FinTech Finalist, Running Alpha Launching DarkSight Technology for Capital Market Trend Intelligence
by efrem on Thursday May 5, 2016 at 7:56 pm EST | Tags: Alpha, Benzinga, DarkSight, FinTech, FintechAwards
Benzinga FinTech Finalist, Running Alpha, is launching Capital Market Trends next week, a premium alpha idea discovery platform for showcasing highly scalable and actionable investment and trading opportunities —
Powered by a unique and proprietary Sentiment-Aware mathematical physics framework that has a multi-decade history of extracting trading opportunities at the forefront of tomorrow’s most impactful and influential price trends and volatility events —
events that have over 95% expectation of sustaining bullish or bearish price persistence over multi-time-line intervals.
Running Alpha employs its proprietary DarkSight Technology to reveal the minimum length of the risk-on and risk-off opportunity intervals. So unlike even today’s most advanced sentiment intelligence solution providers, Running Alpha goes beyond pigeon-holing opportunities into fixed holding period or time frames.
Markets are dynamic, and just because a statistical backtest showed that a specific time frame had a more favorable performance curve, does not mean that the groups of highly interacting decision-makers and their forward-looking versions, that are relevant to market dynamics today and tomorrow respectively, are the same ones that history has favored.
To circumvent this bottleneck that arises from the use of backward-looking statistical curve fitting and regression models, upon which virtually all conventional platforms and machine learning algos are founded to some degree, we play a different game, one that is:
Powered by a new category of actionable intelligence — known as Bottom-Down Perception Analytics (BDPA), branded under the trade-name DarkSight Technology. Unlike Statistical models, Running Alpha is a self-generative mathematical framework leveraging insights into both:
( i ) the architecture of time, as a function of entropy ( such that as the size of the data set or history of transactions grows and evolves, which is especially the case in mature markets, like commodity and financial futures markets and Blue Chip Companies, the number of ways one can perceive changes in trend goes up, given there are more ways to partition time and adjust look-back viewing windows when constructing and interpreting trend measurements of market variables );
( ii ) the subtle non-linear physics surrounding the unseen, complex, dynamic and self-generating internal interactions among individual human-machine perspectives, for shedding light on Dark Data Perception Fields: fields of data that encode the relationship among sentiment perceptions of our future-selves — spanning the domain of the current and evolving trader population ecology — for rendering visibility into those corners of the marketplace where clusters of market players, observing market action and market structure in the future, will be making decisions to buy and sell in earnest, well before they get shared on on social media or mobilized into action in the order-book; before they form their intentions of actualizing their decisions; and even before they encode their perceptions of real-time market data.
Going beyond conventional mathematical game strategy frameworks for one upping your competitor in looking ahead additional moves, Running Alpha offers trader’s an unfair advantage in reverse engineering the long-range non-linear, multi-fractal interaction of human and machine decision-making. We are on a mission for hunting down the world’s most persistent Risk-Off and Risk-On Opportunity Windows — Running Alpha can see Critical State Transitions from Black Swan episodes of fear and anger to surprise, elation, and euphoria.
The story behind the Running Alpha BDPA innovation is unusual, and has its roots in what the founder, Efrem Hoffman, discovered when developing patented big data machine intelligence technology ( before it became a buzzword ), for hunting down impending signs of aviation weather and environmental hazards; and observing tight correlation patterns among precipitation and wind trajectories that underlie atmospheric turbulence and catastrophic F5 tornado vortex formations ( from high-dimensional atmospheric radar imagery ).
You may be wondering what this has to do with the movement of people, capital, and emotions in the world financial markets — Everything; we have over 100 years of data science to back this up and a history of helping clients accurately protect against Black-Swan events — showing that the correlation structure among bullish and bearish decision-maker perception biases at different scales of market observation come together first in the marketplace, each trading day, before they drive the transactions trends that most conventional media and market tools see and broadcast only later in hindsight.
With 20 years of real-life experience and mentoring by some of the most powerful and influential traders in the S&P and Bond Pits, we do this with a passion bent on actionable foresights — unlike any of our competitors can offer — by precisely quantifying and exploiting intrinsic unseen defects and inefficiencies in the way prevailing human and machine deep learning algorithms, and sentiment and volatility based research frameworks, are mathematically biased for unintentionally introducing persistent periods of lag ( under very special conditions and unstable market states ) into the forward-looking decision-making process.
We do all the heavy lifting, so that when you see an opportunity featured on the platform, you can be rest assured it meets our strict coverage criteria.
Our job at Running Alpha is to hone in on market instruments that exhibit long-range persistence of such critical states; thereby helping our subscribers take full advantage of these large-scale divergences between lagging perceptions and the reality of actualized outcomes.
What Makes Running Alpha’s Premium Capital Market Trends Service a New Category of Actionable Alpha Investment Intelligence?
Running Alpha’s Capital Market Trends Premium Subscription Service gives you significant lead time for building large positions; telling you exactly when and at what price levels Windows of Investment Opportunity open ( specific time and/or date ) and close ( specific time and/or date ) before market transitions from periods of fear and anger to asymmetric reward-to-risk intervals of persistent high-momentum recoveries, leading to periods of long-term sustainable growth trajectories — and
exhibiting a range of sentiment behaviors evolving from surprise ( shock and awe ) to elation, through euphoria. You will find bad news “climbing a wall of worry” and good news getting amplified in your favor during these forecasted Windows of Growth and/or Decay; thereby Significantly Lowering Portfolio Volatility and Generating Sharpe Ratios that are Off the Charts; and in some cases exceeding double digits.
In a very clutter free and concise format that has been a choice favored by professional money managers and active trading clients we work with, we include a level of actionable specificity that is a first within the finding alpha industry.
Knowing what to trade with over 95% conviction of directional bias and reward to risk outcomes on time and price targets, as well as when and when not to trade with or against the trend; and having the capability of putting on size at key low-risk decision-points, knowing that you can count on a reliable exit strategy based on dynamic holding intervals, that are designed to amplify directionally good news and lessen the impact of bad news ( less adverse volatility and faster recovery time from peak to trough) is only half the battle, and yes, we are dedicated to delivering on all these variables each trading day.
The biggest pain-points that we address lies not only in the presentation of this information in a format that is intuitive and easy to use and follow, but also lies in exploiting alternative data fields we track for helping you build trust and confidence in the investment / trading process.
Many traders with great strategies loose money because they do not have the confidence or trust in repeatedly following the process that led them to successful outcomes. I say this because virtually every other provider out there today may offer insights, but they do not do a great job at telling you how to augment them with your current strategy. Because there are so many strategies out there and nuances in their use, it has been extremely challenging for the industry as a whole to address this pain-point.
Running Alpha takes the concept of building trust to a new level, not only because the investment framework and trading parameters have a history of delivering consistent performance outcomes that are scientifically repeatable and beyond what is currently available in the marketplace, but more importantly because we offer alternative metrics for measuring performance that have a track record of not only shrinking the time it takes to build trust in the outcomes, but allowing investors to lower their anxiety when turning the insights into market actions.
By raising Anxiety-Adjusted Returns, Running Alpha is on a mission for leading the Fintech industry toward solutions that are organically designed for narrowing the gap between reported strategy success and actual investor alpha.
To address these challenges, Running Alpha employs strategies founded on an original multi-fractal variant of quantum mechanics, game theory, self-organized criticality ( within small and large scale networks of human and machine agents), and holographic intelligence.
Running Alpha is the first in the Global Fintech community to use such technologies for accurately identifying and quantifying special market states within laser-focused timing windows, where the ecology of traders and investors perceptions are likely to braid together in the order book, to create feedback loops that both amplify news outcomes and make what would ordinarily be interpreted as bad news or good new by individual decision-makers, translate into persistent market trends that “climb a wall of worry” or “descend a slope of hope,” respectively. and what would ordinarily be good or bad news, getting even more amplified.
By following large ( > 100 ) or concentrated basket of 15 to 20 securities from our coverage universe of over 7000 equities, you will quickly discover a significant asymmetry between the number and magnitude of out-sized winners and losers. So now rather than waiting for a stop to be hit or investment exit to trigger, to evaluate the success of the outcome, you can now access these additional sentiment-aware data points while the trade is developing. This way you can objectively verify if the anticipated feedback behavior of each position is consistent with the current market reaction to sentiment-moving news events.
What specific data fields are included for each security we cover in the Capital Market Trends Premium Subscription?
Market Instrument, Trading Symbol, High Conviction Directional Bias, Opening and Closing Times of the Bullish or Bearish Opportunity Windows, Activation Levels I and II ( when triggered above or below a specified price, it indicate whether Target 1 or Target2 will come into play), as well as interim proprietary overhead resistance and base-line support zones.
Having knowledge of these window lengths and hidden price zones, where market feedback and sentiment reactions to news events and evolving decision-maker perceptions amplify and reinforce trends, option traders can better identify appropriate strike prices above and below market, as well as select the most suitable expiration month.
One particular feature traders will find quite useful is that if they are planning to trade around core investment positions, each actionable investment idea presented has a specific optimal viewing resolution, such that if traders want to plot changes in market variables on their own charting or visualization platforms, they can now be confident that they are observing trends on the right scale.
The Running Alpha suggested time frame ( data sampling interval: note: duration of window opening and closing time goes beyond dictating suitable sampling intervals ); is also designed to align with the network structure of decision-makers perceptions, which can vary over time; and unlike conventional models of market behavior, we incorporate the dynamic effects that different market players with varying clout, influence, and perspectives can have on future market activity. We make it our business to maintain an active count of these variables in our forward-looking assessment of sentiment perception biases.
Having knowledge of the dynamic time frames that are most suitable to the current situation and forward market environment, you will start experiencing less anxiety and enhanced clarity from reduced levels of market noise, freeing up your working schedule during off peak periods, and giving you more time to stay focused on the relevant signal content during active market periods.
Armed with this new class of intelligence, we trust that you will be better prepared for making bold decisions with confidence — every investors dream, now made a reality with Running Alpha DarkSight Technology.
Start Making Your Decision-Making Strategy Anxiety-Free with Running Alpha Today!Add to Portfolio