“Big Data” and “AI” (artificial intelligence) are definitely the kind of buzzwords that have been woven into corporate and finance strategy session discussions around the globe for a number of years. They sound good. Yet unlike other buzzwords, these seem to have staying power especially when used in partnership with one another.
It is no surprise that data-driven decision making is more reliable than simply going with one’s gut instinct. Most organizations are already using in-house or third party reporting and AI analytics to capture the risks and opportunities found within their own business’s data. This alone is not enough. The next step is to be able to identify those outside influences that can affect your business to either mitigate risk or uncover new opportunities.
Particularly in finance where news and rumors can have an immediate impact on the markets, the daily news cycle cannot be ignored. At Acquire Media, we have been aggregating news feeds for over 25 years. Today we ingest and process over 500K news stories a day and this expertise has enabled us to build advanced, patented algorithms for understanding various aspects of the companies, events, outlooks and analysis found within the news. Consider this volume of news your next big data set.
By studying the daily stream of news, there is a natural flow in volume and in coverage as events unfold. With such a large collection of daily news sources, it is easy to see anomalies in the patterns. Could this be a unique breaking news event? An unexpected opportunity? An unplanned setback? Isolating these news events is enormously useful and potentially very valuable for companies prepared to take action.
One example of AI and Big Data working together in news can be found in our Trading Impact codes. These are just over 200 different codes that map to such market move events such as Bankruptcy Announcements, Mergers and Acquisitions and even Natural Disasters. All of these events act as triggers that could impact a company, an industry or the markets as a whole. Companies with strategies in place to act on these codes can benefit from their preparation.
While Acquire Media has many patented algorithms that we use to add value to the news services we provide our customers, many financial companies are developing algorithms of their own. These are often proprietary and instrumental to their trading and investment strategies but this is not limited to finance. That is where an archive for modeling and testing accuracy comes into play. Working with a large volume of actual news events speeds up the modeling and validation process of your AI systems.News is one of many examples of Big Data that is still relevant and gaining importance for those companies investing in AI to push their business forward. Be sure to consider the outside influences on your business as you implement and enhance your AI strategies. Artificial intelligence is no longer the stuff of science fiction movies. It is already shaping the way we live and conduct business.