ENSO, a NEX Group business and leading portfolio finance and centralized treasury management solution for the buy-side, announces today that it plans to expand the ENSO Broker Vote tool (“Broker Vote”) to include MiFID II research consumption, powered by RSRCHXchange, the MiFID II compliant marketplace for institutional research.
The expanded tool will provide buy-side institutions with evidence-based evaluation of research providers and budget setting to comply with upcoming 2018 regulatory requirements.
The expanded Broker Vote tool will provide clients with a clear methodology for research payments, fully validating how payments for research were reached based on the quantity and quality of services provided. In addition, ENSO clients will be able to value each research provider based on their total consumption, wallet commissions and overall quality ratings.
Broker Vote maintains its industry-wide known broker vote functionality while clearly linking services to payments for research and avoiding any conflicts of interest with execution under MiFID II.
Matthew Bernard, Chief Executive Officer of ENSO, said: “MiFID II is a key focus not only for our clients, but for the broader marketplace in 2017. By expanding our Broker Vote tool we are able to deliver an enhanced solution to address the pivotal research requirements for both our sell-side and buy-side clients alike. At NEX, we have a strong history of partnering with businesses that are addressing tomorrow's issues. We are excited to collaborate with RSRCHXchange to solve this problem for our clients and the market.”
Vicky Sanders, Co-Chief Executive Officer of RSRCHXchange, said: “We are excited to be working with ENSO and enhancing their Broker Vote tool. They are award-winning innovators and they are providing the industry with an evidenced Broker Vote tool, which is not only MiFID II compliant, but also best in breed."
RSRCHXchange is the latest company to join the Euclid Opportunities portfolio, NEX Group’s financial technology investment business. RSRCHXchange launched RSRCHX, its marketplace and MiFID II workflow solution for institutional research in 2015, in anticipation of the unbundling rules which come into force in January 2018.
Pairing ENSO’s community of more than $1 trillion in client assets under advisory (AUA) and 14 major broker-dealers with RSRCHXchange’s more than 1,000 asset management firms and over 200 bank, broker and boutique research providers, establishes a powerful buy-side and sell-side client base who are actively preparing for preparing for MiFID II regulations.