Innovative Partnership Between OptionMetrics and CRSP
In a groundbreaking collaboration, OptionMetrics, a leading provider of options databases and analytics, has joined forces with the Center for Research in Security Prices (CRSP). This partnership is designed to enhance the integration of U.S. equities and options data, providing academic researchers with unprecedented access to valuable financial information.
Enhancing Data Accessibility for Academic Research
This new licensing agreement allows for seamless cross-referencing of OptionMetrics’ IvyDB US security IDs with CRSP's US Stock Database, specifically the PERMNO numbers. The unique advantage offered by this agreement is the ability to link extensive databases, thus enabling efficient extraction and usage of data by academic researchers.
The Significance of PERMNO
The PERMNO system utilized by CRSP serves as a tricky yet essential component in maintaining consistency for equities data. These proprietary identifiers provide a constant reference despite any changes in company structure or possible global corporate actions. This stability supports historical data retrieval and the scrutiny of equity performance over time, which is invaluable for any research endeavor.
Advantages of the Partnership
Academic researchers stand to benefit significantly from this strategic alliance. By combining CRSP’s robust equity pricing data with the high-caliber options and volatility data supplied by OptionMetrics, users are better equipped to conduct empirical analysis. OptionMetrics CEO, David Hait, Ph.D., expressed enthusiasm about the collaboration, noting that it would genuinely empower academicians in their financial analyses.
Data Quality and Accessibility
Quality of data is paramount in research. The partnership is a natural fit as both organizations prioritize providing high-quality data, catering not only to academic institutions but also to commercial and government researchers. David Barclay, CEO of CRSP, stated that this collaboration represents a major step forward in making securities and options data accessible, thereby facilitating robust research opportunities.
What Each Partner Brings to the Table
With nearly a century of historical data, CRSP is a trusted repository, providing comprehensive market and corporate action data across over 32,000 active and inactive securities. This wealth of information is pivotal for statistical analysis and economic research. Conversely, OptionMetrics specializes in delivering databases that include options, futures, beta, and dividends, utilized by over 350 institutions globally.
Expanding Research Possibilities
The combination of strengths from both entities offers a new horizon for researchers. Notably, the rich dataset available from both organizations allows users to conduct comprehensive market studies that were previously challenging due to data fragmentation. As a result, researchers can develop more in-depth insights into market behaviors and trends.
Getting Started with the Integrated Data
Access to this integrated data will be available to users through the Wharton Research Data Services (WRDS). However, to fully utilize this resource, it is essential for users to possess a valid license with CRSP. This requirement ensures that researchers maintain compliance and obtain accurate data for their analyses.
Contact Information
For additional details or inquiries regarding OptionMetrics, please reach out via email. You may contact info@optionmetrics.com for general inquiries about their offerings, or for specific information related to CRSP subscriptions, reach out to subscriptions@crsp.org.
Frequently Asked Questions
What is the essence of the partnership between OptionMetrics and CRSP?
The partnership integrates U.S. equities and options data, facilitating easier access for academic research.
How does the PERMNO system benefit researchers?
PERMNO identifiers provide constant references for data, ensuring historical data reliability.
What type of data does OptionMetrics offer?
OptionMetrics specializes in options, futures, and volatility data, widely used in financial research.
What data can researchers access through this partnership?
Researchers can access seamless data connections between CRSP's equity data and OptionMetrics' options data.
How can researchers get started with the new integrated data?
Users must have a valid CRSP license to access the integrated data available through WRDS.
