Financial information and analytics supplier Interactive Data has launched a new service that allows institutions to take a set of US market data at a fixed speed, potentially reducing the management and costs of market data and applications.
The Essential Equities Service, which will be offered under Interactive Data’s Real-Time Services division, delivers a customised set of data from US exchanges Nasdaq OMX and NYSE Euronext, and only sends out one quote update per second, thereby helping clients to minimise bandwidth, decrease real-time market data costs and reduce the amount of hardware required to process data.
According to Interactive Data, the product will reduce NYSE market data volumes by 85% and Nasdaq data volumes by 50% and will be most useful for institutions that use data to price portfolios, feed websites and publish quotes on websites.
The tool only disseminates best bid and offer (BBO) data for each instrument and does not include regional exchange updates that do not contribute to the BBO price. In addition, exchange administration and control messages are not included, further reducing message size and traffic.
“As annual growth rates in market data volumes continue to escalate, our clients are finding that dealing with these large volumes can be expensive and time consuming,” said Jay Kilberg, managing director of feed solutions, Interactive Data. “Our new Essential Equities Service is one of a series of Interactive Data’s offerings that can help our clients to better manage growing market data volumes as well as bypass data that is not critical to their investment processes.”