Bloomberg criticized for “loophole” with trading data

Bloomberg The chairman of the Consolidated Tape Association has written a letter to the Securities and Exchange Commission claiming that Bloomberg has taken advantage of a “loophole” to gain a competitive advantage, reports Matt Turner of Business Insider.

Turner reports, “The financial data giant last week filed a letter with the Securities and Exchange Commission, complaining about changes to the fee schedule for some trading data.

“The changes were a result of a ‘clarification’ filed by the Consolidated Tape Association. NYSE is the CTA plan administrator, and Bloomberg’s letter focused in on the exchange group, a company it has been at loggerheads with for years.

“In response, the chairman of the CTA plan operating committee has sent a letter to the Securities and Exchange Commission stating that Bloomberg had been exploiting a loophole to gain a competitive advantage.

“The clarification relates to what’s called ‘top of book’ data, which is considered essential for trading, and Bloomberg’s Server Application Program Interface (SAPI).”

Read more here.

Chris Roush

Chris Roush was the dean of the School of Communications at Quinnipiac University in Hamden, Connecticut. He was previously Walter E. Hussman Sr. Distinguished Professor in business journalism at UNC-Chapel Hill. He is a former business journalist for Bloomberg News, Businessweek, The Atlanta Journal-Constitution, The Tampa Tribune and the Sarasota Herald-Tribune. He is the author of the leading business reporting textbook "Show me the Money: Writing Business and Economics Stories for Mass Communication" and "Thinking Things Over," a biography of former Wall Street Journal editor Vermont Royster.