Asia-Pacific Financial Information Conference: Asia-Pacific Firms Target Data Cost Controls
![apfic-users apfic-users](/sites/default/files/styles/landscape_750_463/public/import/IMG/825/201825/apfic-users-580x358.JPG.webp?itok=scP-UEDD)
Though financial markets in Asia-Pacific have outperformed other geographies in recent years, data managers in the region are increasingly turning their attention to reducing the cost of the data services their firms consume, according to panelists at last week’s Asia-Pacific Financial Information Conference.
“The biggest change we’ve seen in the last few years has gone from growing revenue to maintaining our expenses line,” said Jeremy Green, global head of market data at Standard Chartered. “Every year we look at budgets, focus on expenses… and find that if we can present context around how people are using data, we can usually reduce costs by 5 to 10 percent without doing anything major.”
Mark Bands, head of global customer reference data at ANZ Institutional Bank, agreed that simple steps can yield results. “When you set up an organization within a firm to monitor usage, it’s amazing what you can find by looking at what data you have, what you need, and what you can do without,” he said.
Green added that Standard Chartered has achieved some degree of success by marrying its supply management and demand management functions, providing a clear picture of where the firm has growth and where it can reduce services—but that however a firm organizes its data function, a key element is to have a group-wide view of all contracts supporting its data needs.
However, a lack of competition among niche regional vendors can make it hard to substitute services for cheaper alternatives, said Miguel Ortega, market data engineer at Deutsche Securities Japan. “Asia is a little different from the rest of the world, because we have different needs. There are some local vendors with data that only they have—so it is difficult to look elsewhere to meet our clients’ needs,” he said.
An alternative to focusing only on reducing spend is to lobby for more budget by demonstrating where cuts cost money, such as charges as a result of incorrect settlement instructions. “Yes, we’re being asked to do more with less budget, but part of our job is to point out the costs of bad data,” Bands said.
However, any cost control efforts must be ongoing and sustainable, such as monitoring usage, reviewing services, and having end-users self-certify their usage, and should include evaluating what additional value vendors are willing to provide to keep costs low, Ortega said.
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@waterstechnology.com or view our subscription options here: http://subscriptions.waterstechnology.com/subscribe
You are currently unable to print this content. Please contact info@waterstechnology.com to find out more.
You are currently unable to copy this content. Please contact info@waterstechnology.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@waterstechnology.com
More on Data Management
US banks seek to open vendors’ black box on green data
Inaugural Fed climate scenario analysis flags lack of transparency around third-party models.
IEX Cloud closure forces fintech clients to seek data alternatives
IEX says it is ditching its unprofitable data arm to focus on its core exchange business, but other vendors believe they can turn a profit from its former client base of fintechs, retail investors and some institutions.
The IMD Wrap: Déjà vu as exchange data industry weighs its options
Max highlights some of WatersTechnology’s recent reporting on data costs and capacity issues facing the options industry, and asks, haven’t we seen this before somewhere?
FRTB data quality issues persist amid shifting implementation dates
Banks are finding market and reference data challenges posed by the FRTB’s standardized model tricky, compounded by uncertainty over when the regulation will take effect.
Cboe pushes rule change to make way for proprietary Opra alternatives
As US options data has grown in volume and cost, Cboe says changing the public feed's governing document would make way for more competition from private alternatives, including its Cboe One Options Feed, launched in 2023.
Waters Wrap: What’s going on ‘Here’? Examining interop’s next move
OpenFin is now known as Here. Anthony explains what the rebrand might signal for the application interoperability space.
This Week: MSCI, Tradeweb, FactSet, LTX, MarketAxess, TS Imagine, and more
A summary of the latest financial technology news.
Regulators urged to promote cyber security investment
Public interest in stopping cyber attacks that could trigger bank runs, says Bundesbank researcher