S&P Global Makes Algomi Investment
Rating firm and analytics provider S&P Global has formed a strategic partnership and taken a minority stake in fixed-income data provider Algomi, according to company officials
The transaction marks the second minority fintech investment this year for S&P Global and follows the stake that S&P Global took in Kensho. Under terms of the deal, S&P Global will have a seat on the Algomi board.
Algomi has developed a bond information network that enables buy- and sell-side firms as well as exchanges, to harness data to improve financial trading decisions via greater transparency and artificial intelligence-powered trade facilitation.
S&P Global’s partnership with Algomi will help facilitate product collaboration and enable future business expansion.
“We think very highly of Algomi and are excited about the opportunity to bring our data, technologies and deep analytics into additional market segments,” says Douglas Peterson, president and CEO of S&P Global. “By partnering with Algomi, we will further leverage the power of big data and artificial intelligence to create even more opportunities to deliver value to our and Algomi’s customers.”
Algomi’s technology empowers fixed income professionals to fulfill their targeted informational needs on both sides of a transaction by maximizing the relationships between salespeople, traders and investors over a suite of scalable software. Algomi’s technology greatly increases the opportunities and velocity in larger and less liquid corporate bond trades between banks, institutional investors and exchanges.
“We are delighted that S&P Global has agreed to work with us and share their phenomenal experience in developing our products and managing critical market data. We are also very pleased they have seen the significant potential of Algomi and how strongly we are growing to make an investment in the firm,” says Stu Taylor, Algomi co-founder and CEO.
Machine learning helps incorporate big data into index calculations.
At stake, reportedly, is majority interest in the vendor's F&R business.
The new offering derives real-time stock-borrow rates from options data.
The new offering provides pricing from 15 exchanges.
A new license provides access to all of Cboe's US equities exchanges.