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jerryking : thomson_reuters   15

Rise of machine trading forces data providers to pivot | Financial Times
OCTOBER 30 2019 | Financial Times | Philip Stafford in London.

Financial information suppliers are on the hunt for new markets such as wealth management and corporate audiences....... the days of depending on selling information on fixed workstations, or terminals to a core group of investment bankers and fund managers — the mainstay of the industry over decades — were quickly receding........Cost-conscious banks are reducing the numbers of analysts and traders they employ, cutting research or automating processes that have long been done by humans. That wipes out a once reliable client base for terminals, leaving data specialists to shift their focus elsewhere.....Chief technology officers need to become more efficient more quickly,” “Our fastest growing segment is corporates, business development and investor relations.” This had left rivals such as Bloomberg, Refinitiv and Morningstar “in a race . . . for each others’ customers,........Demand is increasingly being driven by the need for enriched data that can be fed into computers, rather than read by humans, ....“We’re seeing a big shift to data-driven strategies, and fundamental analysis will be more data-driven,” he said. “This is where the industry is headed and where we’re going for it.”....Overall terminal sales are healthy... estimates are that the number of users of terminals, or desktops, in the investment industry will rise to 1.6m this year and hit 1.7m by 2021. Most of that growth is set to come from areas such as investment management rather than trading....Mitko Yankov, global head of platform at Refinitiv, agreed that the old model of selling data as pre-packed bundles of information was disappearing. Customers wanted richer types of data, he said. This means serving developers, data scientists, quantitative traders and even traders and analysts who can write their own code. “They really don’t appreciate monolithic bundles,”...other data providers are hoping to benefit from the rising demand for data as markets apply computing trends such as artificial intelligence and machine learning to trading and analytics. The rush has been exemplified by the London Stock Exchange Group’s $27bn deal to buy Refinitiv.
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This (old - ish) article makes one think of a couple of factors that contributed to a change of balance:
https://www.bloomberg.com/news/articles/2019-02-25/jpmorgan-s-traders-nab-market-share-while-deutsche-bank-s-slip
First is the "exorbitant privilege" of being able to print more than others, but near second is probably information and information processing power advantage By the way, the article cited is a reasonably rich source of information, not to be compared with ft's, where there is no hard data and time perspective. There is another question: How does it square up with market as a "price discovery mechanism"? With barriers to safe entry into this market in billions of investment into technology what are the mere mortals supposed to do? The market seems to be turning into an ever narrower oligopoly.
alternative_data  automation  Bloomberg  coding  CTOs  data  data-driven  data_scientists  Factset  financial_data  fundamental_analysis  investment_management  LSE  Morningstar  Refinitiv  Thomson_Reuters  traders 
9 weeks ago by jerryking
London Stock Exchange lays $27bn bet that data are the future
July 28, 2019 | | Financial Times | by Arash Massoudi, Richard Henderson and Richard Blackden.

The London Stock Exchange Group more than 300 years old, is trying to get back on the front foot with a plan for its most ambitious acquisition, one that will shape the direction of the group for years to come. It is the most striking demonstration yet of the charge among exchange operators into the business of supplying the data that is at the heart of markets....The LSE on Friday confirmed a Financial Times report that it was in talks to buy data and trading venue group Refinitiv for $27bn including debt, from a consortium led by private equity group Blackstone. If an agreement is reached for a company best-known for its Eikon desktop terminals, it would transform the LSE into a provider of financial market infrastructure and data with the scale to take on US exchange industry heavyweights Intercontinental Exchange and CME Group as well as Michael Bloomberg’s financial information empire.

“This would be a bold move in the shift among exchanges away from the matching of buyers and sellers and into the business of selling information,” said Kevin McPartland, head of market structure research at consultancy Greenwich Associates. “Data are so valuable and so is having the network of traders and investors to access that data — that’s all at play here.”......The deal would also be a defining moment for the LSE’s chief executive, David Schwimmer, just a year after the relatively unknown former Goldman Sachs banker was parachuted in to steady the ship. Its scale will bring considerable risk in execution alongside the need to convince LSE shareholders that taking on Refinitiv’s $12bn of debt will prove worth it.

Industry analysts see the strategic logic of the deal for the LSE, best known for its UK stock exchange and derivatives clearing house LCH. While revenue from initial public offerings can be more volatile, spending by everyone from asset managers to hedge funds on financial data and the analytical tools to make use of it has been going in one direction. It hit a record $30.5bn last year
.......“What’s happened is exchanges have found it more difficult to find ways of generating revenue in their traditional businesses,” “You can deliver data so easily now, there is voracious appetite from anyone making investment decisions so they can get an edge.”.....As well as winning over LSE shareholders, any deal is likely to face a lengthy period of antitrust approvals.

“There is a wider market concern about exchanges and data vendors combining,” said Niki Beattie, founder of Market Structure Partners. “The global world of data distribution is presided over by a small number of players who have a lot of power.”
asset_management  Blackstone  Bloomberg  bourses  data  financial_data  hedge_funds  inflection_points  IntercontinentalExchange  investors  LSE  mergers_&_acquisitions  M&A  Refinitiv  stockmarkets  Thomson_Reuters  tools  trading_platforms  turning_points  defining_moments 
july 2019 by jerryking
Thomson Reuters unit to be renamed Refinitiv after Blackstone deal - The Globe and Mail
LONDON
REUTERS
PUBLISHED 2 DAYS AGO

Thomson Reuters Corp’s Financial and Risk unit, in which U.S. private equity firm Blackstone Group is buying a majority stake, will be renamed Refinitiv once the deal closes, the company said in a statement on Friday.

Blackstone is making its biggest bet since the financial crisis with the $20-billion deal, which pits co-founder Stephen Schwarzman against fellow billionaire and former New York Mayor Michael Bloomberg in the financial information industry.

The Thomson Reuters unit provides information and related services to financial services professionals. David Craig, current head of Financial and Risk, will be CEO of Refinitiv, Thomson Reuters said in the statement.

The deal is expected to close in 2018,
Bloomberg  financial_data  Thomson_Reuters  Blackstone  Refinitiv 
july 2018 by jerryking
Thomson Reuters to cut 2,000 jobs, take fourth-quarter charge - The Globe and Mail
JAMES BRADSHAW - MEDIA REPORTER
The Globe and Mail
Published Tuesday, Nov. 01, 2016
Thomson_Reuters  layoffs 
november 2016 by jerryking
As Michael Bloomberg Returns to Run His Firm, Landscape Has Shifted - WSJ
By LUKAS I. ALPERT CONNECT
Sept. 4, 2014

Bloomberg LP now has 321,000 subscribers for its $20,000-a-year terminals, which supply a range of financial information, and is expected to generate $9 billion in revenue this year, making it the largest such data company in the world.

But while Bloomberg's annual growth has averaged nearly 6% over the past five years and it now controls 32% of the financial-data market, the company faces several challenges. Technological advances have made it easier for smaller firms like FactSet and Markit to compete against the financial-data giants, Bloomberg and Thomson Reuters Corp. TRI -0.03%

Also, some U.S. banks have cut back in recent years on the number of data-terminal subscriptions. Bloomberg has targeted emerging markets to sustain its growth. The company is also expanding beyond terminals into data feeds and back-office operations that make up the plumbing of the banking system.

"When [Mr. Bloomberg] left, 90% of their revenue came from their terminal business, but with terminal subscriptions shrinking they have had to grow their business in other directions," said Doug Taylor, an analyst at Burton-Taylor International Consulting.
back-office  Bloomberg  competitive_landscape  data  FactSet  financial_data  Michael_Bloomberg  moguls  Second_Acts  Thomson_Reuters  Wall_Street 
september 2014 by jerryking
Google carrying real-time data from EU exchanges
Associated Press | Posted: Tuesday, February 21, 2012

Google's real-time stock quotes are a potential threat to financial information providers such the Thomson Reuters Corp. and Bloomberg L.P., which earn revenue through the provision of up-to-second market data to traders and analysts. Units of Reuters and Bloomberg compete with The Associated Press.

In an email, Google said it was trying to "provide consumers with the best information as quickly as possible."
data  competingonanalytics  stockmarkets  EU  Thomson_Reuters  Bloomberg  Google  disruption  information  information_flows  real-time  financial_data 
february 2012 by jerryking
An emerging market for market data -
June 29, 2008 | The New York Times | By Tim Arango.

the company has been testing a program called Reuters Market Light for several months in Maharashtra, an Indian state about the size of Italy. The state is one of India's prominent agricultural centers, with farmers growing onions, oranges, corn, soybeans, wheat and bananas. But the farmers' business suffers from the difficulty of comparing prices from one market to another.

"We kind of saw that there was a clear market inefficiency," said Mans Olof-Ors, a Reuters employee who had the idea for Market Light three years ago. "The farmer would decide which market to travel to, then would just sell to that market. So there was no competition between markets."

Reuters has dispatched about 60 market reporters to the region to report on the going price for, say, oranges or onions, and to package the data into a text message that is sent to subscribers.

The service is signing up about 220 subscribers a day at a price of 175 rupees, or about $4.10, for three months at post offices throughout Maharashtra. The average monthly income of a farm household is about $50, according to the Indian government. The service has about 40,000 customers so far - a tiny portion of India's farm population, which is in the hundreds of millions, but it proves that many farmers are hungry for more information.

Reuters has collected anecdotal evidence from farmers about how the service has influenced their decisions about crop sales. One farmer, according to Reuters, held back the sale of 30 quintals of soybeans - one quintal equals 100 kilograms, or 220 pounds - for 15 days after noticing that prices had been rising for several days. He was able to get 400 extra rupees a quintal.

Amit Mehra, managing director of Market Light, said early data showed that most subscribers were making more money from their crops.
food_crops  Thomson_Reuters  India  farmers'_markets  pricing  data  market_inefficiencies  inefficiencies  mobile_phones  text_messages  data_marketplaces  anecdotal 
october 2011 by jerryking
Data markets aren't coming. They're already here
26 January 2011 | O'Reilly Radar| by Julie Steele.

Jud Valeski is cofounder and CEO of Gnip, a social media data provider
that aggregates feeds from sites like Twitter, Facebook, Flickr,
delicious, and others into one API.

Jud will be speaking at Strata next week on a panel titled "What's Mine
is Yours: the Ethics of Big Data Ownership."
Find out more about growing business of data marketplaces at a "Data
Marketplaces" panel with Ian White of Urban Mapping, Peter Marney of
Thomson Reuters and Dennis Yang of Infochimps.

What do you wish more people understood about data markets and/or the
way large datasets can be used?

Jud Valeski: First, data is not free, and there's always someone out
there that wants to buy it. As an end-user, educate yourself with how
the content you create using someone else's service could ultimately be
used by the service-provider. Second, black markets are a real problem,
and just because "everyone else is doing it" doesn't mean it's okay.
markets  data  data_ownership  analytics  massive_data_sets  digital_economy  black_markets  Infochimps  Gnip  Thomson_Reuters  commercialization  data_scientists  data_marketplaces  social_data  financial_data  content_creators 
may 2011 by jerryking
The Media Equation - Reuters Insider, Like YouTube for Traders - NYTimes.com
May 9, 2010 | New York Times | By DAVID CARR. Thomson
Reuters is trying to change television. Its new product, Reuters
Insider, is a Web-based video service that captures myriad streams of
information produced by the company’s reporters and 150 partners. The
service, which will begin Tuesday, is something like a You Tube for the
financially interested, albeit one that is available only to Reuters
subscribers, who pay as much as $2,000 a month.... “People are
increasingly visual, and they expect to access information in that way.
They want to be able to look at a chief executive and see the expression
on the analyst’s face.”
Thomson_Reuters  Reuters_Insider  online_video  financial_data 
may 2010 by jerryking
Information Wants to Be Expensive - WSJ.com
FEBRUARY 23, 2009 WSJ op-ed by L. GORDON CROVITZ arguing that newspapers need to act like they're worth something.


Time magazine published a cover story earlier this month headlined "How to Save Your Newspaper." In it, former Time Managing Editor Walter Isaacson noted how odd it is to charge for subscriptions in print but not online. "Even an old print junkie like me has quit subscribing to the New York Times, because if it doesn't see fit to charge me for its content, I'd feel like a fool paying for it. This is not a business model that makes sense."......People are happy to pay for news and information however it's delivered, but only if it has real, differentiated value. Traders must have their Bloomberg or Thomson Reuters terminal. Lawyers wouldn't go to court without accessing the Lexis or West online service..........By 2007, the Journal's Web site had reached one million paying subscribers who value full access and convenient navigation to its unique business news. Another 20 million people each month read Journal articles made available free. Likewise, the Financial Times and ESPN generate significant online revenues from subscribers, along with free content. So do consumer services such as Consumer Reports and Zagat. Steve Jobs proved we'll pay up to $1 for digital songs on iTunes, and Amazon's Kindle established $10 as reasonable for a digital book. .........For years, publishers and editors have asked the wrong question: Will people pay to access my newspaper content on the Web? The right question is: What kind of journalism can my staff produce that is different and valuable enough that people will pay for it online?..........newspaper journalists still report the key local news. American Lawyer founder Steven Brill argues that "local newspapers are the best brands, and people will pay a small amount to get information -- whether it be a zoning board or a Little League game -- that they can't get anywhere else." A few local newspapers, such as the Arkansas Democrat-Gazette and Hong Kong's South China Morning Post, charge for access online, knowing their news can't be found elsewhere...........When author Stewart Brand coined the expression "Information wants to be free," he focused on how technology makes it cheap and easy to communicate and share knowledge. But the rest of his quote is rarely noticed.

This says, "Information also wants to be expensive." The right information in today's complex economy and society can make a huge difference in our professional and personal lives. Not having this information can also make a big difference, especially if someone else does have it. And for valuable information, online is a great new way for it to be valued.
asking_the_right_questions  Bloomberg  brands  differentiation  digital_media  information  iTunes  journalism  L._Gordon_Crovtiz  Lexis  local_journalism  newspapers  op_ed  questions  Steve_Jobs  Steven_Brill  Stewart_Brand  subscriptions  Thomson_Reuters  TIME_Inc.  traders  Walter_Isaacson 
february 2009 by jerryking

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