FCA chooses BMLL to access deep market insights

The financial regulatory body will utilise Level 3 data and analytics from BMLL to better understand how markets behave.

The Financial Conduct Authority (FCA) has selected BMLL to access deep market insights through the latter’s Data Lab, Data Feed and visualisation tools.

BMLL claims that its Level 3 Data provides full transparency of the order book, derived from every single insert, modify, execute or delete order message across every venue.

As a client of BMLL, the FCA will now be able to access granular data to examine the behaviour of each individual order, including order probability, order resting time and order queue dynamics.

This data will give the FCA deeper insight into how capital markets firms are interpreting and benefiting from regulatory guidelines.

“The FCA has very clearly set out its strategy to become a data driven regulator,” said Paul Humphrey, chief executive of BMLL.

“This goes across multiple aspects of the financial markets. We are very proud to play our part in delivering on this strategy, working with the FCA specifically to help it analyse how markets behave, by providing granular Level 3 data and analytics to its team of data scientists.”

The FCA joins a list of market participants choosing BMLL for market insights. In May, Kepler Cheuvreux partnered with BMLL on order book analytics and algo development.

Elsewhere, Acquis collaborated with BMLL to offer members third-party verification of passive liquidity’s availability on Aquis compared to other European exchanges.