The Ultimate Asset for Asset Management

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Elle Palmer

Sep 20, 2024

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In today’s fast-paced financial world, asset managers are continually seeking ways to generate alpha for their clients. One of the most critical factors in achieving this goal is data productivity and management. Efficient handling of data can significantly impact the ability of asset managers to make informed decisions, optimise strategies, and ultimately outperform the market. But why is data productivity and management so crucial?

The Importance of Data Productivity and Management

Asset management is inherently data-driven. A recent report by the IFA revealed “data management infrastructure is the top investment priority” amongst UK based asset managers. Showing that the ability to process, analyse, and act on vast amounts of financial data can be the difference between success and failure. With technological advancements continuously reshaping the landscape, effective data management has never been more critical. Here’s how it helps:

  • Informed Decisions:

    Reliable and timely data enables asset managers to spot trends, assess risks, and seize opportunities.

  • Optimised Strategies:

    An accessible and performant data framework makes backtesting quick and easy, which leads to better strategies.

  • Generating Alpha:

    Robust data practices provide insights that are often missed by others, giving a competitive edge.

What is the solution?

Improving data productivity and management boils down to one simple solution: investing in the right technology. This technology should enable data teams to work efficiently while staying mindful of operational costs.

Why use ArcticDB?

ArcticDB is a database designed from the ground up to enhance data productivity in quantitative investment management. Here’s why is stands out:

Not Restrictive

ArcticDB allows you to store and manage all your data in one database. This unified approach ensures that your data remains consistent and accessible, while also securing all previous versions in storage to prevent corruption. No more juggling multiple databases or worrying about data integrity.

High Performance

ArcticDB is highly performant. It is capable of processing ~ 1 billion rows per second for a single consumer and many billions of rows per second across all consumers.

Easy to Use

With a simple Python API, ArcticDB eliminates the steep learning curve associated with many data systems. This ease of use ensures that your team can start leveraging its capabilities right away. “Most users are up to speed with ArcticDB in a matter of hours”.

Additionally, ArcticDB has a very straightforward installation process. It is platformless and can be installed into your Python environment in seconds using:

pip install arcticdb

Serverless

ArcticDB is serverless, which means it is scalable from one user to large organisations. It is also low maintenance as there is no need to manage servers, apply patches, or handle operating system upgrades which in turn keeps operating costs low. This serverless architecture is well suited to modern quantitative data science workloads.

Quant Friendly

For quantitative researchers, ArcticDB is a game changer. It minimises the cognitive load involved in accessing and managing data, freeing up mental resources for analysis and strategy development. This is because ArcticDB provides data in a python DataFrame format. Meaning, this data is instantly workable and there is no need for time consuming re-formatting.

The ArcticDB Advantage

ArcticDB’s unique features make it an indispensable tool for asset managers aiming to harness the power of data to generate alpha.

ArcticDB is continuously gaining recognition and endorsement from major financial institutions due to its impressive capabilities, despite being relatively new to the market. Our roadmap also includes an ever-expanding list of features and tools, and our enterprise agreements provide the flexibility to develop custom solutions tailored to your needs. By choosing ArcticDB, you are investing in the future of Quantitative Data Science at scale.

In conclusion, data productivity and management are not just operational concerns but strategic imperatives for Quantitative asset managers. By integrating ArcticDB into your data practices, you can streamline your operations, minimise costs, and focus on what truly matters: making informed investment decisions and outperforming the market.

Winning the battle of data in quantitative research becomes not just a possibility, but a reality.

Reference: Asset Managers Embrace Data to Navigate Market Uncertainty — IFA Magazine