Automating Rights Management for Market Data

Resources

The data supply chain generates and consumes data. To track its progress, we need to distinguish between the original information as it is created (e.g. on a trading venue) and the data as it is traded and consumed (i.e. commercially packaged by timeliness, geography, or other dimension and subject to rights and obligations). The former is a Source and the latter is an Asset.

                        :A1   a             md:Asset ;
                              md:providers  lei:LCZ7XYGSLJUHFXXNXD88 .  # CME
                    

                        :A1   a             md:Asset ;
                                md:ipOwner  lei:LCZ7XYGSLJUHFXXNXD88 .  # CME
                    

                        :A2   a                        md:Asset ;
                              md:refines              :A1 ;
                              md:timelinessOfDelivery [ a md::Delayed ] .
                    

The example below identifies the Eurodollar Futures Contract traded on Globex.

The many ways to describe Assets that are of relevance to market data licenses are enumerated in Constraints on Assets below.

Markets

Most of the Assets of interest to market data licenses describe the pricing and trading of financial instruments. These instruments are traded at Venues managed by Exchanges.

Knowing which venue generated a Source can help in tracing the rights and obligations that control the use of the data.

Identifiers

Sources in market data are rarely identified by universally unique identifiers (aka URIs) that can be understood along the supply chain. In the case of exchange data, however, they do have a product code that is unique to the specific Venue that generates the Source.

Combining these in a compound ID creates a unique identifier that can be understood by the supply chain.

This example identifies the Eurodollar Futures Contract traded on Globex:

                []   a                 md:CompoundID;  
                     md:context        [
                                           a                 md:Venue ;
                                           rdfs:label        "Globex" ;
                                           md:operatingMic   mic:XCME ;
                                           md:mic            mic:GLBX
                                       ]  ;
                     dc:identifier.    "GE" .
            

Units of Count

The rights and obligations controlling the use of data often require counting things (q.v. Report or Compensate duties).

In addition to Venues, we may also want to make a count of:

                    []   a              odrl:Duty;
                         ...
                         odrl:action    [
                                          a                     md:Report ;
                                          odrl:unitOfCount      md:UserID
                                        ] ;
                         md:targets     [ a md:Usage ] ;
                         ...
                

Distribution Service

Party Types

Market data licenses are very sensitive to who has access to the data they control. The key distinction is between Parties that belong to the Assignee (and its affiliated or enumerated companies) and those that don"t (aka third-parties).

We can capture this by "typing" Parties into Internal-type and External-type parties. This distinction is, of course, relative to the Assignee.

Furthermore, the rights and obligations applicable to the licensee can sometimes differ from those offered to their affiliates. So we must express the distinction too.

In distribution use cases, the type of recipient is often significant. We differentiate between professional, non-professional, and educational parties, and between existing and prospective clients.

                    []   a           odrl:Permission;
                         ...
                         md:users   [ a    md:InternalParty ] ;
                         ...
                

Party Roles

Party Roles describe the part a Party (or set of Parties) plays as a data Asset moves along the market data supply chain.

Many Parties play different roles at different times. A large financial institution regularly acts as an Originator, Administrator, Provider, and Consumer of data assets.

In the example of an Exchange delivering an Asset to a vendor for onward distribution to a bank, the sequence of parties and their roles would look as follows:

1. The exchange acting as an Originator assigns rights and as a Provider delivers data to the vendor, acting as a Consumer.
2. The vendor, then acting as an Administrator, assigns rights, and as a Provider, delivers data to the bank, acting as a Consumer.
3. The banks market data function, now acting as an Administrator, then assigns rights and, acting as a Provider, delivers data to its end users, who are Consumers of the data.
4. And if those end-users in the bank were then to derive a new creative work from the data, they would be acting as Originators ... and so the supply chain spins on.

Note: the rights and obligations controlling the use of the Asset could be changed by the vendor (and those controlling the use of the derived data by the bank) so long as the new rights and obligations are conpliant (i.e. at least as strict) as the original ones specified by the Originator.

Originator

Definition:	The role a Party plays in creating a Source and acting as an Assigner of the rights and obligations controlling its commercialisation and use.
Version:	0.9
Scope Note:	Applies to all Parties (not just exchanges) deriving or curating a new creative work and acting as the Assigner for this work.
Note:	Originators may use an Administrator to manage their rights assignments and a Service Facilitator to destribute the data.
Label:	Originator
Identifier:	https://www.w3.org/community/md-odrl-profile#originator-0-9
Sub-class Of:	Party Role
In Range Of:	role

We can imagine an Originator so:

Provider

Definition:	The role a Party plays in delivering and/or or providing access to an Asset for Consumers.
Version:	0.9
Scope Note:	Designates the role a vendor plays in providing data to its customers.
Scope Note:	Describes the role the market data function within a financial institution plays in providing data to its internal customers.
Scope Note:	The rights and obligations controlling the use of the Asset are supplied by the Administrator or Originator.
Label:	Provider
Identifier:	https://www.w3.org/community/md-odrl-profile#provider-0-9
Sub-class Of:	Party Role
In Range Of:	role

We can imagine a Provider so:

Consumer

Definition:	The role a Party plays in receiving an Asset and acting as the Assignee of the rights and obligations controlling the use of that Asset.
Version:	0.9
Scope Note:	Designates the role a vendor or market data function within an organisation plays in receiving data from its Providers and the rights and obligations controlling its use from their Adminstrators.
Scope Note:	Describes the role the end-user of market data (e.g. trading desk or back office) plays in using the data provided to it.
Label:	Consumer
Identifier:	https://www.w3.org/community/md-odrl-profile#consumer-0-9
Sub-class Of:	Party Role
In Range Of:	role

We can imagine a Consumer so:

Service Facilitator

Definition:	The role an external organisation plays when contracted by the Assignee to deliver a business function using the assignee's data access rights.
Version:	0.9
Scope Note:	Covers third-parties assisting in the delivery of data services for the Assignee such as generating derived data or distributing data.
Scope Note:	Includes the activities of a 'calculating agent'.
Note:	When a Service Facilitator is used to create new original works, the Assignee, who owns the IP in the new data product, should be considered the Originator as it is they who can assign rights over it.
Label:	Service Facilitator
Identifier:	https://www.w3.org/community/md-odrl-profile#service-facilitator-0-9
Sub-class Of:	Party Role
In Range Of:	role

We can imagine a Service Facilitator so:

Assignees frequently require notification of (or consent for) the use of a Service Facilitator. We can model this as a notification (or request consent) Duty where the Notify action is taken on a per-service provider basis.

                    []   a              odrl:Duty;
                         ...
                         odrl:action    [
                                           a                md:Notify ;
                                           odrl:unitOfCount [
                                                                 a            md:ExternalParty ;
                                                                 md:roles     [ a md:ServiceFacilitator ]
                                                             ] ;
                                        ] .
                         ...
                

Administrator

Definition:	The role an organisation plays in assisting in the the assignment or management of rights.
Version:	0.9
Label:	Administrator
Identifier:	https://www.w3.org/community/md-odrl-profile#administrator-0-9
Sub-class Of:	Party Role
In Range Of:	role

We can imagine an administrator so:

Party Properties

Usage

                        []   a              odrl:Permission;
                             ...
                             odrl:action    [
                                              a                 md:TradeAutomatically ;
                                              md:purpose        [ a md:TradingAsPrincipal ]
                                            ] ;
                             ...
                    

                    []   a              odrl:Permission;
                         ...
                         odrl:action    [
                                            a             md:Store , md:Display ;
                                            md:purpose    [ a md:RegulatoryRequirement ]
                                        ] ;
                         ...
                

Audit

Reasonable Suspicion

Control

Derivation

                    []   a              odrl:Permission;
                         ...
                         odrl:action    [
                                            a                     md:Derive ;
                                            md:purpose          [ a md:CalculateIndex ] ;
                                            md:derivationTypes  [ a md:Irreversible ] , [ a md:Non-Substitutive ] ;
                                        ] ;
                         ...
                

Activity Properties

                    []   a              odrl:Permission;
                         ...
                         odrl:controls  [
                                            a                     md:ClosedUserGroup ;
                                            md:systemProvider     [ a md:Provider ] ;
                                        ] ;
                         odrl:action    [
                                            a                     md:Display ;
                                            md:systemProvider     [ a md:Provider ] ;
                                        ] ;
                         ...
                

licensee

affiliates

Distribute

Store

Download

Transform

Use

subject

object

targets

Attribution

Disclaimer

Proscription

Duty Asset Properties

Notify

Report

Reporting usage requires a unit of count such as device, user-account, or location to specify what must be reported. The example below calls for reporting by device (once):

                    []   a             odrl:Duty;  
                         odrl:action   [
                                           a                 md:Report ;
                                           odrl:unitOfCount  [ a md:Device ] ;
                                           md:reporting-code        1754
                                       ]  ;
                         md:targets    [ a md:Usage ] .
                

Request

Consent

                []    a             odrl:Duty;  
                      odrl:action   [
                                        a                 md:Consent ;
                                    ]  ;
                      md:targets    [ a md:ServiceProvider ] ;
                      odrl:duty     :R1 .
                

                :R1   a             odrl:Duty;
                      md:recipients [
                                        a               md:ExternalParty ;
                                        md:roles        [ a md:ServiceFacilitator ]
                                    ]   ;
                      odrl:action   [
                                        a               md:Request ;
                                    ]   ;
                      md:targets    [
                                        a               md:ExternalParty ;
                                        md:roles        [ a md:ServiceFacilitator ]
                                    ]   .       
            

Compensate

The following example requires $1,150 to be paid per location once:

                []   a             odrl:Duty;
                     odrl:action   [
                                       a                 md:Compensate ;
                                       odrl:unitOfCount  [ a md:Location ] ;
                                       odrl:payAmount    1150.00 ;
                                       odrl:unit         currency:USD ;  # USD
                                    ]  .
            

Invoice

                []   a             odrl:Duty;  
                     odrl:action   [
                                       a                 md:Compensate ;
                                       odrl:unitOfCount  [ a md:Location ] ;
                                       odrl:payAmount    1150.00 ;
                                       odrl:unit         currency:USD ;  # USD
                                    ] ;                 
                     odrl:duty     :I1 .
                

                :I1   a             odrl:Duty;
                      odrl:action   [
                                        a               md:Invoice ;
                                    ] .     
            

Attach

In this example, a Duty requires and specifies an Attribution to be attached to the data whenever the recipient is an External Party.

                []   a             odrl:Duty ;
                     md:recipients [ a md:ExternalParty ] ;
                     odrl:action   [
                                        a               md:Attach ;
                                   ] ;
                     odrl:target   [
                                        a               md:Attribution ;
                                        md:wording      "The market data is the property of Chicago Mercantile Exchange Inc. or it’s licensors as applicable. All rights reserved, or otherwise licensed by Chicago Mercantile Exchange Inc."
                                   ] .
            

The follwing Duty, usually associated with Derivations, requires and specifies a Disclaimer to be attached to the data irrespective of whether the recipient is an Internal or External Party.

                []   a             odrl:Duty ;
                     md:recipients ( [ a md:InternalParty ] [ a md:ExternalParty ] ) ;
                     odrl:action   [
                                        a               md:Attach ;
                                   ] ;
                     odrl:target   [
                                        a               md:Disclaimer ;
                                        md:wording      "CME Group Market Data is used under license as a source of information for certain [LICENSEE/LICENSEE GROUP] products. CME Group has no other connection to [LICENSEE/LICENSEE GROUP] products and services and does not sponsor, endorse, recommend or promote any [LICENSEE/LICENSEE GROUP] products or services. CME Group has no obligation or liability in connection with the [LICENSEE/LICENSEE GROUP] products and services. CME Group does not guarantee the accuracy and/or the completeness of any Market Data licensed to [LICENSEE/LICENSEE GROUP] and shall not have any liability for any errors, omissions, or interruptions therein. there are no third-party beneficiaries of any agreements or arrangements between CME Group and [LICENSEE/LICENSEE GROUP]."
                                   ] .
            

Agree

Delivery Segmentations

Content Segmentations

                        :A1   a                md:Asset;
                              md:assetClasses  cfi:FCEPSX .  # Commodity Futures for Extraction Resources with Physical Delivery
                    

TemporalSegmentations

                        []   md:temporal  [
                                                       a                    time:ProperInterval ;
                                                       time:hasXSDDuration  "P3Y"^^xsd:duration
                                                   ] .     
                    

content types

The Asset :A3 describes the Values and Constituents (content type) of an Index of Equities (asset class):

                :A3   a               md:Asset;
                      md:assetClasses [
                                           a                       cfi:TIEXX ;   # Index of equities
                                           md:contentType          ( [ a md:Value ] [ a md:Constituents ] ) ;
                                      ]    .
            

controls

In the example below the Permission is only valid if the controls Constraint is satisfied by use of a closed user group to manage access to the Asset.

                []   a            odrl:Permission ;
                     md:controls  [ a md::ClosedUserGroup ] .
            

recipients

users

data host

distribution services

commingle

purposes

Users who want to use this (traditionally fee-waivered) display Permission can do so only for the purposes of technical support, quality assurance, or product development. They must belong to a closed user group and be directly employed by the Assignee or its affiliated or enumerated organisations.

                []   a             odrl:Permission ;
                     md:controls    [ a md::ClosedUserGroup ] ;
                     md:recipients  [ a md::InternalParty ] ;
                     md:purposes    ( [ a md:TechnicalSupport ] [ a md:QualityAssurance ] [ a md:ProductDevelopment ] ) ;
                     odrl:action    [ a md::Display ] .
            

derivation types

display types

locations

lines of business

Asset Class

The financial instruments that an Asset describe may belong to an Asset Class (e.g. equities or bonds).

Update Method

                    []   a                   md:Asset ;
                         md:methodOfUpdate   [
                                                 a                  md:Snapshot ;
                                                 odrl:count         3
                                                 odrl:timeInterval  [
                                                                        a                    time:ProperInterval ;
                                                                        time:hasXSDDuration  "P1D"^^xsd:duration
                                                                     ] ;
                                              ] .     
                

Update Frequency

Market Depth

                []    a                md:Asset;
                      md:depthOfMarket [
                                           a                        md:MarketPrice ;
                                           md:positionFrom          1 ;
                                           md:positionTo            10 ;
                                       ]    .
            

Display Type

Quantity

Lines of Business

Origination Time

Publication Time

Issue Time

Market Close

Receipt of Invoice

Termination

Realtime

We can specify the precise meaning of Realtime defined in a license. Here Realtime is data delivered within 10 minutes of Issue Time:

                []   a                       md:Asset;
                     md:timelinessOfDelivery [
                                                a                   time:ProperInterval , md:Realtime ;
                                                time:intervalBefore [
                                                                         a                   time:ProperInterval ;
                                                                         md:timeReference    [ a time:TimeInstant , md:TimeOfIssue ] ;                                                           md:timeReference     [   a   time:Instant , md:TimeOfIssue ] ;
                                                                         time:hasXSDDuration "PT10M"^^xsd:duration
                                                                    ] ;
                                             ] .    
            

Delayed

In this example, Delayed data is specified as running from ten minutes through to eight hours following Issue Time.

                []   a                       md:Asset;
                     md:timelinessOfDelivery [
                                                a                   time:ProperInterval , md:Delayed ;
                                                time:intervalAfter [
                                                                         a                   time:ProperInterval ;
                                                                         md:timeReference    [ a time:TimeInstant , md:TimeOfIssue ] ;                                                           md:timeReference     [   a   time:Instant , md:TimeOfIssue ] ;
                                                                         time:hasXSDDuration "PT10M"^^xsd:duration
                                                                    ] ;
                                                time:intervalBefore [
                                                                         a                   time:ProperInterval ;
                                                                         md:timeReference    [ a time:TimeInstant , md:TimeOfIssue ] ;                                                           md:timeReference     [   a   time:Instant , md:TimeOfIssue ] ;
                                                                         time:hasXSDDuration "PT8h"^^xsd:duration
                                                                    ] ;
                                             ] .    
            

Historical

In this example, Historic data is specified as being between eight hours of Issue Time and three years.

                []   a                       md:Asset;
                     md:temporal [
                                                a                   time:ProperInterval , md:Historical ;
                                                time:intervalAfter [
                                                                         a                   time:ProperInterval ;
                                                                         md:timeReference    [ a time:TimeInstant , md:TimeOfIssue ] ;                                                           md:timeReference     [   a   time:Instant , md:TimeOfIssue ] ;
                                                                         time:hasXSDDuration "PT8H"^^xsd:duration
                                                                    ] ;
                                                time:intervalBefore [
                                                                         a                   time:ProperInterval ;
                                                                         md:timeReference    [ a time:TimeInstant , md:TimeOfIssue ] ;                                                           md:timeReference     [   a   time:Instant , md:TimeOfIssue ] ;
                                                                         time:hasXSDDuration "PT3Y"^^xsd:duration
                                                                    ] ;
                                             ] .    
            

Embargoed

In this example, end-of-day data is defined as data embargoed until market close at 4pm CST.

                []   a                       md:Asset;
                     md:timelinessOfDelivery [
                                                a          time:ProperInterval , md:Embargoed ;
                                                time:after [
                                                               a                  time:Instant , md:MarketClose ;
                                                               time:inDateTime    [
                                                                                       a          time:DateTimeDescription ;
                                                                                       time:hour      "16"^^xsd:int ;                                                              
                                                                                       time:timeZone  <https://www.wikidata.org/wiki/Q2086913>  # CET
                                                                                  ] ;
                                                             ] ;
                                             ] .    
            

Service Period