It’s really a trend that we’re seeing, obviously, Citadel is a very large player across many different asset classes, and their entrance is a very important sign of things to come. We are also seeing other entrants, particularly out of the ETF market maker groups, entering the credit markets as well. And we certainly offer a unique offering with all-to-all trading, where you can have a new entrant, join the market and join a network of 2,000 clients around the globe. So the ability for that new entry to step into the market is quite powerful here, but they all are entering with a strong bend towards electronic trading. Obviously, Citadel is known for its electronic trading prowess, and the other ETF market makers and systematic hedge funds that we’re seeing enter our market are all leveraging very advanced trading technology, which makes a very attractive outcome for things like our overall automation suite, including the Adaptive Auto-X launch.
Patrick Moley: Excellent. So I hop back in the queue.
Chris Concannon: Thanks.
Operator: Your next question comes from the line of Simon Clinch with Atlantic Equities. Please go ahead.
Simon Clinch: Hi, everyone. Thanks for taking my question. Actually I got a question about the data side and perhaps CP+, and just could you expand on the opportunities for monetizing your proprietary data set, which is significant and, I think, still quite early stage? And just how we should think about the size of that opportunity, the timing of that really flowing through into your business?
Chris Concannon: Sure. Great question. And we love to talk about our data here at MarketAxess. Just to put it in perspective, the addressable market that I spoke about, about $1 billion of that addressable market is data revenue. So we are very bullish on the opportunity in the data space. Our data revenues have been consistently growing as a result of the demand for CP+, our real time data. It’s a strong data product in the U.S. for U.S. corporate bonds. Obviously, we think it’s the benchmark for real time trading of U.S. corporate bonds. But, more importantly, in Eurobonds and EM, we’re seeing high demand, particularly in EM, which is a much more difficult market to trade. We see high demand for CP+ across those international markets.
And as we grow our trading footprint, and we did grow our trading footprint both in Eurobonds and EM, that data product becomes that much more valuable. So we’re certainly projecting very attractive growth rates for CP+ internationally as well as here. With regard to the proprietary data products and I named a number of them that are newly into production and being launched over the coming months and quarters. They are all designed to really attract trading volume at this point. What we intend to do is embed them in our new trading platform, and so our clients can only see that data when they load an order on our platform and engage our platform for trading. And we believe it’s a very careful curated way of attracting more orders on the platform, but also helping our clients determine how best to trade their orders given the size and given the unique liquidity in the market.
So things like tradability will predict the number of responses that you should get back on a given bond. CP Responder will actually predict the likelihood of winning an inquiry based on your unique price and size. And CP Inquiry predicts the best price of an inquiry based on the client type and the size inside of your bond. So these are very unique, very proprietary data products that we’re rolling out. And our latest AI Dealer Direct will actually help you select your dealer counterparty, which is very important when you’re trading larger size orders in our market, so all of these at the outset will be offered exclusively on the platform with lots of restrictions for use. But we do believe over time, we’ll be able to monetize them into pure data feeds for our clients to use in their own proprietary platforms.
