79% will increase outsourcing of data services
77% believe accessing high quality data is key to generate superior investment results
76% see an increase in their budget for data
68% are having difficulties sourcing clean and validated data
SigTech commissioned a survey of systematic hedge funds and quant asset managers that collectively oversee ca. USD 1.2 trillion.
Accessing high quality data sources and having the technological capabilities to efficiently analyse them is essential for hedge funds and asset managers. Those that succeed will gain a true information advantage.
Investment in data set to increase
76% of fund managers surveyed are increasing their budget for data over the next two years, with one in five seeing a dramatic increase. The number of available datasets have exploded and 84% of fund managers now work with at least four different data vendors.
How do you see your organisation's budget for data change over the next two years?
Most fund managers find sourcing data challenging
Nine out of ten fund managers find that the process to evaluate data, ensuring it meets quality standards, and negotiating with data vendors is challenging. These findings confirm the need for data vendors to improve how they offer their data to clients.
Evaluating data, negotiating with vendors and ensuring that data is clean and validated, are challenging processes. How strongly do you agree or disagree with this view?
As available data sources are becoming increasingly specialised and varied, fund managers are increasing their levels of outsourcing data services. A shortage of qualified in-house subject matter experts is seen as the biggest driver of this trend. Furthermore, fund managers are focused on improving efficiency and speed when cleaning and onboarding new datasets.
For quantitative portfolio managers to stay competitive and continue to generate superior investment results, continuous investment in new data sources and technology is vital.
 SigTech commissioned the market research company Pureprofile to survey systematic hedge funds and quant asset managers in North America, Europe and Asia. Interviews were conducted online in Q1 2022.