Buyside traders in Europe who are facing the uncertain future of where to get their alpha generating research and how to pay for it now will have access to central repository.
With the publication of the ESMA technical guidelines expected later this month, there is debate in the industry about what unbundling research and execution payments will bring. What is clear, however, is that MiFID II will require all research to be unbundled, transparently valued, priced and paid for. To that end, RSRCHXchange is launching its online platform RSRCHX today, allowing users to buy research in a more efficient, discerning and transparent way – just like purchasing music via iTunes – while enabling buyside firms to comply with the MiFID II unbundling requirements.
The current and traditional research procurement model is complex and costly for the buyside. Traders spend huge amounts of time finding the best research providers and accessing their content. That is time not trading, and add to this compliance, oversight, due diligence and record keeping, traders are faced with a mostly manual process that varies from broker to broker or provider to provider.
In an age of social media tools, mobile access and search-driven functionality, buy-side firms can now search, access and purchase a wide range of multi-asset, non-broker research on a single, sophisticated platform, that easily fits into existing workflow processes.
Now the buyside can search within the aggregated content from multiple sources and buy the research they need in real time. The RSRCHXchange platform enables them to measure and manage their research consumption effectively, with absolute confidence in the due diligence and compliance checks of every provider. Furthermore, it allows asset managers to buy what they need, from any source, when they need it and use a variety of hard or soft dollar payment mechanisms.
There are currently more than 50 research providers and a number of prominent buyside clients on board even before the widespread launch of the system.
