Wed, Dec 13, 2017
A A A
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

Hedge funds leverage social media for trading decisions

Thursday, May 24, 2012

amb
Seth McGuire
Bailey McCann, Opalesque New York:

According to data from Twitter, when last year's Washington D.C. earthquake hit, users in New York read about it on Twitter 30 seconds before they felt under their feet. Ever since Twitter started breaking news through user networks, a variety of social media monitoring firms have been working to cash in on this edge by providing monitoring and analysis of social media services for busy company executives. Now, that trend is moving into hedge funds. US-based firm Gnip is providing hedge funds with a real time data feed that they are using to influence trading decisions.

Gnip was founded in 2008 when social media was making a splash in the consumer advertising space. Now, it is the largest provider of social data to the enterprise and delivers 90 billion public social data activities each month. In recent years other, less product focused industries have started to leverage social media monitoring to understand public moods and capture breaking news, avoiding the lag between when the news actually breaks and when it gets picked up by traditional media - if it gets picked up at all.

In essence, Gnip provides an aggregate data feed of public social media posts. So far, a dozen funds amounting to $30bn in assets under management are leveraging this data feed to impact their trading choices.

"Funds that choose us are typically $1bn to $5bn AuM, with a heavy quant slant," says Seth McGuire Director of Assets and Finan......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Mediobanca acquires majority stakes in Swiss hedge fund[more]

    Komfie Manalo, Opalesque Asia: Listed diversified banking group Mediobanca SpA said it has acquired a majority stake in Geneva-based hedge fund firm RAM Active Investments SA (RAM AI), an active and alternative asset manager offering a range of act

  2. Launches - Ex-BlueCrest team to open over $200m hedge fund, Greg Coffey, a hedge fund star who retired at 41, is eyeing a comeback, Brevan Howard plans Greek funds as bond rally signals revival[more]

    Ex-BlueCrest team to open over $200m hedge fund From Bloomberg.com: A team of traders who left BlueCrest Capital Management earlier this year raised more than $200 million for their own hedge fund focused on Asian stocks, according to a person familiar with the matter. Ovata Capital Manag

  3. North America - Miami could attract hedge funds if SALT deductions axed[more]

    From Law360.com: For years, inertia has been Nitin Motwani's greatest foe in his attempts to lure hedge fund owners in the northeast to Miami, which he has pitched as a tropical low-tax paradise. But with the Republican tax bill proposing to eliminate deductions for state and local taxes, he's sensi

  4. Northleaf Capital Partners closes debut private credit fund on $670M[more]

    Bailey McCann, Opalesque New York: Northleaf Capital Partners has closed its debut private credit fund - Northleaf Private Credit I - on $670 million. The vehicle will invest in private credit transactions in Europe and North America, with a primary focus on lending to private equity-backed compa

  5. Opalesque Exclusive: Credit Suisse Asset Management's NEXT Investors leads $6M Series A round for LUX Technology and Services[more]

    Bailey McCann, Opalesque New York: Credit Suisse Asset Management's NEXT Investors has led a $6 million Series A funding round for LUX Technology and Services, a business and technology solutions provider for the alternative assets industry. The investment will be used to fuel growth of Trans