Radar Logic Signs With Barclays Capital

Radar Logic Incorporated (www.radarlogic.com) announced today that it has signed a license agreement with Barclays Capital, its seventh licensing agreement with Wall Street firms. These agreements enable the initiation of trading in derivative instruments and financial products based on Radar Logic's Residential Property Index™, or RPX™. The RPX enables users to trade residential property prices in 25 MSAs nationwide in addition to a composite index based on those 25 cities.

"We are very pleased to have Barclays Capital join our existing dealer group as interest and activity in RPX as an asset class continues to grow globally," said Michael Feder, CEO of Radar Logic. "Barclays Capital is an outstanding institution and we welcome them to this exciting product."

Radar Logic uses innovative, proprietary modeling techniques to create Daily Prices derived from the actual prices paid for U.S. residential real estate. Investment and derivative opportunities based on these prices, in the RPX, are expected to surpass $2 billion in volume traded by the end of the year.

Radar Logic Sees RPX Property Derivatives Surge

Radar Logic announced today that volumes in RPX property derivatives had surged in response to the Treasury Department's announcement of its plans for the two GSEs. As a result, Radar Logic now predicts that volume in its first year of trading could exceed $2 billion, which the company believes makes RPX the fastest growing property derivative market segment.
Radar Logic President and CEO Michael Feder said, "Volume this morning surged in immediate response to the Government's policy announcement regarding Fannie Mae and Freddie Mac. Clearly investors have begun trading RPX as a way to effect strategies regarding the housing market in light of economic and policy actions. We believe RPX has begun to trade as an independent asset class with strong two-way flow and increasing liquidity."

The Company does not release specific trading information, but did indicate that the interest was from a broad range of end-users and seemed to be well balanced between optimists and pessimists. "This is a new market and it has taken some time for investors to become comfortable with liquidity and response," said Feder. "Clearly as of now we are seeing that comfort level translate into activity. Further, the forward curve that has developed as a result of the forward market has begun to tighten, suggesting some market expectation about improvement in housing."

Radar Logic

Radar Logic Incorporated, a real estate data and analytics company, calculates and publishes the Radar Logic Daily™ Prices. The prices track housing values for major U.S. metropolitan areas and are the basis of the Residential Property Index™ (RPX™), a market that enables real estate to be traded as a liquid asset, via property derivatives marketed by major financial institutions. RPX allows real estate and financial professionals to manage opportunity and risk, invest in real estate values without owning physical assets and effectively analyze markets using a consistent metric: price per square foot.

Trading Jargon

BCG
Boston Consulting Group
Boston Consulting Grou
Global management consulting firm and advisor on business strategy. We partner with clients in all sectors and regions to identify their highest-value opportunities, address their most critical challenges, and transform their businesses. Our customized approach combines deep insight into the dynamics of companies and markets with close collaboration at all levels of the client organization.
Radar Logic
A real estate data and analytics company, calculates and publishes the Radar Logic Daily™ Prices. The prices track housing values for major U.S. metropolitan areas and are the basis of the Residential Property Index™ (RPX™), a market that enables real estate to be traded as a liquid asset, via property derivatives marketed by major financial institutions.
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