Global spending on financial market data and news rose by 12.4% US$42 billion in 2023, according to new data from Burton Taylor, a division of Parameta Solutions, owned by TP ICAP.
Real-time trading and data spending held the greatest share of revenue, however demand for pricing, reference and valuation data drove overall spending.
More than 50% of revenue was earned in the Americas – an increase from 48% in 2018. EMEA generated 31% of the total, while Asia contributed just under 19%.
Bloomberg retained its position as global market data leader, holding the greatest share of the business. Along with LSEG Data & Analytics and S&P Global Market Intelligence, it was one of the sole providers to finish 2023 with a double-digit market share.
In terms of growth, Moody’s Analytics saw the sharpest revenue increase over the year, followed by FactSet and S&P Global Market Intelligence.
On what has driven this increase, Hadley Weinberger, senior analyst at Burton Taylor, commented: “The rapid growth of AI and similar advanced analytical technologies have elevated the value of market data beyond the level we’ve seen in recent years, driving notably higher growth rates in 2023. Financial institutions are already using generative AI and other artificial intelligence tools across all areas of their operation, driving demand for data not only for trading and risk but also to extract intelligence in other operational areas of the business.”
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