks, covering various categories:
  • Security Subtype Related
  • Issuer Name/Issue Description Related
  • Derived NSN related
  • Ingestion/Application Related

Security Subtype Related

• Structured Products/Hybrid Securities can be classified into three categories:
  • Traditional Debt
  • Traditional Derivatives
  • Structured Products (SPs)
• SPs are synthesized to meet specific investment objectives, cannot be met from standardized financial instruments available in the markets.
• SPs can be used as an alternative to direct investment, to reduce risk exposure of a portfolio, or to utilize the current market trend.

Issuer Name/Issue Description Related

• Issuer Name containing Special characters should be excluded from auto/manual linking.
• Issuer name and Issuer Description containing ‘test’ should be excluded from auto/manual linking.
• Issuer name = Issue description should not affect the auto-linking process.
• Issuer name = Currency is an issue that needs to be addressed.

Derived NSN Related

• Length of the derived SEDOL/CUSIP should be corrected to avoid improper SEDOLs/CUSIPs.
• Incorrect SEDOLs derived from the ISIN should be fixed by dropping leading zeroes correctly.
• SEDOLs not derived for ISINs starting with 'GB' or 'IR' should be corrected.
• CUSIP not derived for ISINs starting with 'US' or 'CA' is an issue that needs to be addressed.
• VALORS not derived for ISINs starting with 'CH' is an issue that needs to be addressed.

Ingestion/Application Related

• Audit Comments should be updated to include the ‘Security ID’ for better tracking.
• The ANNA application was tested on the TEST environment with no major bugs or enhancements observed.

Creating New Company ID

• Company ID is an auto-generated unique identifier in S&P GMI database representing every unique entity.
• Company ID should have only one identifier for each entity.
• In most cases, the incoming IDC Issuer code is already linked to an existing S&P GMI company record.
• New entities may be created for Index Records, ETFs/Mutual Funds, and ABS/MBS.

Creating New Security ID

• Security ID is an auto-generated unique ID representing every unique security in the database.
• Security ID is created for almost every new ISIN assigned to a new security.
• New Security ID is created in cases where there is a change in security properties, post-event ISIN, or dual listing for the same security.

Creating New Trading Item ID

• Trading Item ID is a unique identifier in S&P GMI database that stores trading-related information for securities/instruments.
• Trading Item ID is created based on different exchanges.
• New Trading Item ID is created in cases where there is a new instrument issued, company name change, or same security in a different exchange.

Corporate Action Section

• Corporate action is captured by CGS and incorporated into the linking application.
• Each issuer may have multiple corporate actions associated with it.
• The Corporate Action module displays information such as symbol start dates and end dates.
• Changes in the User Interface of the application include the display of corporate action information in the main issuer grid view and the Corporate Action grid view.