Summary List Placement
Thinknum, the web-scraping alternative data provider, was a winner of the GameStop-fueled trading frenzy that lost Melvin Capital billions at the end of January.
The data provider, as reported by Insider, created a new dataset focused on Reddit boards and other forums where retail traders were talking shop like Seeking Alpha and Stocktwits.
But the firm kept getting feedback during its media tour which included an appearance on CNN: The smallest, newest funds out there can’t afford this data, but desperately need it.
“We got a lot of feedback about who we serve in general,” Justin Zhen, cofounder of Thinknum, said. “A lot of smaller funds reached out, and they were quite upfront about pricing.”
Data budgets have traditionally been one of the big differences between a freshly launched fund and a multi-billion-dollar manager with dozens of data scientists. While firms like Point72, Citadel, and more have built out impressive data teams that talk to hundreds of potential data providers, new funds have to debate which dataset is worth paying for.
As a result, Thinknum has launched a new program named Spark to even the playing field, Zhen said. It is explicitly targeting new funds with less than $50 million …read more
Source:: Businessinsider – Finance