Overbond, a fixed income analytics solution provider, has launched a real-time AI bond pricing product, which has the capacity to process real-time historical pricing data on over 30,000 securities with a refresh rate under three seconds.

The new service fills a gap in the market by aggregating multiple data sources on the client side across trading venues, data aggregators themselves and fundamental and settlement layer data. This provides traders with accurate bond pricing that can measure the liquidity of individual securities and enable automatic execution.

Called COBI-Pricing LIVE, it uses AI models that optimise prices for bonds with various liquidity profiles and performs historical benchmarking and curve fitting.

"Both sell side dealers and buy side asset managers are increasingly relying on AI applications to price fixed income securities in live trading and automate part of their daily workflows," said Vuk Magdelinic, CEO of Overbond. "However, most of the existing fixed income capital market data sources do not have enough coverage to provide traders with a view of true liquidity and price precision that can be executed automatically."

COBI-Pricing LIVE collates and organises large volumes of disparate data, including non-traditional data sets such as fundamental and settlement layer data. Using AI liquidity scoring, it tiers all trades and determines if these qualify for full-automation, trader supervision, or should not be traded at that time.