SINGAPORE-BASED carbon exchange Climate Impact X (CIX) said on Monday (May 13) that it will launch a new market intelligence service in the coming months.
Called CIX Intelligence, the new service will offer access to a trade database comprising thousands of project- or contract-specific transactional data points across the voluntary carbon markets.
Carbon traders, commercial managers and analysts will also be able to access bid, offer and trade data reported by market participants and proprietary data from CIX’s trading venues.
The data will provide some insight into trading, price and liquidity patterns, leading to a better understanding of credit type- and project-specific price dynamics, CIX said in a press statement.
The service will include the database and CIX’s suite of price benchmarks, which are built on global best practices and underpinned by trading activity during CIX Exchange’s signature time-bound pricing sessions.
These daily or weekly liquidity windows concentrate trading activity for different segments of the VCM and generate high-quality data points, resulting in sharper, market-driven prices.
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CIX plans to expand its voluntary carbon markets trade database. It will also introduce new benchmarks depending on market needs and conditions.
CIX pricing director Julien Hall called pricing in the voluntary carbon market both opaque and uniquely complex, hindering market efficiency and fairness.
“By lifting the veil and providing the market with a database of actual disaggregated trade data, we hope to contribute to a reduction in market-wide information asymmetry and equip market participants with foundational new tools to power their analytics,” Hall said. He noted that price transparency is a cornerstone of a well-functioning market.
CIX chief operating officer Mark Glossoti added that removing key barriers to participation such as the lack of certainty and transparency, is crucial in building market confidence.
“Improved trust can in turn help to create the liquidity and depth needed to accelerate growth of the carbon markets, which are an essential part of the solution to climate change,” he noted.
