Valor de Mercado to Provide Prices for All Bonds, Equities and Warrants Sold in Mexico
Algorithmics Incorporated announced that Valor de Mercado, a joint venture between Algorithmics and the Mexican Stock Exchange (Bolsa Mexicana de Valores, BMV), is to provide prices for all government and corporate bonds, equities and warrants sold in Mexico. The initiative has received government approval, satisfying a new regulatory requirement in Mexico that all market participants use a third party price vendor. Building on financial market data provided by the Bolsa, Valor de Mercado has implemented Algorithmics’ RiskWatch in a Mark-to-Future framework to compute market prices efficiently. This makes it possible to deliver risk information on an application service provider (ASP) model because it separates the computationally intensive simulation stage for the post-processing, risk and reward assessment stage. The Mark-to-Future architecture can contain data for a variety of financial products, rather than rely on the data and systems of one corporate user.