ETF data firm ULTUMUS and Horizon Software have partnered in a deal designed to improve ETF trading efficiencies and result in traders having a single point for analysing and executing ETF trades.
The firm says this will allow market makers and traders to quote and hedge trades more accurately and much faster than before.
Bernie Thurston, ULTUMUS CEO, says: “Our primary goal is to provide data and information which increases market efficiency, tightens spreads and avoids outright mispricing. We are delighted to be partnering with Horizon to offer a turnkey ETF data and trading technology solution, which will allow us to bring our solutions to a wider audience and to provide the most complete ETF reference data and enhanced composition service available today.”
Sylvain Thieullent, CEO of Horizon, says: “Although the global ETF market volumes are growing very quickly, there are also significant inefficiencies in the way that ETFs are traded and executed. Our partnership with ULTUMUS addresses many of the key problems and is expected to accelerate the adoption of electronic processing solutions across the ETF market.”
He adds: “Combining the individual strengths of Horizon’s trading technology with ULTUMUS’s focus on accuracy and performance is a major step forward in addressing our clients’ need for a fully-integrated solution for ETF quoting and hedging.”
The key benefits include: Compositions within minutes of an event, rather than the industry-standard of hours; Full data coverage, with over 30 header fields, compared to the less than 10 available from the vast majority of providers; Enhanced economics, such as: tax reclaim, redeem corporation tax, etc., rather than ignoring valuable published data; Validated data points (NAV recalculations, tracking of capital changes, etc.) to ensure data quality rather than simply ‘publishing blind’.
