SOLVE Px™: AI-Driven Predictive Pricing for Corporate Bonds

In the dynamic and often illiquid world of fixed income securities, precise and timely pre-trade data is paramount for making informed decisions. SOLVE, a leading provider in this space, has just announced a significant leap forward with the launch of SOLVE Px™ for the Corporate Bond Market.

This innovative AI-driven pricing tool is set to transform how financial professionals operate within both high-yield (HY) and investment-grade (IG) corporate bond markets. Covering an extensive universe of over 100,000 corporate bonds, SOLVE Px™ delivers industry-leading precision in predictive trade-level pricing, empowering traders and portfolio managers to act with unparalleled confidence.

• The Power of AI in Fixed Income Decision-Making
  • Addressing Market Illiquidity:
    • SOLVE Px™ is specifically designed for fixed income professionals operating in frequently illiquid markets.
    • Enables quick, well-informed decisions.
  • Advanced AI Model:
    • Built on sophisticated AI models.
    • Trained with over 300 feature inputs, including SOLVE’s proprietary quote data.
    • Delivers pricing that dynamically adjusts to evolving market conditions.
  • Benefits for Users:
    • Helps buy-side and sell-side users identify trade opportunities.
    • Facilitates effective risk management.
    • Enables refinement of execution strategies.
• Eugene Grinberg on the Impact of SOLVE Px™
  • Next-Level Price Discovery:
    • Eugene Grinberg, CEO of SOLVE, states that SOLVE Px™ elevates price discovery.
    • Provides accurate pricing regardless of a security’s liquidity.
  • Real-Time Predictive Insights:
    • Offers real-time insight into the next likely trade level for HY and IG corporate bonds.
    • Empowers traders and portfolio managers to combine market judgment with data-driven support.
    • Aims to improve outcomes and accelerate opportunity capture.
• Key Features and Components of SOLVE Px™
  • Comprehensive Pricing Data:
    • Provides real-time, size-specific pricing data.
    • Includes Bid, Mid, and Offer levels.
    • Offers Price, Yield, and Spread for each prediction.
  • Delivery Mechanisms:
    • Available via the SOLVE Quotes web application.
    • Accessible through FTP and FIX feeds.
    • Upcoming availability via APIs and Excel add-in.
  • Core Integrated Components:
    • SOLVE Quotes™:
      • Crowd-sourced bids and offers from market participants.
      • Provides rich real-time pricing inputs.
      • Delivers real-time bid, mid, and offer levels across 50,000+ daily securities and 20 million+ daily quotes.
    • AI-Generated Predictive Pricing:
      • Fully machine learning-driven model.
      • Trained on hundreds of inputs from reference data, trade data, and quote data.
  • Enhanced Transparency:
    • Together, these components offer a more comprehensive and actionable view of corporate bond pricing.
• Expanding Investment Visibility and Decision Support
  • Target Audience:
    • Supports decision-making for traders.
    • Beneficial for portfolio managers.
    • Valuable for researchers and wealth managers.
    • Aids investment leaders.
  • Boosting Confidence and Visibility:
    • Designed to boost execution confidence.
    • Aims to expand investment visibility.
• Integration with Relative Value Analysis Tool
  • Building on Recent Rollouts:
    • SOLVE Px™ for corporate bonds follows the recent rollout of SOLVE’s Relative Value Analysis tool for municipal bonds.
    • This capability now extends to corporate bonds as well.
  • Powerful Visualization Capabilities:
    • Allows traders and portfolio managers to assess bond value changes over time.
    • Provides clearer context and deeper insight into price behavior in response to market conditions.
  • Combined Synergies:
    • Grinberg highlights the combined power of SOLVE Px™ and the Relative Value Analysis tool.
    • Enables corporate bond traders to uncover opportunities in volatile markets with unmatched speed and precision.
    • Provides a fuller market view by layering real-time predictive pricing with historical context for smarter trading decisions.

The launch of SOLVE Px™ for the Corporate Bond Market marks a significant advancement in the FinTech landscape, particularly for fixed income professionals. By harnessing the power of AI to deliver highly precise and predictive trade-level pricing, SOLVE is providing an invaluable tool for navigating complex and often illiquid markets. The integration of proprietary quote data with advanced machine learning models ensures that users receive dynamic, real-time insights, enabling them to make more confident decisions, manage risk effectively, and capitalize on opportunities faster. Combined with the Relative Value Analysis tool, SOLVE’s offerings are set to empower financial professionals with an unprecedented level of market visibility and analytical capability, truly revolutionizing corporate bond trading.

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