Mark-it Partners, an independent company established by former TD Securities executives, has launched a daily pricing service for the global credit markets using data supplied by 11 of the world's largest credit trading banks.
The system is designed to aid transparency and help credit traders to verify asset prices and improve risk management for both cash and derivative credit instruments. Contributing dealers include, ABN Amro, Bank of America, Salomon Smith Barney, CSFB, Deutsche Bank, Dresdner Kleinwort Wasserstein, Goldman Sachs, Lehman Brothers, Merrill Lynch, Morgan Stanley and TD Securities.
The data is fed into Mark-it's technology platform overnight and is pooled and then cleaned to ensure its quality and integrity. Data is available in four formats: as a composite price and spread; graphed as Libor spread curves; in the form of a daily price discrepancy service; and mapped against customer’s obligor names.
Mark-it says the applications have taken over two years to develop and use XML and Oracle technology. They can be accessed with a secure connection over the Web.
Lance Uggla, chief executive of Mark-it Partners, says: "At present, most credit market participants are struggling to achieve daily price verification on all but the most liquid of assets and this is hindering the growth of the market. Mark-it is now in a position to help solve this problem."
He says the company aims to become the definitive source of credit pricing data in the financial markets.