The Software & Information Industry Association's Financial Information Services Division (FISD) has released the first of a series of best practice guidelines for the market data industry.
FISD says few of the more than 200 exchanges, vendors and content providers follow uniform standards and procedures for market data distribution. This lack of consistency results in gross market inefficiency, excessive costs and unnecesary disruption.
The voluntary rules have been developed by two working groups comprised of representatives from major exchanges and content providers, market data vendors and subscribers. One group focused on product management best practices for content providers, while the other developed recommendations for business administration policies and procedures related to distribution of data.
FISD says the recommendations are designed to save resources for all parties, improve service levels across the industry and reduce non-compliance with regulations. The standards will be updated and expanded as industry needs and capabilities change.
Tom Davin, VP, FISD, says: "The working groups that developed these recommendations represent a broad cross-section of the market data industry. As a result, the recommendations are realistic and have an excellent prospect for wide industry adoption."
To view the recommendations in full:Download the document now 170.2 kb (Adobe Acrobat Document)