Contineo, the industry-backed messaging network for equity- linked structured products, has launched I/O, a data analytics tool that collates and analyzes data on its existing network to provide users with insights into market activity.
I/O is a set of products for Contineo subscribers that includes proprietary analysis and anonymous market data about structured products activity over the vendor’s network.
These include firm-wide and market-wide executive dashboards that provide insight into users’ performance at an individual, team and firm level, as well as their performance relative to other firms.
Subscribers to Contineo’s network have access to basic reports, while more comprehensive enterprise reports and an API datafeed are available for an additional fee. By analyzing activity, users will be able to adjust their strategies─for example, to achieve greater insight into client relationships, or to improve pricing and market depth in response to changes in activity.
Subscribers will have access to charts and rankings on request for quote (RFQs) and request for order (RFO) activity, and aggregated views on products that are trending and selling in the market. The data is segregated by individual bank, and any potentially identifying information is removed for the market view.
Contineo’s I/O has been generating reports for subscribers since September 2016, and will launch the second version of the platform later this year. A third version is already in development, and will offer additional forward-looking features. For example, if a structured product will expire soon, I/O will provide options that the client can take, such as to either roll the product over or hold it to expiry.
The tool also generates compliance and regulatory reports, and officials say it will appeal to a range of financial institutions, from private banks and investment banks to asset managers, hedge funds, and financial technology providers serving the structured products industry, and will serve a range of applications as market participants seek to apply the never-before available information to a previously opaque market.
“Private banks have never had a trusted source for market intelligence in their business and this is key and it’s proving to be a useful tool for them, particularly on the buy side. The network is a great utility but the data helps them grow their business,” says Contineo chief executive Mark Munoz. “We are helping the buy side in terms of running their operations. It gives them more insight into their business, usage and user activity. For the sell-side, they are more interested in the market impact report, and I/O also allows them to see why they’ve missed a trade.”
Contineo has seven private banks subscribed to its network, and has seen a 20 percent increase in traffic on the network so far in January 2017 alone, officials say.
Contineo is the first industry supported, open messaging network for private banks and wealth management firms to access issuers of structured products. Together we are a community with a shared vision and purpose.
We believe that technology should be intuitive, easy to access, and available to all participants. This means creating an open messaging standard in concert with the buy-side and sell-side, and enabling access to all parties, including other certified technology vendors.
This mission is shared by our current subscribers, who recognise the importance of an open, efficient and transparent network.