we haven't been waiting we have been preparing in fact we've been hired as consultants by Axe
Capital to help them win and this video will be our recommendations. we will go back through
the series to base our recommendations on the strengths and weaknesses of the company we are up
32 year-to-date and we are open to all money making ideas in season one we get to understand
what made the company successful in the first place he wrote the story now he's out which means
you need to be out in fact short but also the origin of its crisis and troubles with the lobe
phones down for SEC compliance there's a fundamental lie at the heart of the company
everyone has access to the information we just know how to analyze it better that's
[ __ ] in reality their Edge is an information Advantage like this Boardwalk pipeline move
what supported it okay it was based on an unsolicited tip I got a tip and the
pharmaceutical trades that was phonative that type of edge is not sustainable not reliable not
scalable and probably not legal as a consultant we recommend focusing on that information advantage
but finding it from a different Source one that not everyone can access such as public web data
web data is a type of alternative data used by hedge funds and we will show its application
through the next series in fact Taylor is already using alternative data in season 2. I'm Taylor my
pronouns are they theirs and them they're browsing the web to conduct sentiment analysis on the
company it's not the type of information that feeds automatically on your Bloomberg terminal
its information you have to look for after your dispute with Krakov I presumed roiling and Timothy
so I cataloged all of his public statements going back two years the problem is they're
doing it manually they're just Googling stuff watching a video to understand how the tone
is evolving for example it's not scalable and it's a waste of time information used by Taylor
is using exactly that public web data so how do we scale that we're getting the help of bright data
the sponsor of this video to source the data and transform it into an industrial process
so instead of watching the videos on YouTube we can access a public web data scraper
here we have a pre-made template we can input keywords and we get all the relevant videos
in a data set format we can then process this extract keywords from titles and transcripts
and count them or even apply natural language processing techniques that would provide automated
scalable Intelligence on the companies or the sectors that Axe capital is targeting
the next step in Taylor's investigation is to dig into we found out which satellite company Krakow
uses AR metrics let's assume the armetric.com website has publicly available satellite imagery
that we're interested in assuming Krakov would be the biggest user in the most viewed images you
deduce that's what he's been looking at there will be tons of information we do not want to browse
through them one by one we can again scrape the data and process it but Taylor is not a developer
however it's 2023 so we can use ChatGTP to help with the code and that's what is provided and then
through the scraper we will apply that and extract the data that will be our second recommendation
now season 3 is the most exciting from our perspective this is where we really talk
about hedge fund strategies in particular Quant is another word for systemized ordered thinking
represented in an algorithmic approach to trading because Taylor is now the CIO the quants why why
now and they really understand the situation that acts capitalism our Edge is gone they
know that you can no longer find an edge with public market data there are a bunch of quants
already out there on the market already working that edge everyone has access to that that's why
ours has to be better in this case a better Edge means different data there are many ways to build
that edge with public web data for example you can get insights into consumer Behavior
or you can browse through the data sets of the likes of Amazon and eBay to understand the trends
or the feedback on specific products and that will ultimately affect the stock price of your company
a third recommendation is to integrate various data feeds into the decision-making process of
the traders that will provide up-to-date data from various sources that can create
a sustainable trading Edge in season 4 the big deal was that Axe Capital was exploring private
Market opportunities we're mixing into private equity for real a strategy that's been popular
with hedge funds such as Tiger Global Management I got everybody downstairs generating ideas but
the team is struggling and there's a reason for that the use of public stock markets you haven't
said yes to any of them yet you can find an edge by processing data on private companies at scale
with websites like crunchbase a depository of all the private deals you can then use that to
identify sectors companies and again fit it into your decision process they have a dozen
internal ideas you've turned out so instead of having the team just generate ideas out of lower
because they all suck give them the data first and then find ideas based on this data they can't all
suck what we need is a meaningful partnership and this will be our fourth recommendation
season 5 was Axe's downfall that's your answer to the fireside chat you want to become a bank he
dreamed of becoming a medium-sized U.S Bank I want to become a bank a bit like silvergate or Silicon
Valley Bank or First Republic it was never a good idea we nailed it for sure but a new opportunity
arose we should do it again turn mace cap into an impact Fund in itself ESG or impact funds are
a very common strategy not an edge but it can become one by combining it with ESG data sets
there are numerous data points to consider Taylor can combine that with a quantitative approach
demonstrate the quantitative ESG impact and rating of the fund or find new quantitative
signals to improve risk-adjusted returns there's so much money out there and so much possibility
to make a change we follow the recommendation and we're gonna summon them up here and like previous
season this time Axe capital can access advanced data collection and Analysis tools by finding
a new information Advantage based on public web data they can go back to the roots and they can
leverage new opportunities in trading in private markets and impact investing for Consulting we
will just get a performance fee so our interests are perfectly aligned with those of Axe capital
thanks for lots for watching if you have other ideas that Axe Capital
should Implement in season 7 in order to win please comment below or let me
know what you thought about the suggestion in this video