Swaps Data Deal Under Dodd-Frank Wins 89% Market Share for DTCC (Bloomberg)

By | June 3, 2011

Last week we learned that ISDA decided they would endorse DTCC as the swaps data repository for interest rate products, essentially shutting down the repository created by TriOptima only a year or so ago.  I love competition to spawn innovation and lower prices as much as anyone, but in this case I think the best thing for the market is to have all of this swaps data in one place.  Its also the best thing for me the analyst who loves to pull this data down off the web to decipher what’s going on in the market.  From a recent Bloomberg article:

“I would argue that swaps-data repositories are one area where a monopoly might not be such a bad thing,” said Kevin McPartland, a senior analyst in New York with Tabb Group, a financial markets research and advisory company. In a crisis, regulators need to immediately see swap positions and connections between trading partners, and fragmenting the data may hinder access, he said.

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