CFA Institute Live Webinars Presentation Recorded 04 Oct 2018
Lessons from the Third Wave of Investing: Machine Learning and Alternative Data
The evolution of investing can be divided into three “waves,” according to Michael Weinberg, CFA. The first and second waves of “fundamental discretionary” and “quantitative” investing, respectively, have been followed by an emerging third wave that involves sophisticated computing techniques and leveraging the power of machines. Strategies in the third wave are a confluence of 5 factors: 1) The exponential growth of data, 2) Data science, 3) Machine learning, 4) Record-low processing and storage costs, 5) Playing close to the information edge.
In this webinar, we will cover the following:
- How can the confluence of five factors assist with better investing outcomes?
- What traits are typical of the best and worst third-wave managers from an investment due- diligence perspective?
- How does one differentiate between third-wave managers, and second-wave managers--traditional computational finance managers?
- What are the skill sets and the learning required to become a third- wave manager?
About the Speaker(s)
Michael Oliver Weinberg, CFA, is managing director and head of hedge funds and alternative alpha at APG Asset Management US Inc. He is an adjunct professor of economics and finance at Columbia Business School and testifies as an expert witness in financial and technology litigation. Previously, Mr. Weinberg served as chief investment officer at MOV37 and Protege Partners, a portfolio manager and global head of equities at FRM, a portfolio manager at Soros and Credit Suisse, and a real estate analyst at Dean Witter. He is a board member of AIMA, is on the management advisory council for the Michael Price Student Investment Fund, and is a special adviser to the Tokyo University of Science’s endowment. Mr. Weinberg co-founded the not-for-profit organization Project Punch Card and the Artificial Intelligence in Finance Institute. He was chair at CFA Society New York, where he received multiple awards, including Volunteer of the Year. Mr. Weinberg is a research contributor to the World Economic Forum on the impact of AI on finance and has written investment books and articles for the New York Times and Institutional Investor. He earned a BS from New York University and an MBA from Columbia Business School.
Director, Professional Learning and Advocacy, CFA Institute
Shreenivas Kunte is a director of continuing education and advocacy at CFA Institute. In this role, he contributes to thought leadership in the investment management profession. He writes on investing topics in leading publications and represents CFA Institute at conferences and forums. Shreenivas serves as an external research scholar at the Indian Institute of Technology Bombay. Previously, he worked as the country trading strategist for Citi in Tokyo, Japan. He holds a degree in computer engineering from the University of Mumbai.