About a-team Marketing Services
The knowledge platform for the financial technology industry
The knowledge platform for the financial technology industry

A-Team Insight Blogs

EDI Teams with Derivative Partners to Deliver Independent Valuation of Structured Products

Subscribe to our newsletter

Exchange Data International (EDI) has forged an agreement with Derivative Partners to offer an independent valuation service for structured products and complex derivatives. The service was introduced this week in response to increasing client demand for independent portfolio valuations designed to meet regulatory requirements for transparency.

Zurich-based Derivative Partners provides daily valuations, calculating over 200,000 instruments using an independent database and proprietary valuation models. The service covers result sets combining various asset classes, including equity, indices, foreign exchange and commodities, and has the flexibility to integrate new payoffs and pricing models. The company currently covers European structured products, but it has the staff and models to expand both product and jurisdiction coverage depending on market demand.

Andreas Kropf, managing director of Derivative Partners Research, says: “We have been continuously developing and enhancing our coverage of complex derivative instruments. The partnership with EDI allows us to bring our valuation capabilities to a larger audience.”

Jonathan Bloch, CEO at EDI, describes the arrangement with Derivative Partners as a new initiative for the company. “Interest in independent valuations is growing as more derivatives move from OTC to on exchange status,” he says. “We have spoken to other potential providers of independent valuations for structured products and complex derivatives in the past, but Derivative Partners has the coverage people are interested in. It is not itself a provider of structured products and has great credibility.”

One of Derivative Partners’ latest link-ups was a deal made in February with SIX Financial Information under which SIX has added Derivative Partners Research structured products and complex derivative valuations to its pricing service.

Bloch continues: “We provide valuations of listed securities, but people have more products in their portfolios and we can help them. For structured products and complex derivatives valuations we needed specialist knowledge, which Derivative Partners provides.”

With reference data and corporate actions as its core business – the company will soon extend its reference data to cover mortgage-backed securities – EDI prefers to partner in other areas. Says Bloch: “We don’t cover derivatives, but we will start to look at them as swaps move onto exchanges. Then we will look at adding reference data and partners who can provide independent valuations.”

Subscribe to our newsletter

Related content

WEBINAR

Recorded Webinar: How to optimise SaaS data management solutions

Software-as-a-Service (SaaS) data management solutions go hand-in-hand with cloud technology, delivering not only SaaS benefits of agility, a reduced on-premise footprint and access to third-party expertise, but also the fast data delivery, productivity and efficiency gains provided by the cloud. This webinar will focus on the essentials of SaaS data management, including practical guidance on...

BLOG

Duco Acquires Unstructured Data Management Specialist Metamaze

Duco, a provider of SaaS AI-powered data automation, has acquired Metamaze, an Antwerp, Belgium-based company offering an AI-driven intelligent document processing SaaS platform that automatically processes, extracts and interprets information from any type of unstructured document. By combining the Metamaze and Duco platforms, customers can ingest any type of data from any type of document...

EVENT

TradingTech Briefing New York

Our TradingTech Briefing in New York is aimed at senior-level decision makers in trading technology, electronic execution, trading architecture and offers a day packed with insight from practitioners and from innovative suppliers happy to share their experiences in dealing with the enterprise challenges facing our marketplace.

GUIDE

Regulatory Data Handbook 2023 – Eleventh Edition

Welcome to the eleventh edition of A-Team Group’s Regulatory Data Handbook, a popular publication that covers new regulations in capital markets, tracks regulatory change, and provides advice on the data, data management and implementation requirements of more than 30 regulations across UK, European, US and Asia-Pacific capital markets. This edition of the handbook includes new...