Monetise your market data - maximise it's value.
Own data, don't "license" it.
Share market data with peer institutions and clients. Reduce your external data spend.
Control data distribution and data usage policies.
Institutions need to reduce their spend for real-time market data to make room for new data, infrastructure spends and for regulatory / compliance activities. The work to save USD2-3 million p.a. isn’t worth it - the resource investment to introduce change counteracts the external spend savings; the savings can be eliminated by new vendor policies, or acquisitions. Global tier 1 institutions are spending > USD500 million p.a. for real-time data, tier 2 institutions are spending >USD300 million p.a. and tier 3 institutions are spending >USD80 million p.a.
They all want / need to save 10-20% of that spend.
The objective of this COOP concept is to monetize & share content: to be recognised for the value of your published content and to reduce external data costs. Don't you think that an institution would like to "own" (not license) its content; to control data distribution, user destination and policies for its data?
The COOP owns the content. COOP members own the COOP.
Monetise data: license single-source and aggregated data: to institutional customers, vendors, trading venues and payments platforms.
Used pricing blended with other institutions to dramatically lower external market data costs.
Control data policies.
Each user runs an adaptor to contribute and consume data: real-time and historical.
Data is grouped by usage segment ie. G20 FX, NDFs, IRS, G20 TSY, etc.
COOP members control permissioning for other members to see their data.
Utility for members to "wire-up" in-house users, apps and clients.
There is no traditional "ticker plant". This significantly reduces operating costs.
Distributed security dynamically hashes "keyrings" with hardware ID to improve authentication; coupled with DRM to automatically track data redistribution.
Create feeds and use APIs to transport data between cloud instances and to on-premise applications.
This is an opportunity to monetize institutional data and participate in a democratized, content sharing / aggregation solution to reduce market data costs and manage usage policies.
market data COOP is a utility for institutions to share proprietary data: in-house and with their clients. market data COOP charges for operating the COOP infrastructure, not for vending data. The COOP owns the data, the COOP members own the COOP. This is not a licensing model. As the COOP acquires more members, content increases in value without an increase in content cost.
$ 30 billion
Estimated market data spend in 2019
Global tier 1
Spend for OTC market data
Tier 1 market data vendors
Please join the market data COOP group on LinkedIn. We would like to hear about your receptiveness to this concept, desires for the COOP direction, concerns that would need to be addressed for your organization participation.