Big data index to be product

Recently, China Securities Index Company, Baidu and GF Fund jointly launched the "CSI Baidu 100 Strategy 100 Index"; Southern Fund and Sina also announced the forthcoming "big data strategy index." The difference between the two indexes and the traditional index lies in that for the first time, big data is embedded in the traditional financial investment strategy, and the big data factor becomes the core of index preparation.

Big data index to be product

Internet big data was used in the index development, or by the CSI 100 Index and Sina Finance big data strategy index opened the first of its kind.

The idea of ​​a hundred percent 100 index from a dialogue. At the end of 2013, Qiu Chunyang, deputy general manager of GFD, and Meng Qingkui, director of Baidu's financial division, spoke in a dialogue about whether Baidu's massive financial big data could be transformed into financial products.

The theory of using big data to compile indices is not complicated. According to the 100-hair index, the panic in the bear market will gradually spread and magnify. The big data shows a sharp increase and a sharp decrease in the financial search volume. When the market takes the bull market, the optimism in the market will gradually spread and enlarge, which shows that in the big data, the financial search volume will increase sharply.

After the successful development of Big Data Internet Index, the next step is to commercialize it. GF said that the relevant products have not been reported to the SFC, the fastest in September and October to be approved. Liu Zhiping, director of quantitative investment at South Fund, said the index hoped that the index after a period of full maturity and then develop the product.

When the related product is available, it will be a major innovation in the asset management industry as there is currently no product on the market that uses the Big Data results to guide investment.

36 big data founder Liu Jinling told this reporter, big data directly into asset management products "very fly". She believes that big data is still in its development stage in China, but China lacks a big B2C full data product and lacks the innovative product that enables users to really feel the big data technology like the iPhone. "It is estimated that over 90% of enterprises in the future will carry out asset management through Sina's social media data and Baidu's search data."

The industry believes that big data from the Internet, the index algorithm Internet, future index fund sales will be carried out on the Internet, the fund industry may be fully into the Internet before other asset management companies.

Success depends on revenue

"Outperforming excess returns" is the biggest issue facing the fund. A fund industry insider said index funds have become tasteless, the long-term bear market in the A-share market has hurt the index fund.

These two innovative big data index can create miracles? An insider who understands the development process of Baidu Index said that the 100-Fa 100 Index uses big data mining to discover the value of investor financial behavior and capture changes in market hot spots in different periods. According to this change, the corresponding constituents are quickly adjusted, most of which In the case of a larger number of constituents to adjust, so that the index shares in the market changes in the process of changes in the investment opportunities in different sectors. According to the CSI index compilation calendar year, the fastest adjustment of constituent stocks 6 months, the adjustment range of not more than 10%.

In this regard, a fund industry in Shenzhen, said the change hands so fast, have not seen the opportunity to fully seize the Internet a lot of big data based on the retail behavior, retail investors like chasing sell, chasing hot spots, theme stocks, and hot spots Often two weeks to a month passed quickly, the stock price will fall rapidly. "However, we have to say that the Big Data Index reflects investor sentiment and mines useful information from the tedious search data. Indexing is also a smart project."

Lu Li, deputy director of the southern product development, told this reporter that the emotional indicators do change frequently, the higher the frequency of index adjustment, although the closer the market's real sentiment, but may also pay a certain exchange transaction costs and impact costs, There is an issue of index design. The different orientation of the index design will have a greater impact on the sample selection and frequency adjustment. At present, the liquidity in China's A-share market is not good. One-day trading volume is similar to the volume of the US S & P 500ETF. If the index stocks are adjusted more frequently, the transaction costs and the impact costs may be high.

"Simply from our design index, it is more inclined to take into account both the investment and trading functions, not just look at the frequency, we may be less persistent and not operational significance of the hot not to consider more investment and predictable hot spots "Luri said.

A fund company in South China quantitative Department believes that this thing looks beautiful, but the effect of Internet big data may not be as big as we imagine. "The use of big data in financial products is more suitable for proactive, arbitrage-based products."

Many companies consider pushing similar products

At present, Internet financial products are based on the balance of products sold in the balance. All these are the mutual funds. Therefore, the emergence of the above two indices has raised concerns in the industry. A number of fund companies said they will consider launching similar products under the right circumstances.

The South China fund company's quantitative department said: "It is still under observation period, we will push a similar index, but the product design may be different." Another fund company market analysis, "big data + Internet" The concept of contributing to the fund sales is expected to release the size of the two products should be considerable, but the follow-up investment management will test the fund manager.

In fact, GF Fund also believes that the 100-Fa 100 index is a common index because the fundamental properties of its index have not changed. The main difference lies in the Internet gene and quantitative models embedded in the traditional fundamentals index indexing process, This is an indexing method to explore and try. The difference between product design and other index funds has three main points: First of all, it is a product of Beta and Alpha, which are pegged to the average revenue of the market. In the future, the fund will run but will only run on GEM ; Second, this is a semi-active fund; Finally, the data provided by Baidu is actually the transaction before the decision-making data, not the decision-making data.