8 Strategies for Evaluating Alternative Data

As global markets experience greater volatility, incorporating new data sources is critical for asset and investment managers seeking out alpha-generating investments. Using data from non-traditional sources that reaches insights beyond fundamental data is an effective and increasingly necessary way to corroborate or inform new ideas. Not all alternative data sets, or alternative data providers, are created equal however. Before you work with an alternative data provider, you’ll want to ensure they meet your specific requirements along with all applicable data security and privacy standards to minimize the operational risks while capitalizing on the benefits.