What is the value of alternative data for your investment?

Door Svetlana Borovkova, Head of Quantitative Modeling

‘Data is the new oil’: this catchy phrase summarizes the fact that data is becoming the world’s most valuable commodity. The buzz around alternative data is tangible in the investment community as information retrieved from non-traditional sources is increasingly used as an input for investment decisions.

Alternative data can come from ingenuous new sources such as sensors, GPS locations or satellites. Other examples of alternative data sources are social media platforms, news wires, online spending and payment patterns of consumers.