The Financial Conduct Authority (FCA) has begun a review into the use and value of data and advanced analytics in wholesale financial markets.
The Call for Input (CFI) will be used to better understand how data and advanced analytics are being accessed and used, the value offered to market participants and whether they are competitively sold and priced.
Christopher Woolard, executive director of strategy and competition at the FCA, says: "More efficient, comprehensive and timely data for wholesale market participants have the potential to generate significant benefits. But these changes may also create new risks that may require us to act. We are launching this review to better understand any risks and assess whether FCA action is needed."
The scope of the review includes both FCA-regulated and connected, non-regulated activities and firms. This will allow the watchdog to examine how third party participants may affect competition in markets that the FCA regulates.
The CFI is open for feedback until 1 May 2020.