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Max Bowie: A Facelift for Fundamentals?

Xignite

waters technologyBy Max Bowie, Waters Technology

September 4, 2015

After spending a decade focusing on the pursuit of the fastest data, Max says firms are seeking a new edge by turning to older and slower datasets, delivered in new ways.

There’s something akin to the “slow food movement” going on in the capital markets.

For the past decade, most cutting-edge technical innovation in the market data industry has primarily been around the pursuit of low latency—in some cases, to the detriment of the development of other fundamental datasets that might arguably have delivered better long-term returns. But as it has become harder and more expensive to compete in the latency race, firms have begun looking for other sources of insight. As a result, the models by which datasets such as old-school fundamental research are produced and distributed are getting a facelift.

Years ago, Multex (now part of Thomson Reuters) revolutionized the delivery of broker research by providing access through a single portal. Then vendors such as Alacra pioneered the concept of online marketplaces for non–real-time premium content, while UK-based software consultancy Worldflow took this a step further with research apps and mobile access to research, responding to the emergence of wireless tablet devices that made research consumption feasible via mobile devices.

More recently, a new generation of content providers have begun bringing completely new approaches to the generation of old-style content. For example, New York-based Estimize­—which recently sold a 10 percent stake in its business to Euromoney Institutional Investor—has brought crowd-sourcing to the earnings estimates space, and is consistently proving more accurate than consensus Wall Street estimates. Meanwhile, vendors such as Nous and Invstr are creating new sources of price forecasts by persuading retail investors to contribute their predictions through trading game apps.

A Step Further

London-based crowd-sourced investment platform StockViews is now taking research to a new level with a series of new initiatives: First, the vendor—which is now starting to charge fees to access its platform—is improving real-time tracking of the research and recommendations on StockViews, adding a social media-style immediate feedback element to the research and analyst rating capabilities of the platform.

In addition, StockViews is not limiting clients’ research choices to established firms or individual analysts, but is introducing features that allow users to search for analysts by their area of specialty or based on specific expertise, and the ability for users to pitch specific research projects and find the best-placed analysts with the most relevant experience to produce the research, essentially creating not just an online marketplace for research, but an interactive venue for custom content creation.

Once you have these “traditional” datasets in a new format, you can utilize them in different ways, such as how New York-based AnalytixInsight is leveraging its database of research generated from fundamental company data and other metrics to create actionable indicators that firms can directly incorporate into trading strategies, in response to increased use of its CapitalCube platform by buy-side firms.

The upshot of all this is that, in my opinion, greater importance will be placed going forward on well-established types of data, although it will be created and delivered in new ways, leaving vendors such as those described above well-placed to deliver unique sources of alpha. Meanwhile, to extract value, search tools—such as those from search providers like 9W Search and AlphaSense—will become critical to finding the right piece of data. Once users have the right data, they can turn to analytics providers to correlate it with other datasets, or store it for future use. And to bring these capabilities and content sets together, look perhaps not to traditional vendor aggregators, but to on-demand platform providers such as Xignite and others, who can create professional-level portals using web services and widgets.

All this is technologically possible. Now all we need are commercial models that make it economically feasible so that the providers can make money while consumers save it.

Source: Waters Technology

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Each year, Bobsguide asks the market to vote for fintech companies they believe stand out from the competition – those who have gone the extra mile in terms of development and servicing their clients. Xignite is proud to be listed as the "Best API Management" vendor on the Bobsguide 2020 Rankings.


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Web services data provider Xignite captured the AFTAs judges’ attention on the infrastructure front with its release of Xignite Enterprise Microservices in July 2020, a suite of cloud-based microservices for data management, storage and distribution in the cloud, designed to help financial firms migrate from monolithic legacy data architectures to more agile and less expensive cloud services and data sources.

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01/25/2021

Xignite, Inc., a provider of market data distribution and management solutions for financial services and technology companies, today revealed the results of its collaboration with StockCharts, a leading technical analysis and financial charting platform for online retail investors. The collaboration involved a move from an on-premise market data provider to Xignite’s cloud-native technology hosted in Amazon Web Services (AWS). Download the case study containing the full results.

StockCharts requires vast quantities of financial data to power its visualization, charting and tracking tools, which investors use to analyze the markets to help with investment decisions. The company was frustrated by the limits of its on-premise market data center, which was forcing the team to make architectural decisions based on what its data center could handle in terms of speed and storage, not on their technology. Its previous market data provider was just starting to build out some cloud offerings, but they were far away from what the business required. StockCharts decided to migrate its infrastructure to the AWS cloud and partner with Xignite to gain access to endlessly scalable market and financial data delivered through innovative cloud APIs.

The collaboration made an immediate impact as StockCharts was able to expand its offerings and customer base by pursuing growth strategies enabled by Xignite’s cloud-based approach, which provides easy access to data and eliminates architectural limits on storage and speed.

The pandemic provided further validation. Seattle-based StockCharts was in one of the first areas hit by COVID-19 and was forced to quickly shut down its office. Pandemic-driven market volatility followed and StockCharts customers wanted to visualize what was happening. The company’s ability to scale quickly and accommodate a high volume of new requests would not have been possible without Xignite.

“The move to the AWS cloud and Xignite has unlocked tremendous new potential for us in a lot of architectural ways, and has given us a lot of data options that we could not even consider before,” said Grayson Roze, Vice President of Operations at StockCharts. “It relieved us of the burden of figuring out how to source things. Instead, we know exactly where we need to go to get the data and can access it instantly. That is a huge, huge benefit for our business.”

“We are proud to have played a role in transforming how StockCharts approaches data,” said Stephane Dubois, CEO and Founder of Xignite. “The events of this year unleashed a massive spike in retail trading and a host of other unexpected forces that reinforced the need for financial services firms to leverage the cloud. Despite the disruption of this year, StockCharts was positioned for success, and we look forward to continuing to deliver our financial and market data solutions to the industry at large.”

Xignite

Xignite has been disrupting the financial and market data industry from its Silicon Valley headquarters since 2006 when it introduced the first commercial REST API. Since then, Xignite has been continually refining its technology to help fintech and financial institutions get the most value from their data. Today, more than 700 clients access over 500 cloud-native APIs and leverage a suite of specialized microservices-delivered modules to build efficient and cost-effective enterprise data management solutions. Visit http://www.xignite.com or follow on Twitter @xignite

01/12/2021

Xignite, Inc., a provider of cloud-based market data distribution and management solutions for financial services and technology companies, today announced that its Market Data Management-as-a-Service solution has been named “Best New Technology Introduced over the last 12 months – Infrastructure” at the 2020 WatersTechnology American Financial Technology Awards (AFTAs). Selected by the editors of WatersTechnology, the AFTAs recognize excellence in the deployment and management of financial technology within the asset management and investment banking communities.

Xignite’s Market Data Management-as-a-Service (MDMaaS) solution enables buy- and sell-side firms to centralize the management of vendor data feeds into their own cloud environment. The solution is built around the cloud microservice-based architecture and technology stack Xignite has been refining and scaling for more than 10 years. Xignite’s technology platform has been the backbone of the company’s Data-as-a-Service business, daily supporting 12 billion API requests of financial data for their 700 fintech and financial services clients. Now Xignite is leveraging this battle-tested cloud-native data management architecture to offer buy- and sell-side firms a market data vendor agnostic offering, with connectors available for firms to load data they license from Bloomberg, Refinitiv, ICE and numerous other providers.

The MDMaaS solution includes a suite of loosely-coupled modules that enable market data user firms to control their data usage, automate entitlements, optimize their data spend and minimize liabilities by simplifying data governance and ensuring regulatory compliance.

The functionality is delivered via microservices, an architectural approach in which core functionality is handled by loosely coupled, independently deployable modules that can work together or separately. Microservices architecture stands in stark contrast with monolithic platforms that require expensive on-premise technology – that is especially hard to maintain in the context of a pandemic.

The MDMaaS microservice-delivered modules introduced in 2020 include:

Xignite Entitlements and Usage - Manage the entitlement of vendor data to users and applications to ensure compliance and eliminate excess spend.

Xignite Optimization - Streamline data consumption to avoid duplicated vendor requests, leverage cached bulk data and get recommendations to reduce data costs.

Xignite Data Lake - Centralize, catalog and connect data shapes to enable frictionless integration by consumers via unified cloud APIs.

Xignite Reference - Aggregate, normalize, store and index vendor reference data to centralize enterprise-wide access.

Xignite Historical - Provide centralized access to normalized, stitched and adjusted historical data via cloud APIs.

Xignite Real-Time - Distribute real-time vendor data via cloud APIs, eliminating on-premise infrastructure.

Xignite Fundamentals - Make simple and complex time-series data structures available via cloud APIs.

“Xignite has pioneered market data in the cloud for more than 10 years now, so we are very excited to announce – and be recognized for – our Market Data Management-as-a-Service solution,” said Stephane Dubois, CEO, and founder of Xignite. “The pandemic has reinforced the need for financial services firms to migrate to the cloud as a means of navigating disruption and enabling scalability, among other benefits. We are proud to spearhead that effort and help the industry modernize its approach to financial and market data.”

About Xignite

Xignite has been disrupting the financial and market data industry from its Silicon Valley headquarters since 2006 when it introduced the first commercial REST API. Since then, Xignite has been continually refining its technology to help fintech and financial institutions get the most value from their data via its Data-as-a-Service and Market Data Management-as-a-Service solutions. Today, more than 700 clients access over 500 cloud-native APIs and leverage a suite of specialized microservices to build efficient and cost-effective enterprise data management solutions. Visit http://www.xignite.com or follow on Twitter @xignite

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