In a seemingly complex world like Fintech, what is the value of going back to basics? The foundation of a search for liquidity remains the same regardless of the vast amounts of data that need to coalesce in order to make the trade. It’s all about buy and sell, speed and relationships.

All that is required to revitalise the system and return to basics, while still tapping into the resource of big data, is a new idea from an innovative company. Algomi have found ways to open up the treasure chest of data in the bond trading market. Their success so far has grown from innovative ideas, great partnerships and a highly-experienced team. Algomi Investment numbers have gone through the roof due to their unique offering.

Michael Schmidt is the chairman of Algomi and is profiled here by Fintech Investment Reviews. We explore some of his history and experience as well as articulating his vision for the company.

History

Before founding Algomi, Michael worked with the Swiss financial services firm UBS. He went on from there to form CapXD with Usman Khan and Robert Howes. The consultancy firm landed a big banking client early on but, due to contractual restrictions, did not have the room to breathe that these industry innovators clearly required. They proceeded to form Algomi together with some other industry stars and have been on the rise since then.

Vision for Algomi’s role in the marketplace

Schmidt, in an article he wrote for Fund Technology, explains why Algomi’s software has so much potential in the bond market:

“Over 95% of the $86 trillion global fixed income market is illiquid, with a typical bond being traded once a year, if at all. And yet of all the industries that are ripe for the big data treatment, it’s the bond market. Because the bond market generates data. Lots of it.”

Algomi’s software, Synchronicity on the sell-side and Honeycomb on the buy-side, are essentially data processing platforms that are designed to create liquidity by highlighting true trade opportunities. With the added bonus of sensitivity to privacy and facilities that help with reporting to regulators, these programs will be at the forefront of changes in the shape of the industry in the coming years. Fintech Investment  Reviews advises you to watch this space as the company moves forward.