Benzinga and Tidal Markets team up on sec lending product
18 January 2019 Detroit
Image: Shutterstock
Benzinga and Tidal Markets have formed a partnership to deliver the Securities Lending Volatility Indicator (SLVX).
This new product forecasts market volatility for the broader indices and individual securities in a unique way, according to Benzinga.
The product will be labelled as ‘Benzinga SLVX’ and the raw data feed will be available to clients through Benzinga’s licensing team.
Additionally, by calculating the spread of rebate rates when borrowing a position to short sell, the indicator can predict movements without relying on the older, more traditional volatility index (VIX), Benzinga revealed.
Before markets get turbulent, the spread in rebate grows and the SLVX anticipates the incoming volatility.
John Bolton, vice president of data operations, Benzinga, said: “The SLVX presents a unique approach to anticipating volatility in stocks, and the simplicity of its output allows it to be utilised in a variety of trading strategies. This exclusive partnership will advantageously position us to provide quality data to a growing market."
"We're excited to use our skills as a data distributor and media company to deliver the SLVX in a streamlined & engaging way to our clients."
Christopher Sappo, managing principal, Tidal Markets, added: “I'm excited for the opportunity to partner with Benzinga. The ability to utilise a new instrument for detecting volatility, especially in such recent volatile times, demonstrates the value-add the SLVX has to the investment community."
“For so long, investors have relied on byproducts of the VIX as the sole indicator for detecting volatility—and that's about to change.”
This new product forecasts market volatility for the broader indices and individual securities in a unique way, according to Benzinga.
The product will be labelled as ‘Benzinga SLVX’ and the raw data feed will be available to clients through Benzinga’s licensing team.
Additionally, by calculating the spread of rebate rates when borrowing a position to short sell, the indicator can predict movements without relying on the older, more traditional volatility index (VIX), Benzinga revealed.
Before markets get turbulent, the spread in rebate grows and the SLVX anticipates the incoming volatility.
John Bolton, vice president of data operations, Benzinga, said: “The SLVX presents a unique approach to anticipating volatility in stocks, and the simplicity of its output allows it to be utilised in a variety of trading strategies. This exclusive partnership will advantageously position us to provide quality data to a growing market."
"We're excited to use our skills as a data distributor and media company to deliver the SLVX in a streamlined & engaging way to our clients."
Christopher Sappo, managing principal, Tidal Markets, added: “I'm excited for the opportunity to partner with Benzinga. The ability to utilise a new instrument for detecting volatility, especially in such recent volatile times, demonstrates the value-add the SLVX has to the investment community."
“For so long, investors have relied on byproducts of the VIX as the sole indicator for detecting volatility—and that's about to change.”
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