Evaluated Pricing Poised For Breakout
User demands, rather than regulatory spurs, fueling improvements in evaluation offering

Looking at the broad sweep of what Inside Reference Data has followed in the development of evaluated pricing over the past couple years, what had been embryonic about these offerings appears ready to start developing.
The foundations of concern about the value of evaluated prices, namely getting views into how they are sourced and making the process of evaluation transparent, appear to have solidified, according to professionals in the field who spoke on our July 14 webcast.
Daniel Johnson, head of valuation at Wells Fargo Global Fund Services in London, said that for 98% of the evaluated pricing data coming from providers, transparency is sufficient. The demand for greater transparency only happens when the data users are looking for requires a deeper dive into pricing numbers.
Firms' ability to assess how many sources they need on evaluated prices, and how sources compare, appears to have matured. Johnson observed that for securities with thin markets, some prices may be picked up by one provider but not another, depending on methodologies, and providers' strengths can vary by asset class, country or region.
Providers, for their part, are aware of these demands, as Thomson Reuters' Jayme Fagas said—users seek a "consolidated way to compare and contrast different data sources and sets," which is something her company is trying to address. S&P's Greg Carlin expects firms to use at least two providers, measuring them against each other.
On this basis, it's easier to understand why these professionals don't give all the credit for the progress of evaluated pricing to regulators' efforts to set standards for sourcing, whether through the Alternative Investment Fund Managers Directive (AIFMD) in Europe or the international IFRS 13 standard.
"We certainly have seen more firms interested in valuations pre- and post-trade—all the way from the trading desk back to portfolio pricing," said Carlin.
Johnson emphasized that professionals should remember that it's the service providers who supply evaluated pricing data, not regulators. Providers have been driven to offer data that covers more asset classes, and prices derived from comparison of multiple suppliers' information—all due to user demand.
Since firms have a better sense of what they want, and are communicating that more directly, the transparency and sourcing, and more importantly, the accuracy and quality of evaluated pricing data, is going to see an exponential increase.
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: https://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.
As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (point 2.4), printing is limited to a single copy.
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. As outlined in our terms and conditions, https://www.infopro-digital.com/terms-and-conditions/subscriptions/ (clause 2.4), an Authorised User may only make one copy of the materials for their own personal use. You must also comply with the restrictions in clause 2.5.
If you would like to purchase additional rights please email info@waterstechnology.com
More on Data Management
Speakerbus goes bust, Broadridge buys Signal, banks mandate cyber training, and more
The Waters Cooler: The Federal Reserve is reserved on GenAI, FloQast partners with Deloitte Australia, UBS invests in Domino Data Lab, and more in this week’s roundup.
Texting trials, or ‘The case of the costly Cubans’
The IMD Wrap: This week, featuring my colleagues as guest stars, I put myself in the shoes of a communications compliance officer at an asset manager, and look at what happens when messages go awry.
Standard Chartered CDO on AI, CAT on life support, Paxos files for clearing status, and more
The Waters Cooler: FIX updates MMT, a Finnish datacenter hangs in the balance, and partnerships galore in this week’s news roundup.
Waters Wavelength Ep. 327: Standard Chartered’s Mo Rahim
He joins the podcast to discuss data and AI governance and guardrails for AI.
Messaging’s chameleon: The changing faces and use cases of ISO 20022
The standard is being enhanced beyond its core payments messaging function to be adopted for new business needs.
S&P Global details AI partnerships, LLM advancements
The data provider has partnered with Microsoft and Anthropic to use hyperscaler tech to boost its AI offerings.
The industry is not ready for what’s around the corner
Waters Wrap: As cloud usage and AI capabilities continue to evolve (and costs go up), Anthony believes the fintech industry may face a similar predicament to the one facing journalism today.
Overbond’s demise hints at cloud-cost complexities
The fixed-income analytics platform provider shuttered after failing to find new funding or a merger partner as costs for its serverless cloud infrastructure “ballooned.”
Most read
- Speakerbus ceases operations amid financial turmoil
- AI’s next gig: The rising cost of off-channel communications compliance
- SS&C withdraws SEC application for clearing exemption