Microsoft Enlists Partners for MiFID Reference Data Needs

london-Microsoft has unveiled a number of partnerships with technology and reference data providers enabling the software giant to assist client firms with their MiFID-related needs.

Solutions from the eight vendors named can be implemented according to a financial institution's individual compliance needs, either as a complete package, or individual components covering reference data and trade history, planning and testing; client classification; best execution; reporting; market connectivity; systematic internalisation; and systems integration.

"In terms of reference data, we have partnered with Xenomorph, TAP Solutions, SuperDerivatives and EMC to provide solutions," says Ian Warford, industry director for securities and capital markets at Microsoft's EMEA financial services division.

"We recognized this was an area where people have to spend a lot of money. We looked into MiFID and how we could help," Warford adds. "We can tailor our solutions for those who just see it as something they have to work with and are looking for a single solution, to those who view it as an opportunity worth embracing and take the whole solution suite on board."

With the MiFID deadline only months away, many financial institutions are still looking at ways to upgrade their IT systems to ensure they comply with the new requirements.

"MiFID should also be considered as a chance for companies to promote themselves and gain commercial advantage over their clients," says Brian Sentance, chief executive officer at London-based database and analytics provider Xenomorph, whose TimeScape database is one of the solutions on offer. "On a practical level, data is one of the most challenging technology aspects of MiFID-increased data volumes; more places it can come from; more places it must be published to; more archiving; new types, and more complex data."

SuperDerivatives provides option pricing and related reference data for both buy- and sell-side organizations to adhere to MiFID's best execution and reference data requirements when dealing with options, says marketing director Ahik Oron. The vendor's solutions utilize secure web technology, and can be ready for use within minutes of registration, though some "can be more tightly integrated within the client's own system, but this typically takes less than two months, including testing," Oron adds.

Marc Alvarez, executive vice president of products and marketing at TAP Solutions, says using Microsoft Excel via Web Services in conjunction with intra-day time and sales data content from the vendor's TAPMaster reference data management product provides "a complete solution for meeting MiFID reporting and compliance requirements."

TAPMaster is "designed to be as off-the-shelf as possible, but of course, a lot depends on the client's IT landscape. Our experience shows that Microsoft infrastructure goes a long way to minimizing problems in this area, but there are always questions to deal with," he adds.

Some firms are adopting a two-pronged approach to dealing with MiFID, which can involve management of real-time data as well as archiving of reference data, says Ivan Fernandez, senior manager of financial services at EMC. He says the vendor provides a unified platform for managing market and reference data, which offers "a scalable, cost-effective means of managing this data," which, he adds "will rapidly grow in volume."

Other vendors in Microsoft's partner program include Aleri Labs, BearingPoint, Gissing Software, Progress Apama, Qumas and SunGard.

Will Rankin