SpryWare, a premier provider of Ultra Low Latency feed handlers and direct market data technology, today announced the release of an interface for the Option Research and Technology Services’ (ORATS) dividend forecasts. SpryWare will take the feed from ORATS and process within their ticker plant product and make available via all SpryWare APIs. The analytics from ORATS have been incorporated into the upcoming release of the SpryWare Direct Market Server (DMS)™ platform which is due for general release August 1st.
At the heart of the feed from ORATS is the use of "implied dividends" - the dividend levels implied by prices within the options markets. In the case of equities that have both dividends and exchange-traded options on their stock, the dividend price is a major component in the calculation that traders use to compute a fair price for those options. ORATS runs that calculation backwards to compute "implied dividends", a measure that reveals the broad consensus of all players in the options market about how much a company will pay as a dividend along the entire option expiration calendar.
“Having ORATS analytics available on the SpryWare market data platform enriches our ultra-low latency options data with some of the most advanced options analytics available in the marketplace” says Paul Zinone, Vice President of Sales and Marketing at SpryWare. “We welcome having ORATS as a partner and look forward to expanding our relationship”, continues Paul Zinone.
Matt Amberson, Principal at Option Research & Technology Services (ORATS) adds “We are excited to offer our forecasted dividends product via SpryWare’s feed handler technology. We are confident SpryWare clients will benefit from the valuable service of our dividend feed that utilizes implied dividends from option prices to help forecast future dividends”.