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Race to be the Big Wheel in Fintech

Xignite

Financial News Market Data CloudPoliticians’ pronouncements are often evasive but when George Osborne declared his hopes for
the future of financial technology in Britain, he did not mince his words.

Speaking at the launch of Innovate Finance, a fintech lobby group, in August, the Chancellor of the
Exchequer said: “I’m here today because I want the UK to lead the world in developing fintech. That’s my ambition – short and sweet. We have all the ingredients we need.” 

Nobody could fault his confidence. But was he right about that last bit? Is the mix of ingredients in
the UK quite right for world leadership?

To take the lead in fintech innovation, the UK would be challenging the US, which boasts Silicon
Valley, the world’s biggest tech centre, and Wall Street, which is breeding its own fintech
entrepreneurs.

A glance at where the money goes makes the UK look like a lightweight squaring up to a
heavyweight champion – of the $3 billion invested in fintech last year more than 80% was in the
US, according to consultancy Accenture. Mike Laven, the chief executive of the Currency Cloud,
based in London, has been working between the UK capital and his native Silicon Valley for more
than two decades. He said: “Every time you read about a $30 or $40 million deal in Silicon Valley,
that is contributing to the talent, whether it is technical or commercial talent. You don’t have the
breadth of that community here.”

The community is growing, however, for the very reason that originally made Silicon Valley grow –
London has all the right people in the same place. In fintech innovation, Silicon Valley is catering
for one of the world’s greatest financial centres and London for the other. Silicon Valley caters for
Wall Street, the far side of the US. London caters for … London.

If a fintech entrepreneur in Level 39, the incubator in One Canada Square in Docklands, wants a
chat with a potential customer in Barclays, HSBC, Citi, or any of the other big financial institutions
nearby, they can meet in Taylor St Baristas or Carluccio’s in about the time it takes to get their
coffees ready. Silicon Valley’s fintech entrepreneurs also want to talk to clients – but getting to Wall
Street means a five-hour flight to New York.

These are the ingredients that could give London an edge. Laven said: “I’m quite bullish on London
and I’ve been around this for some time. Ten years ago, we didn’t have the ecosystem of investors
and meetings and meet-ups and accelerators and all of the stuff that came in the last two years.”

London also outpunches Silicon Valley in other ways. Silicon Valley may dwarf London in fintech
innovation but the fintech sector as a whole is much bigger in the UK because there is such a
substantial financial services industry. There are about 44,000 people working in the fintech sector
in London – more than both Silicon Valley and New York, according to research by South Mountain
Economics and Bloomberg Philanthropies.

Claire Cockerton, the chief executive of Innovate Finance, said: “We have a phenomenal
marketplace, the large existing incumbent banks are leaning forward to purchase and partner with
firms and we have a great consumer base.”

Having the City of London on your doorstep means start-ups that sell to financial institutions are
never too far away from their clients. And proximity to clients is key, say US fintech entrepreneurs.

Financial data firm Xignite, for example, is headquartered in San Mateo, California, but also has
offices at 48 Wall Street in New York. Stephane Dubois, founder and chief executive of the firm,
said: “If you’re selling to the banks and hedge funds, you have to spend time with your clients;
you’re going to have to be hanging out in the bars in New York, not San Francisco.”

Prabhu Venkatesh, chief scientist and co-founder of fintech firm Minetta Brook a capital markets
big data company with offices in Seattle and New York, said: “We have to be steeped in Wall
Street.”

London also has advantages simply because of its position on the planet – it is in the European
Union and in a time zone between Asia and the US. It is both an attractive destination for European
start-ups looking to expand and for companies looking to target emerging markets.

Amit Pau, managing director at London- based venture capital firm Ariadne Capital, said: “It has
the benefi ts of operating under the regulatory framework within Europe and remains compatible
with the time-zone differences with Asia.”

Ismail Ahmed, chief executive of London-based remittance company WorldRemit, says the UK’s
capital is well placed to lead in global fintech because it is that much more focused than the US on
“rest of world” solutions. Ahmed said: “Residing in a global financial hub that sits atop the prime meridian brings a certain perspective.” WorldRemit raised $40 million from Californian venture and growth equity firm Accel Partners in March.

Continental European companies that have recently set up shop in London say it was a natural
destination when looking to expand beyond their native markets.

Nick Bortot, the chief executive of Netherlands-based mobile trading company BUX, said: “As a
fintech firm from Amsterdam, London was naturally our next port of call. Like many fintech firms
from small European countries, we saw our home market as a testing ground. Once we proved our
product worked, we moved onto London as the first stepping stone to going international.”
In Silicon Valley, it is not just the weather that is sunnier than in London, according to several fintech
firm founders who have worked in the US and the UK. They say American culture is more forgiving
of failure, which makes it more attractive to entrepreneurs.

Brian Sentance, chief executive, of data management firm Xenomorph, which has offices in New
York and London, said that while London’s technology start-up environment has improved
dramatically in the past decade: “The biggest aspect that the US has is optimism.”

But while Silicon Valley certainly does not lack appeal for bright ambitious tech minds,
practitioners warn that growing in the US, particularly for fintech firms, may be more arduous than it looks. Not least because – unlike in the European Union,where firms need authorisation from only
one national regulator to operate in other member states – in some cases, fintech firms will need
separate authorisation from each US state they want to work in if they are dealing in sectors such
as payments or money transmission.

Richard Goold, a corporate partner at Wragge Lawrence Graham & Co, a law firm in London,
said: “You can get a regulatory approval in one European state and then simply passport it into
other EU states by notifying the relevant regulators. This is much quicker and easier then seeking a
new approval for each country or for each state in the US, which can sometimes happen.”
Aiming to make London an even more attractive destination for fintech, the UK government has
stepped up its game, introducing tax incentives for start-ups and measures specifically aimed at
fintech companies.

In August, for example, Osborne announced a programme to look into how virtual and digital currencies could or should be regulated in the UK, and legislation to help small and medium-sized businesses access alternative sources of finance if they are turned down for loans by their bank.

These measures could help London become a prime destination for alternative finance providers,
such as peer-to-peer lenders and cryptocurrency businesses, market participants say.
By contrast, the State of New York has proposed passing a regulatory framework on digital
currency called BitLicense, which some practitioners say creates expensive and complex
obligations for start-ups.

Gareth Jones, co-founder and general partner at New York-based fintech venture capital firm
FinTech Collective, said: “It could go one of two ways, either it makes it pretty onerous to start a
crypto-related business in New York and could push businesses to move to London. Or it creates a
set of rules and makes it very clear and understandable to attract businesses.” FinTech Collective is looking to setup shop in London, Jones said.

In line with Osborne’s fintech friendly attitude, the UK’s Financial Conduct Authority has also
extended a welcoming hand to the fintech community, launching Project Innovate, a programme
aimed at fostering innovation in financial services. The project will include the creation of an
incubator to help applicants through its authorisation process.

Mind the gap

While entrepreneurs in London welcome the government’s initiatives, they say the US has one
major advantage over Britain. London has a much smaller venture community and there is a gap in
funding of businesses that have got beyond the early start-up stage but are not yet making proper
profits, entrepreneurs say.

American-born Clare Flynn Levy, the founder and chief executive of Essentia Analytics, a Londonbased behavioural finance fintech start-up, said: “The missing link in London is capital.”

She added: “Ultimately, what makes UK companies move to the US is the fact that the US has a
competitive advantage when it comes to access to capital and, historically, US venture funds have
not had much natural incentive to invest overseas.”

Ironically, while London can boast being the home of Zopa, the world’s oldest peer-to-peer lending
platform, the US will soon be home of the first large peer-to- peer marketplaces to go public. San
Francisco-based peer-to-peer lending company Lending Club filed for a $500 million initial public
offering in August.

Philippe Gelis, the founder of currency transfer start-up Kantox, says London investors are, in some
cases, afraid of putting money behind this still fairly new sector. Gelis said: “Start-ups in the US
have the benefit of a more risk-happy culture, which has led to fintech firms such as Lending Club
making it all the way to a planned IPO.”

While competition is heating up between London, New York and Silicon Valley, some point out that
the race may very well include many other contenders.

Jones at FinTech Collective said that, while he sees London’s strengths and potential, he believes
that because of regulation, the fintech sector will develop as several leading hubs globally, rather
than just one. He said: “We will see a number of hubs. We will see London and New York absolutely but also Israel and Singapore and Sydney and, of course, Silicon Valley.

Each hub has its own spin

It seems every major American city wants to be a centre for fintech. Silicon Valley and New York
remain the most important hubs cited by fintech entrepreneurs and investors. But plenty more are
aiming to kick-start a local scene with a mix of local government and private sector initiatives.

Boston is often cited as a potential US fintech hub because of its broad bench of financial firms
from State Street to Wellington Management and a wide range of other money managers. Earlier
this year, big-name financial services fi ms including Thomson Reuters, Fidelity Investments and
Amazon threw their weight behind a planned Boston programme for fintech start-ups that will help
them access the data they need.

Atlanta, home to payment-processing firms such as ADP and First Data, has also increasingly
become a destination for start-up companies in the sector.

But Chicago, the place where high-frequency trading firms Jump Trading and Getco got their start,
has been less of a standout as a fintech hub, several lawyers and entrepreneurs said. Its start-up
accelerators and incubators do not concentrate as intensely on financial technology as in other US
cities.

Nevertheless, futures and options giant CME Group, based in Chicago, started a venture fund
early this year to invest in fintech start-ups that could benefit the group.

St Louis, a dark horse in the race, is working to put itself on the map, citing a cheaper cost of living
in the mid-west and a strong financial services tenant base. The mid-western city is home to
Citigroup’s mortgage lending unit, financial advisory firm Edward Jones and Wells Fargo Advisors,
among others.

Joe Reagan, president and chief executive of the St Louis regional chamber of commerce, said he
was promoting “start-up innovation in flyover country”. The chamber has invested more than $1
million in initiatives for start-ups.

Kevin Alm, principal in the client solutions group at Edward Jones, said it was a “loser’s game” to
try to be the next Silicon Valley – instead, the St Louis area should promote itself because of its
range of financial companies.

Reagan said mentoring between large and small financial companies is a core part of economic
development officials’ efforts. He said: “The secret sauce is that all of these start-ups get to be
connected with these large companies.”

The physical distance is not the only divide between the East and West coasts of the US, investors
and start-up founders say. There are also cultural differences between the types of fintech workers
and firms that populate Silicon Valley and Wall Street.

For one, West Coasters tend to have an eye for disruptive technologies, founders say. On Wall
Street, however, more fintech firms get their start working with large financial institutions.

Francis Wenzel, chief executive of big data firm TickSmith, which is based in Montreal with offices
in New York, added: “In New York, fintech firms take uncool problems and say how can we apply
cool technology to solve them. In Silicon Valley, it is more technology-led.”

There are also different attitudes to scale and profit, according to Stephane Dubois, founder and
chief executive of financial data firm Xignite, which is headquartered in San Mateo, California with
offices at 48 Wall Street in New York

Dubois said of New York: “People come from the industry, they have relationships. They always
find the first 20 customers. They can always get to a certain size and profitability pretty quickly.
What they might not get is big. Once you have 15 to 20 clients, you’ve probably been very custom
and not scalable.”

He added: “In Silicon Valley, they want to build something that can grow big and will stay away from
customisation.”

Source Financial News

RECENT NEWS

Read the article on A-Team Insight Blog

By Mike O’Hara, Special Correspondent

Cloud-delivered market data was once ‘over my dead body’ territory for institutional market data managers, who understandably fretted aloud about performance, security and licence compliance issues. But Covid-19 has forced those same data managers to confront the fact that many of their professional market data users are able to work from home (WFH), in turn driving financial firms to question whether the pandemic could be the catalyst for a rethink of their expensive-to-maintain market data infrastructures, with cloud part of the data delivery solution.

For many financial firms, today’s cloud delivery and hosting capabilities offer a viable solution for supporting trading and investment teams and their support staff, accelerating demand for cloud-based market data delivery infrastructures. The thinking is that cloud may help firms with their broader aim of reducing their on-premises technology and equipment footprint, a trend that was emerging even before the Coronavirus struck.

But embracing cloud delivery introduces new challenges for market data and trading technology professionals. While WFH will doubtless continue in some form, it’s far from clear that all market data delivery can be migrated to the cloud. Essential market data functions will remain on-premise. High-performance trading applications and low-latency market data connectivity, for example, will continue to rely on state-of-the-art colocation and proximity hosting data centres.

For many financial institutions, the challenge will be how to manage these several tiers of market data delivery and consumption. Going forward, practitioners will face a three-way hybrid of on-premises, cloud-based (private/public) and collocated market data services in order to support a range of users: from work-from-home traders and support staff to trading-room-based traders, analysts and quants, to collocated electronic applications like algorithms, smart order routers and FIX engines.

Indeed, A-Team will be discussing the infrastructure, connectivity and market data delivery challenges associated with cloud adoption in a webinar panel session on November 3. The webinar will offer a ‘reality check’ that discusses best practices for embracing cloud, colo and on-prem to support this new mix of user types, with emphasis on capacity, orchestration, licensing, entitlements and system / usage monitoring.

With firms’ appetite for exploring the potential of the cloud piqued, data managers are now looking at whether they can hope to take advantage of some of the more widely recognised benefits of the cloud – flexibility, agility, speed-to-market, scalability, elasticity, interoperability and so on – as they grapple with the future market data delivery landscape.

“Market data infrastructure, in terms of data vendor contracts, servers, and data centre space, typically represents a large, lumpy, cap ex expenditure”, says independent consultant Nick Morrison. “And so having the ability to transition that to something with costs that are more elastic, is highly attractive”.

Of course, every firm has its own unique requirements and nuances in this regard. Proprietary trading firms, asset managers, hedge funds, brokers and investment banks are all heavy consumers of market data. But the volume, breadth, depth and speed of the data they need in order to operate is highly diverse. Which means that there is no ‘one size fits all’ when it comes to sourcing and distribution mechanisms (including the cloud).

Market data and the cloud – what’s applicable?

As they consider their options for including cloud in their overall data delivery plans, data managers need to assess whether and how specific data types could be migrated to a hybrid environment: Level 1 (best bid/offer), level 2 (order book with aggregated depth at each price level) or level 3 (full order book)? Historic, end of day, delayed or real-time? Streaming or on-demand? This all has a bearing on the feasibility of cloud as a delivery mechanism.

Firms also need to consider their mix of public and private cloud, or what mix or hybrid cloud solution best fits their needs. What about virtualisation? Or internal use of cloud architecture, such as building a market data infrastructure around microservices and containers?

The marketplace already has identified at least one workable use-case: the use of historical, tick or time-series market data, usually to drive some form of analytics. A growing number of trading venues (such as ICE and CME) and service providers (Refinitiv, BMLL and others) now offer full level 3 tick data on a T+1 basis, delivered via the cloud. Plenty more providers can offer historic level 1 & 2 data.

This kind of capability can be used for critical use-cases, such as back-testing trading models for signal generation and alpha capture, performing transaction cost analysis (TCA), developing and testing smart order routers (SORs), or fine-tuning trading algos to better source liquidity. In all of these cases, cloud-hosted historical tick databases can reduce on-premises footprint and cost, while offering flexible access to vast computing resource on demand, and many are finding this compelling. “When churning through such vast quantities of data, having access to a cloud environment enables you to scale up horizontally to process that data”, says Elliot Banks, Chief Product Officer at BMLL.

Where things start to get more complicated, though, is with real-time market data, where two of the biggest hurdles from a cloud delivery perspective are speed and complexity.

Deterministic speed

From a trading standpoint, speed is always going to be a significant factor. Nobody, regardless of whether they’re an ultra-low latency high-frequency trading firm or a human trader dealing from a vendor or broker screen, wants to trade on stale prices. The tolerances may be different but the principle applies across the board.

It’s a safe bet that any firm currently receiving market data directly from a trading venue into a trading server (collocated at the venue’s data centre or hosted at a specialized proximity hosting centre operated by the likes of Interxion) relies on deterministic low latency, and is therefore unlikely to consider cloud as an alternative delivery mechanism.

Clearly, HFT firms with trading platforms that require microsecond-level data delivery won’t be replacing their direct exchange feeds and often hardware-accelerated infrastructure with the cloud, as the performance just isn’t there, for now at least. This, of course, could change if and when the trading venues themselves migrate to cloud platforms, creating a new kind of colocation environment, but that’s likely some way off. “But these guys only have a few applications that really need ultra-low latency data”, says Bill Fenick, VP Enterprise at Interxion. “Most of their applications, be they middle office, settlements or risk, they’re perfectly happy to take low-millisecond latency”.

And what about other market participants? Particularly those that currently make use of consolidated feeds from market data vendors, where speed is perhaps a secondary consideration? This is where cloud delivery may have some real potential. But it’s also where the issue of complexity rears its head.

Navigating the complexity

To deal with the myriad of sources, delivery frequencies, formats and vendor connections used to feed real-time market data into their trading, risk, pricing and analytics systems, many financial firms have built up a complex mesh of infrastructure that ensures the right data gets delivered to the right place at the right time. The integration layer required to handle these data inputs may be delivered as part of the data service or may stand alone as a discrete entity. In either case, it’s unrealistic to expect that all of this infrastructure can just be stripped out and replicated in a cloud environment.

To address this challenge, some service providers are starting to offer solutions where the source of the data is decoupled from the distribution mechanism, aiming for the holy grail where either, or both, can be cloud-based.

By building individual cloud-hosted microservices for sourcing market data, processing that data in a variety of ways, and delivering it into end-user applications, such solutions can help firms migrate their market data infrastructure incrementally from legacy to cloud-based platforms. Refinitiv is starting to shift much of its infrastructure onto AWS, and other specialist cloud-centric vendors such as Xignite and BCC Group also enable internal systems to be decoupled from data sources, thus facilitating a shift towards cloud-based infrastructure. “We believe the customer should be able to easily move from source to source and get as many sources as they want. The cloud enables this kind of flexibility”, says Bill Bierds, President & Chief Business Development Officer at BCC Group.

Firms have long wanted to become more vendor-agnostic by decoupling their data integration capability from the primary data source. One investment bank in London, for example, was able to decouple Refinitiv’s TREP platform from its Elektron data feed and switch to Bloomberg’s B-Pipe for its data, delivered via the TREP framework. From a market data perspective, this has given the bank more negotiating power and less vendor lock-in, opening up greater opportunities to utilise cloud-based market data sources in the future.

Permissioning and entitlements

Perhaps one of the toughest challenges that firms face around real-time market data on the cloud is that of entitlements and usage authorisation. Firms sourcing data from the two main data vendors, Refinitiv and Bloomberg, will generally be tied into their respective DACS and EMRS entitlements systems, often augmented by data inventory and contract management platforms like MDSL’s MDM or TRG Screen’s FITS and InfoMatch.

Entitlements can be a thorny subject when it comes to cloud-based distribution of market data. Firms are wary of falling foul of their licence agreements with their various data vendors, all of whom have different commercial considerations and penalties for non-compliance. This is why accurate tracking and reporting of market data access and usage is crucial.

The cloud can be a double-edged sword in this regard. One the one hand, transitioning from a dedicated infrastructure to the cloud might trigger extra licensing costs for what is effectively an additional data centre, so they may need to go through a period of paying twice for the same data. Indeed, firms may already be facing this situation as they entitle staff to operate from home while holding enterprise licences covering only their headquarters and regional offices.

On the other hand, cloud-based services such as those offered by Xignite and others can make it easier for firms to manage entitlements across multiple data vendors from a central source via a UI. “Our entitlements microservice is integrated with our real time microservice, to make sure that any distribution and any consumption of data is authenticated and entitled properly, so that only the right users have access to the data,” says Stephane Dubois, CEO of Xignite, whose microservices suite is supporting NICE Actimize’s cloud-based market data delivery infrastructure.

Where next?

With new products, services and technologies emerging all the time, firms can be optimistic about the growing opportunities that the cloud can offer for managing market data. One particularly interesting development worth watching is the rise of Low Code Application Platforms (LCAPs), such as that offered by Genesis, which provides a cloud-based microservices framework that can be used for rapidly developing and delivering applications around real-time market data. One example is on-demand margining. “A prime broker can link to all of its customers and know exactly what their risk positions are based on real-time market data, so within minutes, they can be sending out margin calls”, says Felipe Oliviera, Head of Sales and Marketing at Genesis.

Industry behemoths such as Refinitiv, SIX and FactSet are also embracing the cloud. Refinitiv has now launched delivery of market data via AWS, is making its tick history data available on Google Cloud and has also recently announced a partnership with Microsoft Azure. FactSet has launched a cloud-based ticker plant on Amazon EC2. And SIX is partnering with Xignite for real-time market data delivery via the cloud. Bloomberg is also partnering with AWS to make its B-Pipe data feed available through the cloud. And the main cloud vendors themselves – Amazon, Google and Microsoft – have established dedicated teams to develop these markets

In conclusion, it’s clear that there are a number of challenges that firms still face when transitioning any part of their market data infrastructure to the cloud. (To register for A-Team’s free webinar on the topic, click here.) And in many cases, particularly where ultra-low latency is required, cloud is not the answer. But equally, by migrating certain elements of their market data infrastructure to the cloud, cost savings can be achieved, efficiencies can be gained and firms can potentially do more with less.

10/21/2020

Xignite, Inc., a provider of market data distribution and management solutions for financial services and technology companies, today announced it won the Best Real-Time Market Data Initiative at the Inside Market Data & Inside Reference Data Awards.

A longtime leader in the market data cloud space, Xignite provides financial data through its innovative cloud APIs, which are developer-friendly, reliable and endlessly scalable. Xignite data is normalized and ready-to-use, eliminating common pain points with legacy providers, while maintaining global coverage and institutional quality.

This award recognized Xignite’s work with SoFi, a leading digital personal finance company. In 2019, SoFi launched SoFi Invest, a free consumer investing service, and enlisted Xignite to power the entire platform, from its robo-advisor capabilities, to financial newsfeed, to real-time market alerts and curated stock list. SoFi has identified a number of ways in which these key features are driving member engagement – for example, 10% of users who receive a market alert make a trade within an hour. For more details on this collaboration, download the case study HERE.

“We are honored to be recognized for Best Real-Time Market Data Initiative. Xignite was the first to bring market data to the cloud, and we have continued to innovate and point the way to the future of this unique subset of the industry,” said Stephane Dubois, CEO and Founder of Xignite. “The SoFi collaboration is a great example of how a firm can leverage our diverse range of APIs to build an all-encompassing platform and scale it rapidly. As we look to the future, we will continue to serve our clients through transformative offerings, including our suite of Xiginite Enterprise Microservices, which we announced in July.”

The Inside Market Data & Inside Reference Data Awards are held by WatersTechnology and recognize industry excellence within market data, reference data and enterprise data management. The award ceremony took place during the publication’s Innovation Exchange held virtually from September 9 to September 22.

This is the latest honor in what has been a fruitful year for Xignite on the awards circuit. In the spring, the firm was named an SIIA CODiE Awards finalist and included on the WealthTech 100 list.

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. 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

About the Inside Market Data and Inside Reference Data Awards
The annual Inside Market Data and Inside Reference Data Awards, now in their 17th year, play a key role in WatersTechnology’s awards program, and are the only awards that feature a mix of call-for-entry categories determined by a panel of judges and categories compiled by WatersTechnology’s journalists and voted on by the brand’s readership. This year’s awards featured 32 categories in total: 21 call-for-entry categories, 10 journalist-compiled categories, and a hall of fame (lifetime achievement) award.

09/23/2020

Over time, the market has come to embrace cloud in more and more aspects of trading technology. Processing large sets of data and calculation of computationally intense formulas (or both) are common uses of cloud. While the market may not be quite ready to move every part of the trading cycle to the cloud, market data is becoming more and more mainstream. 

Market Data + Cloud Solutions

In fact, somewhat ironically, market data is very fertile “ground” for cloud offerings. Not only are third-party cloud providers continuing to enhance their market data offerings (i.e., Bloomberg,[1] Refinitiv,[2] Xignite[3]), but exchanges are also offering access to data directly via their own cloud services or innovation partners (e.g., CBOE,[4] IEX,[5] Nasdaq[6]). In a post-COVID-19 world, cloud has only become more entrenched in the trading lifecycle across both buy-side and sell-side firms. Even looking back to views from 2019, the growing importance of cloud servicing market data needs is clear.

In fact, almost three-quarters of respondents in our 2019 Market Data Study[7] identified innovation in market data as highly important, with cloud seen as the second most impactful innovation (trailing only slightly behind artificial intelligence). 


Read entire blog post by Shane Swanson, Senior Analyst, Market Structure and Technology at Greenwich Associates.

09/22/2020

Xignite, Inc., a provider of market data distribution and management solutions for financial services and technology companies, announced today that it recently enhanced its Bond Master API. Xignite offers several APIs that provide real-time, delayed, historical fixed income pricing and reference data for corporate and agency debt bonds. The Bond Master API enhancement increases the coverage from the United States to 190+ countries, adds additional bond types to support more than 2 million active bond issues, and increases the ease of use of the API with several new endpoints.

Unlike legacy fixed-income data solutions, Xignite’s Bond Master API is cloud-native and offers a robust selection of use-case-based endpoints. Developers can easily integrate these endpoints into their product or app, regardless of type, amount, or frequency of data, without the need for any complex integration logic. Unlike file-based data delivery solutions, the Bond Master API makes on-demand integration into downstream security master or compliance systems frictionless.

Additional detail on the enhanced Bond Master endpoints:

  • The List endpoint for bond type, issuer type, and domicile enables clients to slice and dice the bond universe differently based on use-case.
  • The ScreenBonds endpoint enables clients to dynamically and easily screen the bond universe by combining criteria based on the coupon rate, maturity date, callability, and issue convertibility.
  • The ListBondDataPoints and GetBondDataPoints endpoints enable clients to more easily pick and choose the reference data points they need to integrate into their systems.
  • The GetBondDataPoints endpoint enables access to additional reference data points without requiring changes to an existing implementation.

“Because much of the benefits of a reference data service derives from its breadth, depth and quality of coverage, these enhancements give you the added peace of mind that comes from knowing your holdings are validated against a complete universe,” said Vijay Choudhary, Vice President, Product Management, Market Data Solutions at Xignite. “These enhancements eliminate the need to maintain an on-site bond security master, which ultimately saves our clients time and eliminates significant unnecessary expenses.”

Additional bond issuer types now include: Government Agency, Government Controlled Company, State Government, Supranational

Additional new bond types now include: Bankers Acceptance, Capital Securities, Cash Management Bill, Certificate, Certificate of Deposit, Commercial Paper, Covered Bond, Debenture, Depository Receipt, Discount Notes, Loan Note, Loan Stock, Medium Term Notes, Note, Permanent Interest Bearing Shares, Preferential Security, Preferred Security, Reference Bills, Structured Product, Strip Package, Treasury Bill

Additional reference data points are also now available for all bond types:

  • Issue instrument identifiers (CUSIP, ISIN, Symbol, etc.)
  • Bond Issuer details including issuer name, domicile, unique company identifier, issuer status, industry and sector
  • Bond Issue details including maturity, coupon, coupon type, par value, dated date, distribution and amortization details, day count convention, original issue details, liquidation right, callable, convertible, guarantor, redemption, and other issue details

This is just the latest example of Xignite’s ability to innovate. Earlier this year, the firm unveiled its suite of market data management microservices and also received a patent for its market alerts technology.

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. 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

09/16/2020