Enhancing Market Transparency and Fair Pricing
Four fintech start-ups, using AI and data, are solving the pricing problem in the municipal bond market, upending entrenched incumbents along the way.
Four fintech start-ups, using AI and data, are solving the pricing problem in the municipal bond market, upending entrenched incumbents along the way.
Some muni market investors are paying far more than others for the same bond on the same day, even after a 2018 rule improved the situation somewhat.
Four fintech start-ups, using AI and data, are solving the pricing problem in the municipal bond market, upending entrenched incumbents along the way.
SOLVE, provider of pre-trade quotes data across fixed income markets, has rolled out an artificial intelligence platform (AI) that is designed to predict the next trade level for fixed income securities.
SOLVE, a market data platform, has announced the beta version of SOLVE Px, an AI predictive dataset for the muni market.
The 1.5 trillion-dollar private credit asset class has evolved beyond its niche status, becoming a prominent financing choice and is increasingly taking deals away from banks, junk bonds, and leverage loan markets. Business Development Corporations (BDCs) serve as a valuable proxy, offering transparency through their filings, revealing trends in this evolving market.
With the acceleration of technology in all markets, firms are trying to create solutions to process data — from issuer offering documents and continuing disclosures to trades and pricing and evaluations — and turn it into digestible, usable forms.
With an ever-changing landscape that now includes artificial intelligence, firms in the municipal market can be overwhelmed by the technology choices facing them, and their decisions will impact their bottom line. As new technology tools are developed will the current infrastructure become obsolete, requiring new investment?
Both regulators and the wide swath of municipal issuers, around 40,000 in total across these United States, will likely have to decide in the coming months and years how much or how little a role artificial intelligence will play in the development of standards mandated by the Federal Data Transparency Act.
Market data platform SOLVE has introduced a public finance workflow solution that shows historical scales for all muni deals, allowing for spread comparisons of where a deal priced in the past to where it might price in current market conditions.