A look into 2018 trends, Data Management and Artificial Intelligence
Q: As we begin to transition into 2018, what trends are you seeing for Data Management?
A: Looking into 2018, I believe that the volume, velocity and variety of operational and non-operational data will continue to grow exponentially, which will begin to overwhelm asset managers unless they are able to leverage an entirely new set of tools and techniques. This growth of data demands scalable, robust and intelligent solutions to support asset managers as they look beyond traditional data sets. Our aim is to build solutions that are designed to solve specific problems facing managers. For example, large asset managers are currently leveraging IVP’s EDM platform to create “Operational Data Stores,” which come complete with a domain-aware catalog, data lineage and commingled structured/unstructured data sets. These data sets are updated continuously intraday, thereby enabling specific business groups to build applications on top of the existing platform without any interference in leveraging overall data cleansing, collection and governance efficiencies. On the other end of the spectrum, hedge funds with a defined problem set can leverage prebuilt standard data flows enabled with standard reporting through our multi-tenant platform. This allows funds to be up and running in weeks rather than months.
Q: What is the benefit of tapping into “dark” data and where is this type of data headed?
A: All asset managers are now actively looking to tap “dark” data in pursuit of obtaining an investing edge; looking to social media-based sentiment analysis to confirm an investment thesis, to find long and short trading opportunities or to generate predictive alerts for positions they hold to manage risk. The insiders in this case will be those that possess the tools, techniques and technologies required to unlock and interpret the value hidden in the terabytes and petabytes of “dark” data. These techniques and tools take time to codify the secret sauce of the investment process, which tends to be unique for each manager. Those who start this process too late will unfortunately suffer in performance. The experts at IVP work hard to enable any asset manager to leverage our technologies that are designed to be domain aware out of the box.
Q: What does AI and Machine Learning look like in 2018?
A: Machine Learning and Artificial Intelligence will become a need to have rather than a nice to have in the coming year. The simple reason for this is due to the fact that large quantities of data exceed the ability of the human brain. A hybrid Human + Machine platform will be the likely outcome as opposed to the contrary popular belief that humans will be entirely replaced by Algos and AI in the workplace. Humans are vital to the success of this industry prevalent technology, however; the ability to employ Human + Machine will separate the winners from the losers.
Q: Why has IVP applied Artificial Intelligence within its products?
A: We see the case to employ AI into our core data management platforms in order to create a more robust solution that can process structured and unstructured data sets, but also has the scope to codify more of our operational knowledge, such as securities and reference data or legal entity modeling, into the platform over time. The experts at IVP also strive to make this process easy for our clients by constructing these technologies to be domain aware. This enables our clients to better focus on their investment process since our tools come prepackaged with domain learnings and catalogs that can be configured to generate value rapidly.
Q: Can you give us an example of Artificial Intelligence and Machine Learning at work in an IVP platform?
A: Our social media sentiment analysis employs artificial intelligence. This solution is a subset of IVP’s Decision Science platform and can be used to support an investment thesis, help gauge reaction to market events or even geo-political risk. Our IVP Recon solution also utilizes machine learning to assist with rapid reconciliation, helping to provide the most accurate mappings possible. Artificial intelligence is also applied within our IVP EDM platform to help create a more robust solution to process a variety of data. As IVP continues to evolve, we will continue to see artificial intelligence and machine learning employed further into our suite of products.
Q: As the fintech industry continues to excel forward, how does Indus Valley Partners demonstrate its growth?
A: Innovation is at the heart of what we do. We keep a big focus on edge within our solution suite on behalf of our clients. As a privately held firm with decades of experience, we believe in a quantifiable edge leading our products to pay for themselves rapidly. Over the last year alone we released a set of product enhancements to ensure our clients are equipped with the latest technology to support their evolving needs. Our solutions now have restructured user interfaces, are domain aware to better manage reference data, extract intelligent insights and more. We see the need to continuously adapt to change within our fast-paced industry and we do so by first ensuring that our clients are provided the tools to evolve using our solutions. We also demonstrate our growth with the industry by expanding the footprint of our domain-aware technology and services platforms. In 2017, IVP launched a new suite of solutions for the Private Equity and Real Estate market as well as an OMS platform for the illiquid loan space.