Alternative Data Newsletter #97 – December 13th, 2018

Important Developments

Events

  • 2019 Calendar: Singapore in March,

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Alternative Data Newsletter #97 – December 6th, 2018

Important Developments

  • NYC Event: our event last week was a great success. To obtain a detailed synopsis of the key takeaways please email enquiries@eaglealpha.com.
  • Mapping: we have partnered with a firm that solves the mapping / tickerization problem. Clients of Eagle Alpha receive a discount. To learn more contact enquiries@eaglealpha.com.
  • Nasdaq acquired Quandl: alternative data is becoming mainstream as evidenced by the acquisition of Quandl by Nasdaq. Bjorn Sibbern, head of Nasdaq’s global information unit, said: “Quandl will allow Nasdaq to partner more closely with the investing community as the industry continuously seeks ways to evaluate an endless supply of information to drive new insights, investment ideas and deliver alpha.”

Events

  • Alpha & Access: Our flagship Alternative Data: Access & Alpha event took place in New York last Thursday at full capacity. We had 1,000+ 1-on-1 meetings between the buyside and 25 hand-picked alt data vendors,

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Alternative Data Newsletter #96 – November 29th, 2018

Announcements at our conference in NYC today

Events

What Datasets Are Getting Traction?

  • Quant: this vendor provides Artificial-Intelligence-as-a-Service for investment analysis and trading. The company creates custom portfolios for clients by combining fundamental analysis, quantitative metrics, sellside reports, macro news, and money flows. Our Data Sourcing clients can view the full profile here.
  • Discretionary: this vendor delivers credit/debit card data covering a panel of 15 million people across 50 US states. The company offers raw feeds and dashboards. Our Data Sourcing clients can view the full profile here.
  • New: this company extracts event level semantics from public news.

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Alternative Data Newsletter #95 – November 22nd, 2018

Important Developments In Altdata For The Buyside

  • EY Survey: The company surveyed 205 asset managers (hedge fund and private equity representatives), interesting findings include: 1) 70% of all asset managers use or expect to use nontraditional data sources in their investment process; 2) 59% of surveyed managers use alternative data as an input to their fundamental approach; 3) 88% of hedge funds with AUMs over $10bn said they invest in data engineering and sourcing.
  • Use Cases Report: we published a 124-page report regarding the use cases of alternative data. It’s the sixth of a series of reports published by Eagle Alpha where we detail the best applications and case studies of alternative data, based on our six years of experience. Download it here.

Events You Should Attend

  • NYC Conference: our “access and alpha” conference is next Thursday. JPMorgan is the lead sponsor and the keynote speaker is Vasant Dhar.

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Alternative Data Newsletter #94 – November 15th, 2018

Important Developments In Altdata For The Buyside

  • Survey Results: UBS sponsored Element22’s survey, interesting findings include: 1) the firms who are most aggressively pursuing advanced analytics and alternative data strategies are investing 2-3% of annual revenue; 2) advanced analytics has seen high adoption, with 85% of firms using this capability at some level while 55% are using alternative data; 3) 50% of those surveyed are using alternative data for the purposes of alpha generation, while 30% are using such data for client acquisition and retention purposes.
  • Apple Weakness: after disappointing earnings call on November 1st Apple share price continues to be under pressure. There has been negative news flow from Apple’s supply chain and also from the sell side cutting iPhone unit estimates and revenue growth assumptions. Eagle Alpha published a note in late September and again in early October highlighting poor consumer acceptance of Apple’s new iPhones. These examples,

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Alternative Data Newsletter #93 – November 8th, 2018

Important Developments In Altdata For The Buyside

  • (Crowd) Funding: we are seeing more buyside firms invest in vendors. Some vendors are also interested in crowdfunding from buyside firms. If either is of potential interest to your fund, please contact our CEO – emmett.kilduff@eaglealpha.com.
  • ESG: we are seeing accelerating interest in ESG datasets from fundamental managers who don’t have a direct ESG mandate. These datasets can be used at the screening stage in order to highlight high risk companies. They also enable analysts to dive deeper into potential issues around a single company. Some discretionary long/short are using these to find short ideas. This can include everything from employee turnover, audit, governance, social media and NLP to assess audit/earnings statements.
  • Asia: interest in alternative data is increasing in this region but how much do people know about the local nuances and compliance aspects? This is something we have focused on within our Data Forum and Data Sourcing solutions.

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Alternative Data Newsletter #92 – November 1st, 2018

Important Developments In Altdata For The Buyside

  • Alt Data For Discretionary Funds: the last twelve months has seen a massive increase in interest in alternative data from discretionary funds. We will be hosting a lunchtime event targeted specifically at discretionary funds in New York on 29th November. Please contact us to learn more.
  • Data Quality Testing: feedback from the buyside tells us that testing data for quality is even more important than alpha testing. Eagle Alpha’s multidisciplinary team have worked together with funds and data vendor to build our own “Data Diagnostics” framework to address this demand. Please contact us to learn more.

Events You Should Attend

  • NYC Conference: our next “access and alpha” conference will be held in NYC on November 29th. JPMorgan is the platinum sponsor and the keynote speaker is Vasant Dhar. The event is complimentary for buyside firms.

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Alternative Data Newsletter #91 – October 25th, 2018

Important Developments In Altdata For The Buyside

  • Broker Votes: 80% of buyside firms expect other firms to follow Blackrock’s lead and introduce a new row for “data” in their broker votes. Source: Eagle Alpha survey at our recent London conference.
  • 2019 Budgets: 25% of buyside firms are planning to spend >$2m on alternative datasets in 2019. Source: Eagle Alpha survey at our recent London conference.
  • 2019 Categories: the top 3 categories in demand for 2019 are: 1) employment; 2) ESG; and 3) pricing. Source: Eagle Alpha survey at our recent London conference.
  • Alpha Left?: we asked buyside firms if they thought there is any alpha left in alternative data. 100% said yes. If there is alpha left in traditional data then of course there is alpha left in non-traditional / alternative data! Especially given there will be >5,000 alternative datasets by the end of 2020.
  • Mapping: the mapping problem continues to surface amongst our buyside and vendor clients.

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Alternative Data Newsletter #90 – October 18th, 2018

Important Developments In Altdata For The Buyside

  • Spending on Alternative Data to Increase: Aite group expects capital markets spending on alternative data technology to increase to US$ 901 million by 2021.
  • Credit and Alternative Data: our event in London featured multi-strategy and credit focused attendees. Their interest in alt data is increasing due to the ability of alt data to be used in asset and company due diligence. Dean Barr, head of Bespoke Projects, discussed private equity and credit use cases at our event on Friday 12th October. Contact us to obtain a copy of this deck.
  • Alternative Data in Europe: adoption of alternative data continues to increase. London is now playing catch up with New York with a number of UK institutions and London based hedge funds making key hires to help accelerate firm’s ability to work with data. This is reflected in interest in our events,

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Alternative Data Newsletter #89 – October 11th, 2018

Important Developments In Altdata For The Buyside

  • Eagle Edge: Eagle Alpha will announce the first third party dataset to be hosted on Eagle Edge at our “Access & Alpha” event in London on October 12th.
  • Demand For Luxury Goods Slowing: shares in companies across the luxury goods sector fell sharply yesterday on a warning from LVMH that consumer demand may be slowing. On October 3rd and 5th Eagle Alpha published two Insights reports that pointed to slowing consumer demand for Burberry and Tapestry based on our proprietary Search Signals indicators. These trends appear to be aligned with the comments from LVMH yesterday.
  • Standardized DDQ: Simmons & Simmons joins our working group that aims to standardize Data Due Diligence (DDQ) questionnaires.

Events You Should Attend

  • Events: final call for complimentary tickets to our ” Access & Alpha ” event in London on October 12th where you can meet with 25 alternative data vendors. 

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