User:EDWHouse/sandbox

= European DataWarehouse = For other uses, see ED.

Background
To facilitate risk assessment and to improve transparency in the European Asset-backed security (ABS) deals, in 2012 European DataWarehouse (ED) was established as a market solution after the Loan-level Initiative of the European Central Bank. The Eurosystem firmly believes that this initiative should facilitate investment and support transparency, integrity and restore confidence in the structured finance markets as well aid the simplification of data processes in the industry by ensuring investor access to comprehensive and standardised information across European ABS market.

European DataWarehouse became fully operational in 2013 with the aim to collect, store, validate and make available for download the ABS loan-level data. ED is an independent party external to the Eurosystem.

The economic and financial crisis of 2008 showed the need for more transparent and timely information on the underlying loans or asset pools of Asset Backed Securities and their performance in a standardised format. This was necessary to help investors and rating agencies to perform proper due diligence.

Market Role, Objectives and Data
European DataWarehouse acts as centralised and the only one European platform(repository) for uploading and downloading ABS loan level data (LLD). As a market initiative European DataWarehouse aims to increase transparency and restore investor confidence in the ABS market.

Objectives
The primary objective of ED, set out by the Eurosystem, is to provide accessible and recorded data to Data Users. The second objective is to collect from Data Owners and Data Providers, validate and making available for download detailed, standardised, asset class specific LLD for ABS transaction.

The Specific defined roles are Data Owners (DOs), Data Providers(DPs) and Data Users(DU)
Data Owners – are the issuers or originators who register the deals in the easy to use ED integrated platform called Edwin. While registering the deal, data owner appoints a specific Data Provider for the deal and receives a unique global transaction identifier called the ED Code. Often Data Owners are also Data Providers.

Data Providers – are servicers, trustees or other designated entities that upload the loan level data files and relevant documents on a periodic basis against the deals for which they are nominated as providers by the data owner. Note that in many cases Data Owners are also the Data Providers.

Data Owners and Data Providers should upload their ABS data, conforming to Eurosystem requirements in a centralised platform called Edwin. There are three channels for providing the data: Data Users – are typically ABS market participants (Investors, Investment and commercial banks, Data vendors, etc.) that access and analyse the underlying data for relative value, due diligence and monitoring purposes.
 * Direct upload of XML files to Edwin portal
 * Desktop application called Data Conversion Toolkit, converting the Excel to XML format and then uploads them directly to Edwin
 * Application programming interface

By accessing ED data, market participants are able to analyse underlying portfolios in a more efficient way and compare portfolios on a systematic basis including performance trends. In the past, investors had to rely on aggregated data which was preconfigured by issuers and arrangers. ED data is primarily used for monitoring, due diligence and research.

There are four channels for accessing the data:
 * Fully integrated software platform Edwin, to meet the requirements of Data Owners, Data Providers and the Data Users to collate ABS deal, bond and loan level information into a single, centralised database. It enables the upload and download of loan and bond level data files
 * Loan level database ED Cloud Pro – recommended for direct access without software installations
 * Desktop application – for complex query-based analysis and downloading multiple loan level files
 * Application programming interface – for programmatic download of loan level data file in different formats

What Data European DataWarehouse have – Loan and Bond Level Data, based on the Asset Classes
By using templates, standardised data could be collected by ED. The LLD template reporting requirements, aiming to help the reporting entities to fill out the loan level templates, are compiled in a dedicated manual and are available on the ECB website for each asset class. Apart from the data format, the ECB taxonomy sets the requirements for the provision of standardised information. It includes detailed definitions and criteria plus additional notes with regard to the content of the information. Further instructions for data submissions can be found on the dedicated section of the European DataWarehouse website.

Asset Classes – 8 asset classes and dedicated manuals (taxonomy) are available.

Loan-by-loan information requirements began as follows:
 * Residential mortgage-backed securities (RMBS) and SME ABSs on 3 Jan 2013
 * Commercial mortgage-backed securities (CMBS) on 1 March 2013
 * Consumer finance ABSs, Auto loan ABSs, Leasing ABSs on 01 Jan 2014
 * Credit Card Receivables ABSs on 01 April 2014
 * Public sector DECC

Organization
ED has three decision-making bodies and 17 Shareholders: The ED Shareholders are:
 * Supervisory Board – is the main decision-making body. It comprises the shareholder members and the governors/observers from ECB and NCB. It is responsible for the strategy and monitoring ED’s operations.
 * Pricing Committee – is setting the fee structure for ED Customers and consist of 8 members from the ABS Industry
 * ED Management  - represented by CEO Christian Thun

Staff – is largely composed of deal analysts and customer account managers allocated by the country of origin handling clients with specific language.

Timeline/History
2015 - Currently more than 1000 ABS transactions and private portfolios across Europe are hosted by European DataWarehouse. To enrich data user experience, further software enhancements are released: stratification templates were extended to all asset classes; implementation of non-installation software (ED Cloud) for virtual access, review, analyse and benchmark for RMBS, SME, Auto ABS and Consumer Finance to the universe of Loan level data stored in Edwin. For Data Owners to more efficiently address remaining data quality issues is a Data Quality Tracking System. In this context, ED Quality Checker for RMBS and SME, a pre-screening data quality tool designed for DO/DPs.

2014 - more than 800 ABS deals have been created in Edwin including RMBS, SME, Auto, Consumer Finance, Leasing and Credit Cards. To enhance data user experience, direct download of ABS data in Excel format was proposed by ED. Other highlights of 2014 include achieving an investor client base of over 100 and launching a private area within Edwin for ABS transactions.

2013 - ED officially started operating on January 3rd in Frankfurt. During the first year, over 600 RMBS and SME transactions were created in the fully integrated software platform Edwin and more than 350 including data users, issuers, trustees, servicers and rating agencies, were registered with European Datawarehouse. To allow easy upload of XML loan level data (LLD) files ED provided a free software called Data Conversion Toolkit.

2012 - At the end of June, following a private placement of shares, the European DataWarehouse GmbH was formed in Frankfurt, Germany. Shareholders include a diverse mix of leading institutions including banks, rating agencies, guarantors and associations from across Europe.

2011 - ECB President Jean-Claude Trichet invited market participants to lend their support and create a central utility (portal or warehouse) external to the Eurosystem to process, verify, store and manage the data. Following a procurement process, whereby the European DataWarehouse was selected and launched in December 2011. ECB published specific reporting templates, designed to ensure compliance with the data protection, confidentiality regulations for SME and RMBS.

2010 - In December the ECB announced the ABS loan level data Initiative in the Eurosystem collateral framework and a number of Technical Working Groups (TWG) were formed to advise and assist the ECB to help it formulate and finalise specific ABS reporting templates. TWG members consisted of leading investors, originators, rating agencies, industry associations and five NCBs

2009 - The European Central Bank (ECB) together with LCM Partners introduced the concept of standardised loan level data reporting across Europe that could be accessed through a centralised database or portal.