Envestnet | Yodlee, a data aggregation and analytics platform specialising in consumer spending data analytics, says asset managers are increasingly seeking out such alternative data insights in their hunt for alpha.
Nikhil Nadkarni, Vice President, Data Products, explains how the consumer spending data analytics can help provide asset managers a view into consumer interactions with brands and incorporating insights into the investment research processes.
“Equity Researchers and Investment Managers can use consumer spending data analytics in their fundamental research to understand and forecast revenues, customer retention, customers’ lifetime values, customer churn and competitive analysis. Learning consumer spending patterns around online versus offline provides visibility into how consumer discretionary spending is shaping consumer behaviour especially during Covid-19."
Usage of alternate data, like consumer spending data analytics, is getting a lot of attention from institutional money managers as it delivers additional alpha in investment research. Such data analytics provide a lens for researchers and portfolio managers to validate an investment thesis and generate differentiated insights outside of just forecasting revenue.
Don’t miss out on the upcoming webinar hosted by HedgeWeek and sponsored by Envestnet | Yodlee where Nikhil Nadkarni and other panellists will discuss: