London, 4 September 2012 – A new report from Aite Group outlines the state of the legal entity data services market, projects spending in this area through 2015, and profiles and compares key players in the space. This report is based on February to April 2012 Aite Group interviews with 23 financial institutions representing the buy-side and the sell-side; it is also based on a vendor assessment survey completed by 19 of these firms.
In recent years, the solution and data vendor community that is active in the legal entity data space has grown rapidly in tandem with financial institutions’ and regulators’ modest but increased investment and interest in this space. Aite Group expects spending on this area to increase from US$117.4 million in 2012 to approximately US$197.5 million by 2015. Given that some firms have increased their spending in this area by 100% over the last five years, it is no surprise that vendors have taken an interest in adding services tailored to this data set. This increase in investment will be largely driven by regulatory compliance projects, the need to better assess counterparty exposure in a volatile market environment, and, over the longer term, the drive to better service and retain key clients.
“Vendors offering services in the legal entity data space are not created equal, so a careful assessment of capabilities is very important for firms looking to invest in legal entity data or related solutions,” says Virginie O’Shea, senior analyst with Aite Group and author of this report. “Firms must consider internal operational and regulatory priorities, the vendor’s track record with handling legal entity data, and the vendor’s experience working with financial institutions of a similar size and focus as your own firm."
Vendors profiled or referenced in this report include Alacra, Asset Control, Avox, Bloomberg, Bureau Van Dijk, CounterpartyLink, CreditDimensions, Datactics, Dun & Bradstreet, DST Global Solutions, Eagle Investment Systems, Exchange Data International, FactEntry, GBST, GoldenSource, GoldTier, Informatica, Information Mosaic, Interactive Data, Joss Technology, Kingland Systems, London Stock Exchange, Markit Document Exchange, Markit EDM (ex-Cadis), Mergent, Omgeo, Orchestra Networks, PaceMetrics, PolarLake, S&P Capital IQ, Sapient Global Markets, SIX Financial Information, SmartStream, SunGard, Thomson Reuters, Trillium Software, Volante Technologies, and Wipro Technologies.
This 58-page Impact Report contains 22 figures and six tables. Clients of Aite Group’s institutional Securities & Investments service can download the report.