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Asia and Latin America News Network focusing on Financial Markets, Energy, Environment, Commodity and Risk, Trading and Data Management

Bloomberg Bows to Pressure to Maintain Support for BUID Indefinitely

The migration plans of data giant Bloomberg to gradually move users from its BUID identifier to its new Bloomberg Global ID (BBGID), which is at the heart of its open symbology initiative, have hit a roadblock. Users have exerted pressure on the vendor to step back from the initial migration timeline and to maintain support for the BUID indefinitely, and the vendor has agreed, for now at least.

Source: A-TEAM, 12.10.2010

Filed under: Data Management, News, Reference Data, , , , , , , ,

Reference Data Review Special Report: Impact of Derivatives on Reference Data Management

They may be complex and burdened with a bad reputation at the moment, but derivatives are here to stay. Although Bank for International Settlements figures indicate that derivatives trading is down for the first time in 10 years, the asset class has been strongly defended by the banking and brokerage community over the last few months.

The industry is, however, on course for a significant overhaul of the regulatory regime governing the OTC derivatives market, both in Europe and the US. This, of course, means that the post-trade processing of these instruments is set for big changes. Credit default swaps (CDSs) are the first of the credit derivatives to be ushered onto clearing counterparties in a bid to reduce counterparty risk, but they will likely not be the last.

Moreover, the market is also awaiting the introduction of an alternative standard to the current five character Options Price Reporting Authority (Opra) codes next year. Earlier this year, the Options Clearing Corporation (OCC) was named as the operator of the new options symbology system, which has been estimated to cost the industry around US$250 million to introduce.

All of these changes are likely to have a significant impact on the data management systems for these complex instruments, requiring the introduction of new processes and procedures. A challenge indeed for the vendor community.

Download: Referene Data Impact of Derivatives RDR Special Report June 2009

Source: A-Team, 09.06.2009

Filed under: Data Management, Exchanges, Library, News, Reference Data, Risk Management, Standards, , , , , , , , , , , , , , ,

Pan-European Platforms Form Symbology Working Group

Chi-X Europe, Nasdaq OMX Europe and BATS European Markets Division have formed a working group to create a uniform symbology for European equities. The three companies said today that the initiative will allow market data to be more easily consolidated across trading venues and facilitate smart-order routing.

“A common symbology will ease navigation between market centers and ultimately provide a better experience to investors,” said Todd Golub, head of markets development at Nasdaq OMX Europe, in a statement. “This move will also reduce the back-office complexities” related to the European Union’s Markets in Financial Instruments Directive (MiFID), which went into effect about a year ago. Nasdaq OMX Group’s multilateral trading facility (MTF) began limited operations Sept. 26.

“Customers will now only need to manage one common list” of symbols, Golub added in an interview. “It will also drive down the cost of trading in Europe and help liquidity move from the primary exchanges.” Participation in the effort is open to all European venues–both exchanges and MTFs–said the companies.

Source: Securities Industry News, 22.10.08

Filed under: Data Management, Exchanges, Market Data, News, Reference Data, Standards, , , , , , , , , , , ,