Alternative Data News. 19, June 2019

Finding sources and uses for alternative data can be difficult. At CloudQuant we regularly read and search the internet for new sources of data that can be used in our mission to find alpha signals and build quantitative trading strategies. We recognize that we are technology and data junkies so we wrote our own crawler that specifically seeks out web pages, posts, and news articles that give us a snapshot of what is going on in the world of Alt Data. The following is a collection of articles that we think you will find interesting from the past week.

Refinitiv makes strategic investment in BattleFin

Refinitiv has made a strategic investment in alternative data platform and marketplace BattleFin forming a partnership which will provide customers with access to alternative datasets across its data platforms, including quantitative data management platform QA Direct in the Cloud. Quants and fundamental analysts will be able to access and test different alternative datasets alongside Refinitiv’s data offerings, such as I/B/E/S Estimates, WorldScope Fundamentals, and StarMine Quantitative Models. A sub-set of Refinitiv’s proprietary content will also be made available for te… 2019-06-19 00:00:00 Read the full story. Weighted Interest Score: 8.9708, Raw Interest Score: 2.9112, Positive Sentiment: 0.2701, Negative Sentiment 0.0300 CloudQuant Thoughts: The growth of AltData is showing up in investments in not only datasets and technology, but in strategic partnerships too.

Acquisition of the Year: Nasdaq’s Acquisition of Quandl

Nasdaq’s acquisition of Quandl—which won Best Alternative Data Provider in this year’s awards—has topped the reader vote for Acquisition of the Year. The exchange group’s announcement in December 2018 that it had acquired the Toronto-based company underscores its strategy to expand beyond its traditional services such as listings into the fast-growing areas of market data and technology. Its other recent acquisitions include buy-side behavioral analytics sp… 2019-06-04 16:45:57+01:00 Read the full story. Weighted Interest Score: 7.7391, Raw Interest Score: 2.4892, Positive Sentiment: 0.1659, Negative Sentiment 0.0000 CloudQuant Thoughts: This was an amazing catch by Nasdaq. We see Quandl’s data and services only getting better with this acquisition by Nasdaq.

Alt Data Investments Continue Their Rapid Rise

More firms are seeing increasing value in alternative data as firms continue to grow their budgets for the non-traditional financial data significantly, according to a recent study published by industry analysis firm Greenwich Associates. In 2018, alternative data budgets witnessed a 52% year-on-year growth, which was less than the 76% year-on-year growth that budgets saw the previous year, said Richard Johnson, principal, market structure and technolog… 2019-06-10 18:00:06+00:00 Read the full story. Weighted Interest Score: 6.7246, Raw Interest Score: 1.8484, Positive Sentiment: 0.1253, Negative Sentiment 0.0627 CloudQuant Thoughts: If you aren’t using AltData in your trading strategies, this article will likely convince you to take a good look at AltData.

Hedge-fund managers are overwhelmed by data, and they’re turning to an unlikely source: random people on the internet

Hedge funds are sifting through so much data that they might just turn to random people online to help with it. Alternative data streams of satellite images and cellphone-location data are where managers are now digging for alpha, as new datasets are created every day. And hedge funds have been spending serious cash searching for those who can take all this information and quickly find the important pieces. Now, as margins shrink and returns are under the microscope, hedge funds are beginning to consider a cheaper, potentially more efficient way to crunch all this data: open-s… 2019-06-12 00:00:00 Read the full story. Weighted Interest Score: 6.3547, Raw Interest Score: 2.2836, Positive Sentiment: 0.2257, Negative Sentiment 0.2257 CloudQuant Thoughts: Yep. We have been using crowd researchers for a few years. It works.

Social Market Analytics (SMA) Partners with Coin Metrics to provide Real-Time Sentiment Data Feeds

Coin Metrics and Social Market Analytics (SMA) announced today a partnership to incorporate SMA’s Crypto Currency Data Feed into the Coin Metrics Market Data Platform. Alternative data such as social media platforms and data feeds have become a vital source of information for traders, particularly in the Crypto Currency Markets. The SMA Crypto Currency Sentiment Feed will offer the Crypto Currency community a tool for including social media sent… 2019-06-17 00:00:00 Read the full story. Weighted Interest Score: 5.8120, Raw Interest Score: 3.1282, Positive Sentiment: 0.2355, Negative Sentiment 0.0673 CloudQuant Thoughts: Congrats to SMA. We love your social sentiment on Twitter and StockTwits!

Unsupervised Artificial Intelligence is not ready for direct customer engagement, says Pegasystems AI expert

Artificial intelligence is not safe to be let loose on customers, according to the AI lead at a global software company which uses the technology in its own platform. Pegasystems Dr Rob Walker said AI has not yet matured to a point where it can make moralistic and empathetic decisions and still risks further marginalising people. However, AI is useful for augmenting decisions of humans and automating processes at scale, he said, arguing Pegasyst… 2019-06-05 13:25:32+10:00 Read the full story. Weighted Interest Score: 5.1145, Raw Interest Score: 1.5472, Positive Sentiment: 0.1785, Negative Sentiment 0.1785

The opaque bond market could be the next frontier for the booming alternative-data business that’s on track to grow to $7 billion

Nontraditional data sets that have found a growing audience in the equities market might soon see adoption from US corporate-bond investors eager to get additional insights in a space long shrouded in secrecy. Despite being a $9.2 trillion market in 2018, US corporate bonds have always lacked a significant degree of transparency thanks to the majority of trading taking place over the phone. But in recent years the space has seen rapid evolution… 2019-06-12 00:00:00 Read the full story. Weighted Interest Score: 4.9457, Raw Interest Score: 2.3339, Positive Sentiment: 0.1496, Negative Sentiment 0.1346

Quick Start to Gaussian Process Regression

Gaussian process regression (GPR) is a nonparametric, Bayesian approach to regression that is making waves in the area of machine learning. GPR has several benefits, working well on small datasets and having the ability to provide uncertainty measurements on the predictions. Background Unlike many popular supervised machine learning algorithms that learn exact values for every parameter in a function, the Bayesian approach infers a probability distribution over all possible values. Let’s assume a linear function: y=wx+ϵ. How the Bayesian approach works is by specifying a prior distribut… 2019-06-19 11:55:17.718000+00:00 Read the full story. Weighted Interest Score: 4.9260, Raw Interest Score: 2.0476, Positive Sentiment: 0.1189, Negative Sentiment 0.0528

Nasdaq Pivots to the Buy Side

Despite the industry focus on market data fees and access fee pilots, global exchange operator and technology provider Nasdaq plans to take a three-prong approach to expand its relationship with the buy side, according to Adena Friedman, president and CEO of Nasdaq. “Having worked on the buy side, I recognize how underserved the buy side is regarding technology, tools, and data that help them make informed and well-controlled investment decision… 2019-06-06 20:54:43+00:00 Read the full story. Weighted Interest Score: 4.9048, Raw Interest Score: 2.0421, Positive Sentiment: 0.0972, Negative Sentiment 0.0648

Buy-side Q&A: Dan Veiner, BlackRock

ment, maximising the information value that trading contributes to the investment process and utilising technology and data to continually evolve. Our traders are partnering with trading research and data science teams on various projects to evolve the platform in many of these areas. Increasingly, our fixed income traders are partnering with portfolio management and research teams early on in the investment process, and we’re experimenting with trading technology and trading protocols. I think it’s important to constantly question the status quo, and envision how we would design a function or technology … 2019-06-18 09:30:54+01:00 Read the full story. Weighted Interest Score: 4.3499, Raw Interest Score: 1.8665, Positive Sentiment: 0.2489, Negative Sentiment 0.1711

Clearpool Appoints Dave Cushing Advisor

Clearpool Expands Analytics Intellectual Capital, Appointing Dave Cushing as Advisor Trading and market strategies expert brings buy side insights to Clearpool NEW YORK, June 10, 2019 ─ Clearpool Group (Clearpool), a provider of holistic electronic trading solutions and an independent agency broker-dealer, today announced the appointment of David Cushing as Advisor to the firm to focus on expanding its trade analytics solutions. Specifically, M… 2019-06-10 13:14:26+00:00 Read the full story. Weighted Interest Score: 4.3293, Raw Interest Score: 1.6498, Positive Sentiment: 0.4524, Negative Sentiment 0.0266

The Best Database Platform for Time Series Data

Time series databases are optimized for collecting, storing, retrieving, and processing time series data. It’s critical that businesses use a time series database for time series data and not one of the traditional data stores. DBTA recently held a webinar with Daniella Pontes, product manager, InfluxData, who discussed how Time Series Databases are built with specific workloads and requirements in mind, including the ability to ingest millions … 2019-06-17 00:00:00 Read the full story. Weighted Interest Score: 4.1274, Raw Interest Score: 3.0106, Positive Sentiment: 0.1181, Negative Sentiment 0.2952

CFTC’s lack of data security to hit capital markets

The US Commodity Futures Trading Commission (CFTC)’s inadequate cybersecurity provisions could impact capital markets, according to the CEO of an alternative data source for investors and hedge funds, while lawyers say it will bring into question the budgetary allowance for enhancing protection of proprietary data given to the US regulator. “The general consensus is that the security of their internal databases are suspect,” says Jordan Hauer, co-founder and CEO of Amass insights. “The report also mentions they receive data from large investors through FT… 2019-06-18 00:00:00 Read the full story. Weighted Interest Score: 3.8057, Raw Interest Score: 1.5527, Positive Sentiment: 0.2755, Negative Sentiment 0.6011

Microsoft’s New AI Lab To Provide Training In AI To 1.5 Lakh Students

Microsoft will soon launch its new AI labs through which the tech giant aims to train as many as 1.5 lakh students across higher educational institutes in the country, the company said announcing its decision on Thursday. As part of the programme, the tech giant will closely work with 10 educational institutes and will provide the needed infrastructure and guidance to the selected students. BITS Pilani, BML Munjal University, ISB, Kalpataru Ins… 2019-06-14 07:34:13+00:00 Read the full story. Weighted Interest Score: 3.7685, Raw Interest Score: 1.5274, Positive Sentiment: 0.0449, Negative Sentiment 0.0449

Buy-side Q&A: Jim Switzer, AllianceBernstein

Where do your priorities lie in terms of optimising AllianceBernstein’s fixed income trading operations? Jim Switzer: Data aggregation is probably our number one priority right now. We’ve been amassing historical and point-in-time data through our ALFA market liquidity surveillance tool over the last five years. This has given us a fairly robust picture of the market, which is now informing our approach to direct connectivity, both to ATSs and t… 2019-06-19 09:00:17+01:00 Read the full story. Weighted Interest Score: 3.5893, Raw Interest Score: 1.4787, Positive Sentiment: 0.2617, Negative Sentiment 0.1439

Developing a Functional Data Governance Framework

Data Governance practices need to mature. Data Governance Trends in 2019 reports that dissatisfaction with the quality of business data continues in 2019, despite a growing understanding of Data Governance’s value. Harvard Business Review reports 92 percent of executives say their Big Data and AI investments are accelerating, and 88 percent talk about a greater urgency to invest in Big Data and AI. In order for AI and machine learning to be succ… 2019-06-11 07:35:00+00:00 Read the full story. Weighted Interest Score: 3.4683, Raw Interest Score: 2.1266, Positive Sentiment: 0.2733, Negative Sentiment 0.2495

5 ways artificial intelligence will affect SEO

Artificial intelligence is not just about science-fiction and robots anymore. In today’s digital landscape, artificial intelligence technology is pervading and reshaping various industries in the form of self-driving cars, chatbots, & smart devices and digital marketing is no exception. The search engine optimization medium has faced innumerable fundamental strategic changes over the years, due to revolutionary new intelligent algorithms and ever… 2019-06-17 09:30:22+00:00 Read the full story. Weighted Interest Score: 3.4362, Raw Interest Score: 1.5590, Positive Sentiment: 0.3508, Negative Sentiment 0.1039

Big Data Sets New Standards In Stream Processing For Emerging Markets

With today’s technology, there’s an increasing demand for stream processing. Data, for instance, has to be processed fast so that the companies can keep up to the changing business and market conditions in real time. This is where real-time stream processing enters the picture, and it may probably change everything you know about big data. Read this article as we’ll tackle what big data and stream processing are. We’ll also deal with how big dat… 2019-06-07 23:47:18+00:00 Read the full story. Weighted Interest Score: 3.3882, Raw Interest Score: 1.9533, Positive Sentiment: 0.2681, Negative Sentiment 0.0574

Key Ingredients for Implementing Successful Holistic Trade Surveillance

In an earlier article, I had explained why there is a need for financial institutions (FIs) to implement holistic trade surveillance. However, implementing it is easier said than done. FIs need to think strategically and take note of certain key ingredients in order to make their holistic trade surveillance implementation a success. What is holistic trade surveillance? Holistic trade surveillance enables an integrated method to trade surveillan… 2019-06-19 06:56:52 Read the full story. Weighted Interest Score: 3.2700, Raw Interest Score: 1.8104, Positive Sentiment: 0.3248, Negative Sentiment 0.2349

Keras vs Pytorch for Deep Learning

Deep Learning practitioners wrestle back and forth all day about which framework one should use. Generally, it’s up to personal preference. But there are a few aspects of Keras and Pytorch that you should keep in mind when making your pick. In terms of high vs low level coding style, Pytorch lies somewhere in between Keras and TensorFlow. You have more flexibility and control than Keras, but at the same time you’re not having to do any crazy dec… 2019-06-19 11:54:56.476000+00:00 Read the full story. Weighted Interest Score: 3.2579, Raw Interest Score: 1.6548, Positive Sentiment: 0.1681, Negative Sentiment 0.1810

Data Race Accelerates

Matthew Hodgson, chief executive and founder of Mosaic Smart Data said the pace of change is so aggressive that the fintech, which provides real-time data analytics for capital markets, needs to form partnerships and has hired a scientific advisor. Last week Mosaic said in a statement that it had hired Rama Cont, Oxford University professor of mathematical finance, as scientific advisor. Cont was appointed professor at St Hugh’s College Oxford l… 2019-06-17 14:53:43+00:00 Read the full story. Weighted Interest Score: 3.2336, Raw Interest Score: 1.6376, Positive Sentiment: 0.3448, Negative Sentiment 0.0862

IBM Injects Db2 with AI to Enable Data Science and Database Management Under One Platform

IBM is making a major upgrade to the Db2 database that is designed to enable enterprises to infuse AI and data science into their database management processes to more easily build AI into applications. Db2 version 11.5 has added drivers for leading AI languages to help ease AI app dev with Db2; new natural language querying and visualization capabilities designed to help speed data search; an updated common SQL engine to make Db2 more accessible to more data sources. Through a series of newly-available drivers… 2019-06-04 00:00:00 Read the full story. Weighted Interest Score: 3.1908, Raw Interest Score: 1.7206, Positive Sentiment: 0.4302, Negative Sentiment 0.0906

Alteryx Invites Customers to ‘Unleash Their Inner AI’ with Assisted Modeling Beta

According to a recent press release, “Alteryx, Inc., revolutionizing business through data science and analytics, today introduced Assisted Modeling, an interactive guide built into the Alteryx Platform to walk users through the creation of machine learning models. Ashley Kramer, senior vice president of product management, demonstrated the functionality of Assisted Modeling and announced the beta program… Data-driven companies recognize the need for machine learning to succeed in business tra… 2019-06-18 07:10:42+00:00 Read the full story. Weighted Interest Score: 3.1547, Raw Interest Score: 2.1662, Positive Sentiment: 0.2015, Negative Sentiment 0.1511

Using Data Governance to Drive Self-Service Analytics

The explosive growth of data shows no signs of stopping. In fact, the accumulated volume of data will reach 163 zettabytes by 2025. Recognizing the importance of data as valuable assets, companies are increasingly investing in advanced data analytics to derive insights and spot business opportunities. To bring these capabilities to even more end users, organizations employ self-service analytics and business intelligence. Self-service BI tools e… 2019-06-13 00:00:00 Read the full story. Weighted Interest Score: 3.0303, Raw Interest Score: 1.6981, Positive Sentiment: 0.2781, Negative Sentiment 0.4245

Little Coordination, Even Less Hunting: External Data Remains Safe In The Wild

A few days ago, I delivered a Forrester webinar on external data: why you need it, how best to find it, and how to effectively buy it. Take a look at the replay: WEBINAR: Think You’re Doing Data Sourcing Right? Think Again The premise of the research (and the webinar) is as follows: Decision makers know they need to be insights-driven to create differentiation and competitive advantage. They know their own internal data isn’t enough. In today’s… 2019-06-13 06:53:37-04:00 Read the full story. Weighted Interest Score: 2.8864, Raw Interest Score: 1.3642, Positive Sentiment: 0.2274, Negative Sentiment 0.0379

Broadridge launches SFTR change management service

Broadridge Financial Solutions has launched a change management service to help companies design their target operating models to be compliant with the upcoming Securities Financing Transactions Regulation (SFTR). The new service provides a practical blueprint for front-to-back changes to overall architecture, organisational structure, business processes and location strategy. In addition, Broadridge is offering project management, business anal… 2019-06-18 00:00:00 Read the full story. Weighted Interest Score: 2.8773, Raw Interest Score: 1.7616, Positive Sentiment: 0.1174, Negative Sentiment 0.2936

Simple Introduction to Neural Networks

t is only through exposure to the world, i.e. a posteriori knowledge, that their ignorance is slowly revised. Algorithms experience the world through data — by training a neural network on a relevant dataset, we seek to decrease its ignorance. The way we measure progress is by monitoring the error produced by the network. Before delving into the world of neural networks, it is important to get an understanding of the motivation behind these networks and why they work. To do this, we have to talk a bit about logistic regression. Methods that are centered around modeling and prediction of a quantitativ… 2019-06-17 19:08:44.411000+00:00 Read the full story. Weighted Interest Score: 2.8333, Raw Interest Score: 1.5899, Positive Sentiment: 0.0408, Negative Sentiment 0.4892

An alternative way of seeing data monetization

From early-stage payments fintechs to giant acquirers, every company is asking themselves the same question: “How can we turn our data into dollars?” After all, most companies these days are to some extent data companies, whether they are aware of it or not. Many businesses try to leverage certain types of data they capture, but there’s also a lot of valuable ‘data exhaust’ they could use without ever sharing any personal or sensitive informatio… 2019-06-18 00:00:00 Read the full story. Weighted Interest Score: 2.8318, Raw Interest Score: 1.4236, Positive Sentiment: 0.3667, Negative Sentiment 0.1726

Dun & Bradstreet Moves Up The Value Chain With Intent To Acquire Lattice Engines

Yesterday, Dun & Bradstreet (D&B) announced its intent to acquire Lattice Engines. Both of us have covered these companies from a number of different perspectives, and we agree that the move makes sense for two primary reasons. First, adding advanced analytics and data management capabilities from Lattice accelerates D&B’s evolution into a comprehensive data platform and increases its value to customers. In “The Forrester Wave™: B2B Marketing Dat… 2019-06-14 14:34:55-04:00 Read the full story. Weighted Interest Score: 2.8169, Raw Interest Score: 1.5594, Positive Sentiment: 0.1509, Negative Sentiment 0.1006

Sony Pays Its AI Rookies More Than Seniors, Should India Follow?

The new hires at Sony working on AI products will be paid up to 20% more than previous years. Taking a turn from traditional pay systems, Sony has started paying its new employees working in AI more than seniors at the company. This controversial move has been inspired by the need to stay ahead in the rush for AI talent. Having an advantage in the talent market can give any company an upper hand in building state-of-the-art products and services… 2019-06-18 11:28:07+00:00 Read the full story. Weighted Interest Score: 2.7937, Raw Interest Score: 1.1461, Positive Sentiment: 0.2149, Negative Sentiment 0.0716

A Data Driven Approach

Who doesn’t want to get rich quick? If you’ve ever even dabbled in stock trade in the hopes of making quick money, you’ll know it’s no walk in the park. The stock market seems to be a living breathing organism having a life of its own. Nobody knows what is going to happen and when. But we’ve all seen some maestro investor or the other rise from rags to riches by investing in stocks. And let’s face it, we all want some of that too. To make the mo… 2019-06-10 00:00:00 Read the full story. Weighted Interest Score: 2.7868, Raw Interest Score: 1.5533, Positive Sentiment: 0.2861, Negative Sentiment 0.2180

Data Science Job Market Is Booming, But We Also Need To Standardize The Education

As organisations take a thoughtful approach to developing unique analytics strategies and drive impactful outcomes, the requirement for analytics professionals is growing. While, so far the hype has always been centred around Data Scientists, billed as the “sexiest job of the 21st century”, there is also a booming demand for a cross-functional data science team that includes Data Analysts, Data Architects, DevOps engineers, Data Engineers and Dat… 2019-06-17 06:23:08+00:00 Read the full story. Weighted Interest Score: 2.7585, Raw Interest Score: 1.5408, Positive Sentiment: 0.2032, Negative Sentiment 0.1355

Google Cloud scoops up Looker for $2.6 billion

Thomas Kurian has only been Google Cloud CEO for a few months, and he’s just announced another acquisition at the Alphabet (NASDAQ:GOOG) (NASDAQ:GOOGL)subsidiary: Looker. Google is acquiring the analytics platform for a whopping $2.6 billion in an effort to beef up Google Cloud’s ability to handle business intelligence and data applications. The deal is expected to close later this year after securing regulatory approval. That $2.6 billion price… 2019-06-07 06:27:07+01:00 Read the full story. Weighted Interest Score: 2.7185, Raw Interest Score: 1.6077, Positive Sentiment: 0.1169, Negative Sentiment 0.0292    
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