IHS Markit, a provider of critical information, analytics and solutions, has announced the new functionalities to its ‘Securities Finance‘ platform.
The platform acts as a source of data and intelligence on global securities financing transactions.
The new features will deliver four new features including public disclosure coverage for the Japanese market along with a global data feed on corporate bond lending activity.
“Across the securities financing ecosystem, the pace of innovation is accelerating and in step with market developments, we are providing our customers with enhanced data and analytics to help them manage their businesses with greater efficiency,” said Paul Wilson, managing director and global head of Securities Finance at IHS Markit.
According to London based firm, there will be daily reporting on publicly disclosed short interest for 2,000 Japanese securities – complementing the companies existing APAC coverage in Australia, Hong Kong, South Korea and Taiwan increasing its coverage to 23 markets globally.
The global corporate bond data feed will provide users “unique assessments” of the securities lending supply and demand across the capital structure of a company.
IHS hope this will help to identify companies at risk of default and monitor short selling activity beyond traditional equity metrics.
Also added to the platform is an updated model for forecasting short interest in the US and multi-asset performance measurement tools.
The US forecasting model produces weighted-average forecasts for US assets, with additional inputs on correlations to daily securities lending balances, dividends and trade volumes.
Meanwhile the performance measurement tools acts as a peer comparison tool for securities lenders to precisely analyse their performance against best matched peer groups based on lending characteristics.
For clients, this tools gives them opportunity to compare borrow rates whilst performing peer group analysis on market size, trading levels and market share.
Wilson continued: “We are focused on introducing new services for beneficial owners, providing greater visibility into collateral, high quality liquid asset (HQLA) classification, best execution and other regulatory requirements.”
IHS Markit Securities Finance tracks more than $20 trillion of global securities in lending programs from 20,000-plus institutional funds.
