A big part of my approach to understanding the market is to explore the edges, and one of the edges is information arbitrage—where social media analysis meets investment research. Think of a portfolio manager or analyst using social media intelligence to analyze investments and find trading signals. It'a pretty easy to understand the ROI in that application, and it's the kind of application that may just get your CFO's attention.
I've talked with people with some interesting approaches to this specialized market, and I recently started a project to categorize the strategies in the market. There are a number of different angles in play, which makes it a particularly interesting space:
- Atomic Intelligence
- ClearForest
- Connotate
- FirstRain
- InfoNgen
- Jodange
- Palantir
- Ravenpack
- SkyGrid
- StockMood
Given recent trends in financial markets, I've decided to prioritize other projects, but I expect to come back to this one (so if I missed your company, let me know). It's a potent reminder that there's more to social media than marketing and communications.
Related posts:
Comments (3)
Nathan,
This is exactly what we're doing with our ThomsonReuters relationship - automated trading systems using sentiment analysis of news coming thru the wires as part of the buy/sell process. Very cool stuff, and you're right about social media being more than marketing and communications.
Cheers,
Christine
Posted by Christine Sierra | October 29, 2008 1:39 PM
Thanks, Christine. I'll be sure to follow up with you on that when I restart the project.
Posted by Nathan Gilliatt
|
October 29, 2008 1:56 PM
Great compilation! We've experienced quite an increase in interest with anticipated changes to regulations coming and the growing discussions in Social Media on public companies - including Small Cap stocks.
Posted by Giles Crouch | October 30, 2008 12:22 PM