I want to inform you about an important upcoming change in our data services. As part of our ongoing efforts to provide you with the highest-quality data, we are transitioning from LSEG Data & Analytics as-reported financial data and earnings estimates for stocks to S&P Global Market Intelligence standardized financial data and earnings estimates. This change is intended to enhance the comparability, reliability and overall consistency of the financial data available to you.
The transition will be completed on Tuesday, October 1, after a year of programming and testing. During and after the transition, there could be data delays or disruptions. We will make every effort to minimize the impact, and we thank you in advance for your patience and understanding.
Key Impacts of the Transition:
- Standardization: S&P Global’s standardized financial data for stocks is adjusted for various accounting and reporting differences across companies, making it easier to compare companies within the same industry and across different regions.
- Enhanced Consistency: Unlike as-reported data, which can vary significantly depending on company-specific accounting practices, S&P Global’s standardized data is uniformly adjusted to reflect the same accounting rules. This provides you with more consistent historical trends and peer comparisons.
- Impact on Reporting: You may notice changes in specific financial metrics, as standardized data may differ from the as-reported figures.
Additionally, our sector and industry classifications will now follow the Global Industry Classification Standard (GICS), replacing The Reference data Business Classification (TRBC) system. This shift aims to enhance the consistency and depth of the data you access. GICS is a widely recognized system that will align our classifications with industry standards, providing better insights and comparability.
This change will impact the sector and industry median values we report, as the sectors and industries and their constituents will change. Our industry classifications took a broader view in the past, as we are moving from 154 industry classifications for TRBC to 74 for GICS. Under the old classifications, some industries only comprised a handful of companies. Industry median values will be more meaningful by taking a higher-level view of industry classifications. Click here to see how industry classifications are changing with the transition.
Lastly, you will notice a change in the stock universe tracked by our various model portfolios, stock screens and stock analysis tools. As before, our stock universe captures U.S.-listed companies with recent trading histories and financial filings, ensuring that our database tracks companies with current financial data that are actively traded. In addition, we have now instituted a minimum share price of $1.00 for stocks trading over the counter (OTC) to improve the quality of data, analysis and investment decisions.
We understand these changes may require workflow adjustments on your part, and we are here to support you through the transition. If you have any questions or need assistance, please do not hesitate to contact our support team at techsupport@aaii.com.
Also, while we are working hard to ensure a seamless transition to the new data source, there is the potential for data disruptions.
I appreciate your understanding and continued trust.
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