The leading knowledge platform for the financial technology industry
The leading knowledge platform for the financial technology industry

A-Team Insight Blogs

Bloomberg Should Succeed in Evals Business, TowerGroup Says

Share article

Bloomberg is likely to enter the evaluations business this year, and when it does make a proper attempt on the market, will probably have “reasonable” success.

This is the view of TowerGroup analyst Matt Nelson, who presented the findings of the analyst’s recent report on the providers of evaluated pricing at the recent Technology Solutions for Asset Managers event in London.

Nelson described Bloomberg as the “best kept secret” of the evaluations business. As first reported in Reference Data Review in April 2006, Bloomberg has been quietly building an evaluations service for some time, and had hired John Lynch, ex of EJV, to spearhead the effort – although he left shortly afterwards, reportedly over a disagreement about the revenue targets Bloomberg had set for the activity (Reference Data Review, September 2006). Other evaluations veterans are rumoured to have joined and left Bloomberg since that time, but, though the vendor itself remains characteristically tight-lipped about the timing of its launch, it continues to hire evaluations staff – recently advertising for people with experience in valuing mortgage and asset-backed instruments in New Jersey and New York.

According to Nelson, Bloomberg will be joining a business that is “fully matured”, despite the fact that evaluated prices are still less well accepted in Europe and Asia than they are in North America. Commenting on the incumbent providers, Nelson said the TowerGroup survey found that Interactive Data – still by far the dominant provider of evaluated prices – has strong global coverage and good support. He continued that the TowerGroup research suggests Reuters’ focus on the technology and support behind its evaluated pricing businesses leaves something to be desired, though he added that its efforts in Asia should pay off in the long term – as should Standard & Poor’s focus on Europe in the near-term. 

Going forward, the market should expect to see more partnerships between evaluations providers, and potentially some acquisitions, Nelson said, leaving delegates with the rather obvious advice that they should “choose vendors with strengths in (their) particular area.

Related content

WEBINAR

Recorded Webinar: How to leverage the LIBOR transition to improve your data management game

The transition away from LIBOR (London Interbank Offered Rate) is well underway, but there remains considerable ambiguity around how the final stages will be executed – especially with regards to benchmark replacements in markets outside the UK. What are the options, where are the uncertainties and what stage have firms reached in their preparations? The...

BLOG

GoldenSource Ushers Reference and Pricing Data into the Front Office with Quant Workbench

Extracting value from data is a priority for financial institutions as the business looks to increase efficiency, reduce costs, identify new opportunities and gain competitive advantage. Some source in-house tools to improve the quality and accessibility of internal and external data, others look to third-parties for solutions. A new tool from GoldenSource, Quant Workbench, brings...

EVENT

RegTech Summit Virtual

The RegTech Summit Virtual which took place in June 2020 was a huge success with over 1,100 delegates registered. We are currently working on our plans for 2021 and we hope to be back with an in-person event. Whatever the future holds you can guarantee our 2021 event will be back with an exceptional guest speaker line up of Regtech practitioners, regulators, start-ups and solution providers to collaborate and discuss innovative and effective approaches for building a better regulatory environment. Can't wait until 2021? make sure you sign up to our RegTech Summit Virtual, November 2020. More info...

GUIDE

Complex Event Processing

Over the past couple of years, Complex Event Processing has emerged as a hot technology for the financial markets, and its flexibility has been leveraged in applications as diverse as market data cleansing, to algorithmic trading, to compliance monitoring, to risk management. CEP is a solution to many problems, which is one reason why the...