Real-time analytics that move from data to actionable information can allow firms to save resources while achieving the desired results, according to Catherine Clay, EVP, Global Head of Data and Access Solutions at Cboe Global Markets.
With data now available globally, firms are looking for new opportunities across asset classes and geographies, he said, adding that to simplify these global workflows, execution platforms “must rise to the challenge”.
Clay said today’s market participants have the appetite and ability to quickly integrate large amounts of data into their models and workflows.
This new generation, part technologist part quant, will continue to demand proprietary data, including alternative data, at an increasing level, he said.
“However, this information race comes with a significant cost, and firms are now looking for solutions that simplify complexities and reduce integration time,” he told the Merchant Magazine.
Clay, who won the Excellence in Exchanges Award at Markets Media Group’s US Women in Finance Awards 2018, leads the Data and Access Solutions (DnA) division at Cboe Global Markets. “Every day is different, with new opportunities and challenges, but my passion for the industry and my drive to remove friction from the market guide my decision-making process,” he says.
According to Clay, widespread digitization has led to a number of data providers and datasets.
“This diversity of data origins poses a challenge for companies that need to acquire, store and access data in an easy and normalized format – a challenge DnA helps our clients solve,” he said.
As one of the largest global exchange operators in the world, Cboe provides an incredibly rich menu of data in simplified terms and from a convenient access point, Clay explained.
“We simplify vendor complexity and allow firms to focus on their core strengths,” he stressed.
Additionally, with large amounts of data — especially in the equity derivatives space — companies can struggle with the heavy computing required for real-time synthesis and analysis, Clay said.
DnA uses on-site GPU technology to calculate real-time risk and margin analytics so its customers can trade with more confidence.
As Cboe expands into new markets and geographies, DnA is there to unlock potential investors and their offerings, said Clay.
“From newly minted proprietary data sets to innovative analytics, we listen to our clients and partner with them to meet their information needs. In line with this, we have many exciting initiatives in flight across our broad product portfolio,” he said.
Cboe recently joined the Pyth Network, a blockchain-based, decentralized financial market data distribution platform, and this year they will begin distributing a limited derivative data set from one of the US stock exchanges.
Another initiative is the launch of Cboe One Canada Feed, a real-time market data product that provides complete coverage of Canadian equity markets, Clay said.
On the side of the DnA platform, Cboe Silexx, a multi-asset execution management system, being infused with industry-leading risk analytics, Clay said: “With unparalleled expertise in the options space, DnA helps make the market more accessible and safe for participants. .”
Clay said that their index business continues to partner with clients on a novel derivative-based index designed to democratize access to complex strategies that were previously reserved for a select few.
“In 2023, we will focus on Europe, bringing our analytics and market data offerings to new Cboe clients. Looking to the future, expect to see new data sets, analytics and indices related to the crypto space and ESG,” he said.
When asked about gender equality, Clay said that looking at the financial services sector as a whole, women remain underrepresented, particularly in senior leadership positions.
That said, the industry is responding to the demand for greater transparency and accountability regarding equality and opportunity, Clay added.
The creation of DEI-minded recruiting and talent development programs, together with the publication of the organization’s demographics, has been a positive trend in the sector, said Clay.
She further said that while important, revamped recruitment efforts alone are not enough to close the gender parity gap in financial services.
“It ultimately comes down to organizational accountability and an ongoing commitment to supporting women in the workplace beyond the initial hiring process,” she said.
Cboe has taken important steps to increase the representation of women in the organization by setting Social Impact goals published in its annual ESG report with measurable results.
“At Cboe, we focus on increasing diversity at all levels of the organization – including at the Board level, where almost a third of the Directors are women,” said Clay.
Cboe reinforces this commitment through its Diversity Leadership Council, comprised of leaders across the company and its Partner Resource Group, who play a critical role in driving culture.
According to Clay, their HR team is focused on delivering results related to DEI and providing governance and oversight in our diversity efforts.
“We also have a dedicated Cboe Women’s Initiative, which seeks to increase representation, empower voices, and build a culture of opportunity and advancement for Cboe women through mentoring, advocacy, and educational and networking events,” she said.