29 Oct 2007
Reuters helps clients show "best execution" in time for MiFID introduction this week
LONDON – Reuters (LSE: RTR; NASDAQ: RTRSY) has launched two key products aimed at allowing clients to show that they have obtained the best possible execution for client orders - as they are obliged to do under the Market in Financial Instruments Directive (MiFID) which comes into effect this week.
Reuters Transaction Cost Analysis Service is a hosted service from an independent and unbiased source, which enables clients to send order and execution data on an ad-hoc basis or at an interval of their choosing, from daily to monthly. This helps to prove that the execution policy the firm is using does achieve the “best possible result” for their customers.
Reuters DataScope Tick History On Demand provides global cross asset tick-by-tick information going back five years on market activity at the time of a trade. This includes pricing data on sales, exchange qualification information and all other field level information which are required to fulfil best execution requirements.
As a hosted database capturing raw over the counter (OTC) and exchange data, Reuters DataScope Tick History On Demand can help customers with pre- and post-trade calculations, execution venue selection and best execution checks. Clients can instantly recall information around individual trades, without incurring data storage and handling costs.
The products launched today are the latest Reuters products designed to help clients comply with MiFID. Already released are:
- The Reuters “.x” RIC which enables clients to see the best aggregated price for a stock, even when it is traded on more than one exchange or other execution venue
- Reuters Trade Publication which publishes quotes and details of trades that have been executed
Stephen Wilson, Reuters Global Head of Exchange Traded Instruments, said; “Reuters now offers the key tools that our clients need to be MiFID compliant. From trading at the best price to showing “best execution” to price reporting, Reuters offers everything they need. MiFID is a massive regulatory change for European markets but we are confident that Reuters can help our customers meet the challenges ahead using technology they already have.”
Emmanuel Doe, Global Business Manager at Reuters Enterprise Information commented: “Reuters Tick History On Demand provides our clients with a solution that enables the quick and efficient verification of best execution compliance as required under MiFID. The level of coverage and control provided by this new offering is the most effective and straightforward method of ensuring each trade complies with MiFID’s requirements.”
Ends
Contacts:
Victoria Brough, Reuters Media Relations
Email: victoria.brough@reuters.com
Tel: +44 207 542 8763
Mobile: +44 7967 044 840
Nick Bone, Penrose
Email: nickb@penrose.co.uk
Tel: +44 207 786 4878
Mobile: +44 7909 521 293
Editors note:
Reuters has been working with regulators, customers, compliance surveillance providers and other relevant organizations to create a comprehensive cost-effective solution to assist firms in being MiFID compliant. In order to comply institutions increasingly require tick-by-tick cross asset information and all associated data fields surrounding each transaction. The high volume of data which firms are thus required to maintain on an ongoing basis for 5 years as determined by the FSA can result in significant storage and maintenance costs in an area which is already pressured by shrinking margins. Reuters Tick History will be the outsourced solution of choice to assist both large and small firms to meet regulatory requirements without the exponential costs and with increased flexibility.
About Reuters:
Reuters (www.reuters.com), the global information company, provides indispensable information tailored for professionals in the financial services, media and corporate markets. Through reuters.com and other digital properties, Reuters now also supplies its trusted content direct to individuals. Reuters drives decision making across the globe based on a reputation for speed, accuracy and independence. Reuters has 17,500 staff in 94 countries, including 2,400 editorial staff in 196 bureaux serving 131 countries. In 2006, Reuters revenues were £2.6 billion.