Barclays index solutions and risk analytics getting bought by Bloomberg!!!


Bloomberg LP has many businesses from financial analysis to media outlets to brokerage services throughout the world in various domains. On 16th December 2015, Bloomberg announced that it will be acquiring Barclays Risk Analytics and Index Solutions Ltd. (BRAIS) for approx. $780 million. THis will be great step for Bloomberg into index business that it has built so far. They will be able to leverage not only Aggregate Bond Indices from Barclays Family but also the POINT portfolio analytics tool.

Barclays has been leading in indices market for a while and has developed world-class team to support index business. Bloomberg has been leading market in terms of financial analytics and has developed cutting-edge team of best analysts. With this merger, Bloomberg can expand its analytics capabilities to indices market and can win new businesses and customers. 

Barclays PLC will keep its quantitative investment strategy index business, but it will outsource calculation and maintenance of its strategy indices to Bloomberg. Barclays has also agreed to continue handling the operation of POINT for the next 18 months, to facilitate a smoother transition for clients during the acquisition process.
“We are pleased to partner closely with Bloomberg upon completion of the transaction, including maintaining a co-branding arrangement on the benchmark indices for an initial term of five years,” said Jes Staley, Barclays Group CEO, in a separate press release from Barclays. “This transaction is further evidence of the good work we are doing in managing down our Non-Core assets so that shareholders can feel the full benefit of ownership of Barclays’ well-performing Core businesses.”

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