Interactive Data’s Fixed Income Evaluated Pricing Will Provide Algomi Honeycomb Clients with Pre-Trade Transparency and Price Discovery
Interactive Data, a leading, trusted provider of fixed-income evaluated pricing, today announced that it will provide hourly snaps from its continuous evaluated pricing feed to Algomi Honeycomb (“Algomi”). Interactive Data will provide evaluated prices to the Honeycomb platform for high-yield and investment-grade US and European corporate bonds. The data will be available to help Algomi buy-side clients to achieve increased pre-trade transparency and price discovery.
“Our goal is to give our clients the ability to access pre-trade price data which can be used to help facilitate trades in increasingly illiquid markets,” said Usman Khan, Chief Technology Officer and co-founder, Algomi. “Our Honeycomb buy-side clients will have access to Interactive Data’s evaluated prices as an important additional reference point that can be considered when comparing dealer bid and offer levels for execution,” he added.
Interactive Data’s continuous evaluated pricing launched in 2014 against a backdrop of a fast-evolving fixed income market structure characterized by shrinking dealer inventories, reduced liquidity, and a changing broker/dealer landscape. The continued shift to electronic trading platforms requires a supply of independent, high-quality data that allows users to assess quote quality and enhance price discovery, in the absence of traditional protocols. Continuous evaluated pricing facilitates this activity.
Andrew Hausman, President of Pricing and Reference Data at Interactive Data said: “Continuous fixed income evaluated pricing continues to expand its use cases to the fixed income community, on both the buy- and the sell-side. Helping clients with price discovery and transaction cost analyses and reporting are important areas of focus for us right now, as the market has been challenged to meet the expectations of regulators in this area.” The provision by Interactive Data of fixed-income evaluated pricing to Algomi is another deal in a succession of agreements with electronic trading and software platforms.