Conclusion

As COVID-19 resulted continues to generate unprecedented levels of volatility in global fixed income markets, many central banks are still offering temporary relief packages to ease the economic impacts and limit the depth of an inevitable recession.

Ultimately, recovery will depend on the availability of a vaccine. Until then, fixed income markets should expect to see an accelerated adoption of automation technologies.

Bloomberg has seen an increase in the demand for news and other data sets to enable sell-side clients to build their own rules and respond more quickly to market changes. The advantage for customers using this technology is the high-quality data it is based on.

The number of Bloomberg’s mobile service users has increased since the start of the COVID-19 pandemic, along with a double-digit increase this year in the number of users subscribed to mobile alerts.

Our research has shown that automation of the trading process is a key driver for continued growth in the fixed income markets for sell-side firms in the APAC region. APAC has become more automated across many different sectors beyond the financial services industry, and this has pushed many firms in the region ahead of their North America and EMEA counterparts.

However, in order to benefit from automation technology, sell-side firms need to have an effective data management warehouse in place to manage an overwhelming amount of data from the fixed income market. Structuring an inhouse framework was the most popular option for this, according to our respondents, since it enables firms to standardize this internally.