FT Interactive Data, the major operating subsidiary of Interactive Data Corporation (NYSE: IDC) and a leading supplier of financial information and analytical software to global markets, has today released the first phase of its ISO 15022 service. The service is available as an optional module within FT Interactive Dataâs FTS online desktop portfolio administration tool.
This new ISO 15022 service is the culmination of significant development work by FT Interactive Data to map global corporate actions data from its proprietary formats to the MT564 event types specified within the industry data standard. Releasing the facility as a module within the already popular FTS service means that FT Interactive Dataâs existing â as well as new â customers can take advantage of the immediate access.
The main benefits of data standards such as ISO 15022 are often seen by the industry as increased rates of STP, greater transparency and therefore reduced operational risk. Cited as one of the obstacles to automation in the Giovannini Groupâs âSecond Report on EU Clearing and Settlement Arrangementsâ, published in April 2003, the lack of harmonisation within the corporate actions space has long been an area of industry concern. Many believe that industry standard data formats can facilitate the path to harmonisation.
Recent analysis of FT Interactive Dataâs corporate actions content shows that the event breakdown is approximately 94 per cent income, 3 per cent capital change, and 3 per cent mergers and acquisitions. Closer inspection of those events reveals that 99 per cent of income events, 98 per cent of capital changes, and 75 per cent of mergers and acquisitions are fully coded.
Nat Sey, FT Interactive Dataâs manager of infrastructure and delivery comments: âIt is this outstanding degree to which our databases are fully coded that has resulted in the far speedier mapping of that content to the standard â ultimately this has meant that we are able to bring this benefit to our customers at the earliest opportunity. Our ISO 15022 development has been able to bypass the otherwise lengthy and costly âcodificationâ phaseâ.
Sey adds: âWe have participated in open standards forums for a number of years and are pleased to report that standardisation in the industry is alive and well. Initiatives such as the Market Data Provider User Group, Reference Data User Group and ISO Working Group 11 are all contributing towards making an even playing field, with fantastic transparency upon which the more dynamic data vendors can build real added value. Easier access to that added value is achieved because the more vanilla offerings are easier to process, and as a result, this frees up valuable resource to concentrate on the integration and execution of those added value components.
âWe estimate that the volume of events that can now be output as MT564 messages on a daily basis is now in the high 90 per cent range and additional coverage will be added during the coming months.â