FESE to standardise post-trade equity data
25 January 2012 Brussels
Image: Shutterstock
The Federation of European Securities Exchanges (FESE) has announced the development of common standards in an effort to restore post trade transparency.
A broad spectrum of the industry, such as the London Stock Exchange Group, BATS Chi-X Europe, Markit Boat and the main data vendors: Thomson Reuters, Bloomberg, Fidessa, NYSE Technologies and SIX Telekurs, have been working for most of this year to achieve a practical and common solution for standards on post-trade equity data.
Though participants have different views on some issues, they are united in the basic belief that the industry can and should act to improve the consistency and comparability of data from different sources.
This has led to the Market Model Typology (MMT) project, a model which can be immediately adopted and used by vendors and their services. MMT provides a translation between legacy trade reporting flags to a newly defined single market standard. The translation is being adopted by MMT participating vendors on behalf of investors who seek clarity in monitoring market activity.
Among other benefits, MMT will enable investors to accurately monitor market events by standardising how these events are identified across a fragmented market for the first time since the introduction of MiFID and it offers a practical solution ahead of MiFID II.
"This MMT initiative provides an immediate solution for users of consolidated data from the participating Regulated Markets and MTF's through the various applications provided by the participating data vendors. This is a significant step forward in the efforts to standardise trade data and allows investors to accurately monitor market activity. The clarity provided will also help inform users on the ongoing efforts and prove the benefits of standardisation," said FESE.
A broad spectrum of the industry, such as the London Stock Exchange Group, BATS Chi-X Europe, Markit Boat and the main data vendors: Thomson Reuters, Bloomberg, Fidessa, NYSE Technologies and SIX Telekurs, have been working for most of this year to achieve a practical and common solution for standards on post-trade equity data.
Though participants have different views on some issues, they are united in the basic belief that the industry can and should act to improve the consistency and comparability of data from different sources.
This has led to the Market Model Typology (MMT) project, a model which can be immediately adopted and used by vendors and their services. MMT provides a translation between legacy trade reporting flags to a newly defined single market standard. The translation is being adopted by MMT participating vendors on behalf of investors who seek clarity in monitoring market activity.
Among other benefits, MMT will enable investors to accurately monitor market events by standardising how these events are identified across a fragmented market for the first time since the introduction of MiFID and it offers a practical solution ahead of MiFID II.
"This MMT initiative provides an immediate solution for users of consolidated data from the participating Regulated Markets and MTF's through the various applications provided by the participating data vendors. This is a significant step forward in the efforts to standardise trade data and allows investors to accurately monitor market activity. The clarity provided will also help inform users on the ongoing efforts and prove the benefits of standardisation," said FESE.
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