Quant Insight Raises £2.4M to Bring Macro Data Analytics to Professional Investors

April 9, 2024

Quant Insight Raises £2.4M to Bring Macro Data Analytics to Professional Investors
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Quant Insight, a London-based financial analytics company, has raised £2.4 million to expand its data visualisation and analytics platform for professional investors. The company has built a web-based tool that uses a proprietary quantitative model to decompose the price movements of securities across equities, rates, FX, credit, and commodities into their underlying macroeconomic drivers — showing professional investors and portfolio managers which macro factors are currently explaining how a given asset is behaving, and how much of the price action can be attributed to each.

The problem Quant Insight addresses is a familiar one for investment professionals: the gap between what macro analysis tells you about the world and how that analysis translates into understanding price behaviour. A fund manager might have high conviction about the direction of interest rates, inflation expectations, or growth forecasts, but translating that macro view into specific asset selection requires understanding which securities are actually sensitive to those factors at any given moment — a relationship that changes continuously as market regimes shift. Historically, this kind of analysis has been the province of large banks and asset managers with proprietary quantitative research teams. Quant Insight makes it available through a self-service platform.

The platform's outputs help portfolio managers answer questions like: is this equity's current price behaviour being driven primarily by inflation sensitivity or growth expectations? Has a stock's sensitivity to a particular macro factor changed significantly in the last quarter? Which assets within a universe have the highest or lowest exposure to a macro risk that the manager is trying to hedge? This kind of systematic, data-driven macro analysis supports better-informed investment decisions without requiring users to build and maintain complex quantitative models themselves.

The funding will be used to expand the platform's asset coverage, develop new analytical features, and build out the company's commercial team to grow its user base among professional investors, asset managers, and financial institutions across the UK and internationally.

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