Artificial intelligence (AI) is primarily about raising our own game, with intelligence augmentation (IA)
“No human is better than a machine, but no machine is better than a human with a machine”
Paul Tudor Jones, Tudor Investment Corporation
Nowhere is this needed more than investing
Algorithmic trading drives 90% of stock transactions
Leading investment banks make money on 90% of trading days
vs.
90% of funds underperform their index after fees
Retail traders lose money 90% of the time
Butterwire helps tackle the industry’s knowledge productivity challenge
Industry Threat
Race to the bottom
- Grow in size to reduce cost per $bn assets managed (M&A)
- Stretch research staff to offset inflation of mid-back office costs
- Cut risk budgets to keep close to the benchmark each quarter
Industry Opportunity
Race to the top
- Grow in quality of investment decisions per number of staff
- Integrate new technologies to help boost knowledge productivity
- Align fee structure so that clients only pay for active management
Performance
Saving you research time and costs means nothing without quality signals. Research candidates surfaced by Butterwire add ‘digital alpha’ on the long and the short side.
More than
5,000
primary equities from 40 countries
More than
55%
win rate on suggested research candidates
More than
5%
excess return from suggested research candidates