A hedge fund client that invests across the capital structure and has research analysts in multiple geographic locations and time zones wanted to create a proprietary and secure web based analytical platform for data modeling, calendar of events and posting opinion blogs by analysts. This would eliminate difficult to track emails, maintain history of ideas and permit timely and collaborative decision making.
Before CCR was involved
- The portfolio manager and analysts used a large number of Excel spreadsheets to download and store a range of data (Industry, Sector and Macro) from vendors such as Bloomberg, Yahoo Finance, 10K, 10Q, Morning Star, SEC filings, BSE, NEC etc.
- Each analyst prepared and maintained their own research models, notes & recommendations and communicated by email with the portfolio manager and traders.
- Since the portfolio manager and the analyst were in different locations, bulky spreadsheets had to be emailed several times.
After CCR was involved
- Centralized and standardized, secure proprietary data modeling platform houses the full suite of financial models, Industrial and cross sector statistics and analysis, global macro data, risk management appetite, benchmark indices, news and analysts blogs available to PM and analysts for investment decision making, client meetings and presentations.
- Single, more efficient centralized data management by an expert IT team freeing the analysts to focus on investment ideas.
- PM has access to platform from mobile devices (iPad, Android and iPhone) when out of the office.
- Communication tools that enhanced timely communication of market moving developments.
- Given the multiple sources of data and various individualized platforms on analyst’s desktops where the data was stored, it was cumbersome to make timely effective investment and risk management decisions.
- Data and data download processes were unnecessarily duplicated by individual analysts who were creating their own processes.
- The lack of a centralized platform created a gap in the investment process to effectively put research ideas to work in a timely manner.
- Portfolio managers could not access analyst ideas and research easily on mobile devices when away from their office.
Value added to client over time
- CCR built an extensive analytical platform with very advanced analytical tools to provide the speed and accuracy of analysis required in a fast and dynamic global market. CCR continues to assist this client in upgrading its existing models and helping in the innovation of new models.
- While analytical resources are critical for the success of this business, the costs to hire and maintain large and high quality teams restrict the small and medium sized businesses to have a competitive advantage over larger firms.
- CCR’s continuous engagement and partnership has created a team effort in understanding and improving the investment process.