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

A-Team Insight Blogs

Markit Launches Extension to Reference Entity Database, RED for Equities

Share article

Markit has developed an extension to its Reference Entity Database (RED) product, RED for Equities. The solution is already in use by clients.

The vendor reports a growing interest in RED from clients whose primary interest is not credit derivatives but who want to use RED, which Markit says has set the standard for entity identification, as a mapping tool. A key area of use outside credit is equities.

Says John Price, managing director, equities at Markit: “People want to be able to see how instruments in different asset classes relate to one another. So for example, if you saw the implied volatility of an equity put option increasing, you might want to see how the corresponding credit spread was reacting. People need an accurate common entity identifier to link the performance of all the related assets issued by a particular company.”
RED for Equities enables users to uniquely identify issuers in the equity space while using the same 6-digit RED code for the credit default swaps, Price says. This enables users to see the behaviour of equity instruments against referenceable bonds and CDSs.

Related content

WEBINAR

Recorded Webinar: How far should counterparty screening go? Balancing the ideal and the realistic

Counterparty screening is a regulatory requirement, but do you know enough about your clients’ clients, and beyond? How can you source this information and how does it benefit your business? How far do you need to dig into entity ownership structures? This webinar discusses these challenges and how they relate to your organisation, whether you’re...

BLOG

LexisNexis Risk Solutions Partners with Cabinet Office on Fraud Detection

Global data and analytics provider LexisNexis Risk Solutions has partnered with anti-fraud data management company Synectics Solutions to work with the Cabinet Office on the UK’s National Fraud Initiative (NFI). The NFI is a government-led exercise first launched in 1996 that matches data within and between public and private sector bodies to prevent and detect...

EVENT

Data Management Summit USA Virtual

Data Management Summit USA Virtual will explore how sell side and buy side financial institutions are navigating the global crisis and adapting their data strategies to manage in today’s new normal environment.

GUIDE

Entity Data Management Handbook – Sixth Edition

High-profile and punitive penalties handed out to large financial institutions for non-compliance with Anti-Money Laundering (AML) and Know Your Customer (KYC) regulations have catapulted entity data management up the business agenda. So, too, have industry and government reports on the staggering sums of money laundered on a global basis. Less apparent, but equally important, are...