Algomi adds pricing data to Honeycomb

09 July 2015 in COMPANY NEWS by Tim Binnington

Algomi has agreed to make hourly snaps from Interactive Data's fixed-income evaluated pricing service available to buy-side clients of its Algomi Honeycomb Network. The hourly snapshots are intended to give buy-side clients information for pre-trade price transparency and price discovery.

Algomi will tap Interactive Data's fixed income continuous evaluated pricing for data on high-yield and investment-grade U.S. and European corporate bonds. Algomi, which began as an information network for sell-side salespeople to use sales and trading data to find counterparties interested in their orders, started to extend its service to the buy side at the end of last year.

In May, Algomi announced that more than 50 buy-side firms are committed to its Honeycomb Network globally. The company said at the time that it was attracting interest from hedge funds, asset management firms, pension funds, sovereign wealth funds and endowment clients. The company seeks to provide data to support voice trading of illiquid trades.

"Our goal is to give our clients the ability to access pre-trade price data, which has be used to help facilitate trades in increasingly illiquid markets," said Usman Khan, chief technology officer and co-founder of Algomi. "Our Honeycomb buy-side clients will have access to Interactive Data's evaluated prices as an important additional reverence point that can be considered when comparing dealer bid and offer levels for execution."

Interactive Data launched its fixed-income continuous evaluated pricing in 2014 to provide a source of independent, quality data for assessing quote quality and enhancing price discovery as the fixed-income market was seeing shrinking inventories, reduced liquidity and a changing broker/dealer landscape.

"Continuous fixed-income evaluated pricing continues to expand its use cases to the fixed-income community, on both the buy- and the sell-side," said Andrew Hausman, president of pricing and reference data at Interactive Data. "Helping clients with price discovery and transaction cost analysis and reporting are important areas of focus for us right now, as the market has been challenged to meet the expectations of the regulators in this area."

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