SIX has acquired a majority stake in FactEntry – a global provider of fixed income reference data, analytics, and solutions – in a bid to solidify its position in the asset class as a provider of data and analytics globally.
The acquisition closed yesterday 27 March. Financial details are yet to be disclosed.
Marion Leslie, head of financial information and member of SIX’s executive board highlighted how the deal marks a significant step in the firm’s growth plans: “FactEntry’s expertise and data offerings will greatly enhance our fixed income data capabilities and enable us to provide even greater value to our customers.
“This acquisition represents a significant milestone in our plans to broaden the breadth and depth of our cross-asset content. By combining FactEntry’s expertise with our own, we are creating a truly compelling global cross-asset data provider for the front, middle, and back office.”
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FactEntry’s offering includes reference data and corporate actions which complement SIX’s existing cross-asset data capabilities, according to the firm.
SIX is also set to leverage FactEntry’s data collection and processing following completion of the deal, set to accelerate SIX’s time to market for new products and services.
Relatedly, a SIX and Coalition Greenwich report last August found that 80% of buy-side firms surveyed expect spending to go up across the board for market data in the next year.
With buy-side market data costs on the rise asset managers were shown to be tapping fixed income in particular, along with equities and exchange traded funds for the greatest spend looking forward. The report found that buy-side asset managers expected fixed income market data spend to go up by 13% in the next year, followed by 10% for equities and 10% for ETFs.