Lexifi and Bloomberg have expanded their technology integration via Lexifi's Instrument Box which is used to support the new Bloomberg Derivatives Library (DLIB) on the Bloomberg Professional service, the company's financial data and information platform.
DLIB provides tools for the derivatives workflow, from idea generation and market-data analysis to structuring and pricing of new products, using standard templates or advanced scripting capabilities which are supported by LexiFi's financial contract description language, MLFI (Modeling Language for Finance).
The extension of the integration of Lexifi's technology is part of Bloomberg's complete workflow for all the company's derivatives, structured products and strategies functionality, said Jose Ribas (pictured), global head of derivatives and structured products at Bloomberg. '[Lexifi's] contribution has been valuable to the development of our new Bloomberg Derivatives Library and has enabled us to launch it far more quickly,' said Ribas.
By using Blan, Bloomberg's simplified scripting language built around MLFI, users of DLIB can formally describe any financial instrument and automate the entire product life cycle. DLIB and Bloomberg's pricing models have been 'tightly integrated' with Lexifi's fast and scalable pricing infrastructure and proprietary real-time code generation technology. This, combined with the flexibility of MLFI, will enable Bloomberg to vastly reduce the time-to-market for covering new product structures in DLIB.
'Bloomberg and its financial engineers have made the best use of our technology, providing DLIB users with an impressive feature set and making the power of our contract description language available to users of the new function,' said Alain Frisch, chief technical officer at Lexifi.
The expansion of the integration between the two companies follows Bloomberg's acquisition of Barclays Risk Analytics and Index Solutions (Brais) for approximately US$790m (£520m), announced in December 2015, with completion expected by the middle of 2016. The acquisition was targeted at enabling 'innovation around better creation, sharing, publishing and benchmarking tools, as well as portfolio and risk analytics', according to Jean-Paul Zammitt, global head of financial products at Bloomberg.
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