FactSet's Business Model Is Robust Amid Increasing Market Volatility

Over the years, FactSet has built up an attractive subscription-based business providing data and analytics to the financial-services industry. FactSet is best known for its research solutions, which include its core desktop offering geared toward buy-side asset managers and sell-side investment bankers. Research makes up about 41% of the firm’s annual subscription value, or ASV, but is FactSet’s slowest growing segment due to its maturity and pressures on asset managers. Beyond research, FactSet offers analytics and trading solutions (35% of firm ASV), which include portfolio analytics, risk management, performance reporting, trade execution, and order management.