Top Challenges of Implementing Alternative Data

Despite the growing adoption of Alternative Data by hedge fund managers, many struggle to maximize its value. In this ebook, Qaisar Hasan and Stan Altshuller from Maiden Century unpack the top five challenges — data discovery, integration, interpretation, process flaws, and insight extraction — and offer practical solutions to help managers build robust data strategies and boost ROI.

• Data Discovery Complexity: Finding relevant datasets for specific securities is time-consuming, as vendor coverage lists lack transparency on model fit, delaying actionable insights.  
• Integration Hurdles: Diverse data formats, frequencies, and delivery methods require complex ETL processes, risking errors without automated pipelines or expert partners.  
• Nuanced Interpretation: Unlike uniform traditional data, Alternative Data varies by company, demanding custom models to avoid misleading signals from one-size-fits-all approaches.  
• Process and Tech Gaps: Poor tagging and mapping, like misclassified transactions, erode data trust; robust processes and cross-data validation prevent costly errors.  
• Hidden Insights: Without analytics tools like alerts and charting, managers miss critical signals buried in data, needing intuitive platforms to surface timely opportunities.

Download the whitepaper to learn how to overcome these challenges and unlock the full potential of your Alternative Data investments.