My recent posts about Industry Classification have been getting lots of follow-up questions, particularly about classifications in Bloomberg DataLicense.
Bloomberg [BBG] is delivering a number of homegrown and third-party classifications via the DataLicense [DL] platform.
GoldenSource clients most commonly use one or more of the following classification schemes via BBG DL:
BCLASS (Bloomberg Barclays Classification System), which is geared towards Fixed Income Instruments. BCLASS has a four-level hierarchy that is delivered in its full depth via the specialized BCLASS and BCLASS V2 bulk modules. Levels 1 and 2 also come with several FI bulk data sets (Corp/Gov/Pfd/Conv, Munis, Mortgages) under CLASSIFICATION_SCHEME = ‘BCLASS’
For the BICS (Bloomberg Industry Classification Standard), there is a dedicated BBG Bulk (f/k/a “Backoffice”) module. In fact, there are different ones depending on whether one is looking for the BICS at the security or at the entity level. Those specialized BICS modules provide all seven levels, while broader T&C datasets for many asset classes contain only the top levels.
The GICS (Global Industry Classification Standard) features a four-level (eight-digit) taxonomy, developed by S&P and MSCI for index categorization. Its top two levels (Sector, Industry Group) are part of many BBG DL datasets for credit risk, sanctions, and across all asset classes. There are also dedicated modules containing the granular levels (Industry, Sub-Industry), too: Equity GICS, Preferred GICS, MSCI Indices, …
Finally, NACE (Nomenclature statistique des activités économiques dans la Communauté européenne), Eurostat’s four-level classification hierarchy, is also covered via the BCLASS/BCLASS v2 modules. It is mandatory for many EU reporting mandates, hence comes as the key criterion in the datasets of various EU regulations.
Beyond the above, specifying other CLASSIFICATION_SCHEMEs can provide further classifications according to more specialized or regional standards.
In addition, the ones we see that are deployed fairly frequently for certain purposes include the NAICS (North American Industry Classification System) and FTSE’s ICB Taxonomy (Industrial Classification Benchmark).