Delta One Data, the market leader in index and ETF data, has launched Sola, a platform that provides accessibility and visibility to ETF and Index data.
The difference for traders who use SOLA is they can quickly see what data has changed as well as the provenance of that data. With real transparency, SOLA drives performance at every point in the delta one trading value chain.
According to Blackrock, the largest ETF provider in the market, $152 billion flowed into Exchange Traded products (ETP) between Jan '11 and Jan'12, pushing AUM over $1,600 billion. Indeed it predicts further large scale growth for the ETF industry.
"Delta One trading is a highly complex area. That complexity, combined with the levels of growth of this market, means most current systems will struggle. SOLA creates one standard model for data which can be fed into real-time engines, risk or order management systems - all leading to more accurate risk modelling and better hedging. This provides the ability for desks to benefit from one of the fastest growing businesses for the world's largest banks," said Bernie Thurston, Head of Delta One Data.
SOLA also has the ability to store historical data, update data points in near real-time and filter and sort data according to traders' needs. SOLA enables this data to be used across the trade lifecycle, from order management to portfolio and order management systems. Using the data consistently across the board also enables better risk management and hedging.
SOLA is a standardised solution which makes data visible and accessible, allowing the basket to be defined either by a notional amount or a share size and allows for accurate pricing of a trader defined basket. Currently it is in beta testing phase with nine clients and is due to be rolled out in the coming months.
SOLA's features further include:
• Ability to view the data via units or notional
• Correct dividend reinvestment
• ETF calculation methodology standardised across all structures
• Trade in markets worldwide
• Deliver information needed to o trade fast and efficiently
• Rapid basket calculations - 10 minutes for existing clients
• Indices are structured clearly and the simplified front end allows ease of comparison across structures