FIA EPTA agrees with the FCA’s proposal to appoint a single CTP per asset class through a tender process. Multiple providers would defeat underlying purpose of the Consolidated Tape of having a single golden source for data. Having a single CTP would also reduce the operational burden on data contributors and concentrate the customer base making the business model more economically viable.
We believe competition issues that potentially arise from a single CTP are best assessed in the context of the tender process through a focus on ensuring cost and pricing are reasonable and subject to appropriate constraints. We consider cost to be the most important criterion in the selection process as it will impact the uptake of the CT and amongst those who see consumption as essential it will represent effectively another fixed cost in trading which ultimately impacts pricing models in trading and therefore liquidity provision in the market.
- Market Structure