Author: Auquan – auquan.com
Auquan is releasing its Portfolio Activity Monitor (PAM) following the tool’s successful trial run with top global investment firms.
The software quickly gleans insights from massive amounts of unstructured data, giving portfolio managers the most crucial bits of information without forcing them to spend countless hours sifting through a sea of irrelevant news stories and reports. After scanning millions of sources for the stories most relevant to a client’s portfolio, PAM then acts as a dashboard that provides a clear overview of key developments and trends to allow hedge funds and asset managers to make more informed investment decisions.
As investment teams find themselves overwhelmed with an increasing volume of data, Auquan’s PAM allows them to cut through the noise and quickly identify promising sources of alpha that they can investigate further. The tool’s speed and efficiency gives portfolio managers the ability to act on data as soon as it is available, significantly increasing profits and avoiding catastrophic losses.
Chandini Jain, co-founder at Auquan said, “This tool solves a pressing problem in investment management – in the mountain of data available to me today, where should I focus to find the most alpha? In our conversations with over 100 portfolio managers, most said that investment research was the most inefficient part of their process. Funds spend way too much time filtering out noise, and not enough analysing promising information. Other competing products will prove investment teams with insights, but that only adds to information load as they subscribe to more and more data sources. Our tool does both – it increases the overall coverage available to a PM by monitoring local sources, foreign languages articles and second degree connections, but then distils these into only the most relevant insights, laid out on a simple dashboard. The result – PMs only focus on what’s important and never leave alpha on the table”
One of Auquan’s clients, CIO at a UK high yield fund, said, “I can tell Auquan has a comprehensive coverage because often I see some information here for a company, which doesn’t appear on Bloomberg. This tells us that only a very small set of people have uncovered this information so far. I see articles that I will then share with the rest of the team because they make us think about our investments differently”
The software uses a knowledge graph that ingests terabytes of data about a company and its entire ecosystem. Everything from key staff and suppliers to competitors and industry developments are taken into account for any given company. Using this understanding, PAM searches 100,000 news sources everyday and highlights key developments for each company, sector and theme.
All of that data is then summarised into an easy-to-read dashboard that gives portfolio managers only the most important information they need to identify profitable investment ideas.
Upcoming features that are set to be released by Auquan in the near future include transcripts, third party research, trading updates and other alternative datasets.
About the company
Auquan is a London-based fintech company on a mission to improve the investment management industry by bringing data science to every investment team, allowing fundamental teams to benefit from the latest technology, including machine learning, natural language processing and knowledge graph technology. Auquan’s suite of data science tools enables clients in hedge funds and asset management to identify alpha-generating opportunities ahead of the market, hedge risks and save time.