Real-time data distribution solution provider MDX Technology’s addition of MarketAxess as a provider of market data through its platform will help users attract liquidity from buy-side clients, according to Paul Watmough, CEO of MDX Technology (MDXT).
“We can, from the same secure channels and mechanisms, attract liquidity back on to [MarketAxess] trading platform, so we can hook into the trading platform API and post axes [indications of interest] back on to the trading platform,” says Watmough.
The MDXT data distribution platform, in turn, improves upon MarketAxess capabilities, making it easier for its users to subscribe to data sets and have that data delivered in real-time to Excel for analytics. MDXT is licensing its software to MarketAxess for its clients.
“While we set out with the objective of distributing data and making money from data, what’s transpired and was most interesting to MarketAxess is onboarding of access,” says Watmough. “An axe turns into a transaction which turns into profit.”
MDXT’s distribution of MarketAxess data is already live. MarketAxess serves about 1,200 firms, including about 1,100 buy-side firms and about 100 sell-side firms, including major tier 1 sell-side firms. The professionals using MarketAxess data include sell-side traders and buy-side asset managers, analysts and quants.
The next phase of MDXT’s collaboration with MarketAxess is delivery of data through an application programming interface for application developers. MDXT’s API is “more generic,” says Watmough, which offers more flexibility. Mobile app visualisation capability is also being considered, according to Watmough.