SuperDerivatives Challenges Data Feeds with Launch of Low Cost Alternative - DGX Direct

SuperDerivatives, a provider of real-time market data, derivatives technology and valuation services using cloud-based technology for the financial and commodity markets, has reported that it has launched its low-cost alternative data feed solution for financial trading firms, DGX Direct. SuperDerivatives continues its campaign to provide robust alternative solutions challenging major market data and data feed providers, the DGX terminal costs $1,500 a year.

The firm, which was one of the first providers of data services on the internet since the year 2000, has been extending its core solutions to cover a wide range of asset classes on different trading and data terminals. The latest product launch highlights the firm's commitment to meeting the needs of firms that are price sensitive.

DGX Direct will stream real-time, snapshot and end-of-day data for all cash and derivatives instruments in all markets, including all curves (forwards, interest rates, OIS, inflation, credit, dividends) and Volatility Volatility In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad In finance, volatility refers to the amount of change in the rate of a financial instrument, such as commodities, currencies, or stocks, over a given time period. Essentially, volatility describes the nature of an instrument’s fluctuation; a highly volatile security equates to large fluctuations in price, and a low volatile security equates to timid fluctuations in price. Volatility is an important statistical indicator used by financial traders to assist them in developing trading systems. Trad Read this Term surfaces across all asset classes and traded maturities.

The new service will stream data to customers via an API delivery mechanism – and allows an organisation to subscribe to a direct feed of any subset of data from DGX, SuperDerivatives’ market data, news, analysis and chat platform.

Dr. Yuval Levy, CTO at SuperDerivatives spoke about the new launch in a statement, saying: “The technology behind DGX is scalable and sophisticated, utilising a number of tools to ensure very low latency. Over the past year we have experienced sizeable demand from our customers for a direct data stream, and we have responded with DGX Direct.

“SuperDerivatives is the first vendor in the market to offer a real-time volatility surface feed, and we expect to see significant uptake of this and the other feeds across all asset classes due to our cloud-based technology, which discards the need for fixed terminals, installed hardware and expensive upgrades. Our firm belief is that cost should not be a prohibitive factor for professionals requiring accurate, independent market data.”

DGX Direct is a data specific element to SuperDerivatives' DGX product. The firm launched DGX in December 2012, and in its first month of launch was overwhelmed with 23,000 users. A company spokesperson informed Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term Magnates that the number of users has continued to exceed the firms expectations, and the number of users registered since the January launch spans the buy-and sell-side banks, funds and corporates, with approximately 50% in Europe, 20% in the Americas and 30% across Asia.

SuperDerivatives found that participants in the financial markets space were more cost savvy after the 2008 crisis and the need for a scalable, economical and product centric solution was required. By using cloud-based technology SuperDerivatives is able to deploy a cost effective solution. The company spokesperson commented in a statement to Forex Magnates: “Since the financial crisis of 2008, institutions have had to adapt to a more cost effective environment, creating a universal recognition amongst market participants for the need for cost-effective and scalable solutions. This provided a catalyst for greater adoption of cloud-based technology as firms looked to achieve greater return on investment in a tough operating environment."

DGX app store uses the open developing concept whereby third-party developers can create add-ons and plugins to the existing framework, a concept that is popular in the retail FX market with tradable and X Open Hub.

DGX data coverage includes:

• 800,000 bonds (sovereigns, agencies and supra-nationals, corporates, euro bonds, MBS, ABS)
• 50,000 stocks, indices and ETFs
• 4,000 CDS curves
• 500 energy products (power and gas, oil, oil products, emission)
• All metals, 250 agriculture products and wet and dry freight
• All interest rates (all yield curves including OIS, implied correlations, basis spreads, inflation, BMA)
• Major and emerging market currencies

SuperDerivatives was one of the last venues who applied for SEF status before the October 2nd deadline.

The firm has been involved in the FX Options space, in addition to the SEF application, it launched a proprietary FX Options product in collaboration with leading FX broker FXCM.