It’s all about the data, right?

The financial markets’ collective carnivorous appetite for all kinds of data – traditional, alt, whatever, has pushed spend up to register the strongest growth levels since 2011, according to a new report from Burton-Taylor. The report said that spending on financial market data/analysis and news set new highs in 2017, while showing the greatest year-on-year growth since 2011.

“The financial market data/analysis story continues to be one of unending demand for the information and tools necessary to ensure regulatory compliance,” said Douglas B. Taylor, founder & Managing Director of Burton-Taylor.  “Moreover, the continued posturing of global exchanges and traditional market data vendors to serve those data demands is causing significant “hand-wringing” around the industry.”

The report found that global spend was up 3.57%, to reach US$28.48 billion, topping the $28 billion mark for the first time ever. On a constant currency basis, the 2017 growth was 3.27%, as FX adjustments benefited the market by about USD$80m.

At 33.22%, Bloomberg increased revenue but slightly decreased market share, as did Thomson Reuters and S&P Global Market Intelligence, while FactSet Research Systems increased share to 4.45%.  Of the global players, Moody’s Analytics led year-on-year growth with 19.06%, part of which was due to acquisition.

Risk & Compliance users again were the fastest growing customer groups in 2017 and have now delivered a whopping 9.71% compound annual growth rate (CAGR) over the past five years.  Pricing, Reference & Valuation products and Portfolio Management & Analytics products were in highest demand, growing an average of 7.96% and 6.80% per year, respectively, over the same period.

The complete 148 page Burton-Taylor Financial Market Data/Analysis Global Share & Segment Sizing report shows that Moody’s Analytics (11.14%), Platts (9.62%), S&P Global Market Intelligence (9.33%) and FactSet (8.97%) delivered the highest five-year CAGR among market data/analysis or news vendors with at least USD500m in global revenue.  The report also indicates that demand increased in all three regions; the Americas, Europe, Middle East & Africa (EMEA), and Asia.

A free download of which includes extracts from the report, and the table of contents, may be requested by visiting:  http://www.burton-taylor.com/research.html and inputting research sample code FINMARKET2018.