Thomson Reuters continues to build out its pricing service with the provision of intraday evaluated pricing for government and corporate bonds, and the promise of similar evaluated pricing availability for all fixed income instruments either this year or next.
The company says the addition of continuous pricing updates throughout the day from Monday to Friday is a response to customer demand for the ability to value portfolios on an ongoing basis, and gain greater accuracy and transparency. The intraday service also plays into regulatory requirements for better insight into the value of investment and trading portfolios that are typically calculated using end-of-day pricing from the previous day.
Thomson Reuters Pricing Service (TRPS) has offered continuous evaluated pricing updates for selected instruments for some time, but this offer was limited to instruments in regional markets that were open. The company’s extended offer provides evaluated pricing of instruments as they move with benchmarks 24 hours a day, five days a week, regardless of whether regional markets are open or closed. The pricing data is automatically updated and available via an intraday template on the company’s DataScope Select data delivery platform. It is accompanied on the template by supporting market data, assumptions and price recipes to provide transparency into how an evaluated price was reached.
Jayme Fagas, global head, valuations and transparency for Thomson Reuters pricing and reference services, says: “Customers need to know the value of their portfolios at any time of the day. They need greater transparency and can no longer rely solely on end-of-day pricing. Global accounting standards contained in regulations such as AIFMD, IFRS 13, Basel III and Solvency II require the ability to calculate net asset value at all times. By adding intraday pricing to our evaluated pricing service, we are answering just one of our customers’ most pressing needs.”
The intraday evaluated pricing service is available immediately to DataScope Select users and will be extended over the coming year to cover other asset classes such as securitised products and all appropriate fixed income instruments.