Matthew Granade
1 appearance on the record.
computed by AI from the episodes · how this works → · full disclaimer →
22statements → 6claims → 2claims resolved → 3.64/5average certainty → 1.91/5average debate potential → ≈4.5/5argument clarity, estimated →
2 supported 0 partly supported 0 contradicted 4 not checkable as stated how the 6 claims stand · each chip opens the sources
3 predictions · 3 assertions · 4 opinions · 8 insights · 4 disclosures · every statement was checked. The predictions and assertions are the 6 claims: statements the public record can support or contradict. 2 are resolved, and 4 name no date, number or outcome precise enough to check. Everything else (opinions, insights, what ifs, disclosures) can never be settled by the record, so it carries no assessment.
The record, in short
What the tape says about how Matthew argues and how the claims held up. Everything they said, and everything said about them, is in the tabs below.
Expressed certainty vs assessment result
weighted support: a fully supported claim counts one, a partly supported claim counts half. Each filled bar is clickable and opens exactly those claims; "none yet" means nothing said at that certainty level has resolved yet
How they sound: not measured why? →
We measure speaking style by listening to the audio itself, and a fair number needs at least 2,000 words from one person on tape we have measured. There is too little of Matthew Granade on measured tape to publish a rate. This says nothing about how they speak.
Everything Matthew Granade said on Capital Allocators that made the record, most notable first. Filter by type, assessment or year in the ledger →
Granade: Alternative data edge comes from team collaboration, not raw data sources
“And I actually tend to think it has very little to do with the data sources itself or the information. It's the competitive advantage you're looking for is the ability to integrate across your investors with your data scientist, with the people who are sourcin…”
Sub-scale hedge funds cannot compete with large platforms on alternative data
“I think in some sectors, it's almost impossible to trade the sector without a lot of the data inputs. It ties a little bit to one of the trends you see in the industry overall, which is, I think the strength of the platforms and the power of the platforms. And…”
Granade: Fintech disruptors struggle economically without incumbent bank advantages
“Mostly what those companies are is they have a tech advantage, but they don't have access to customer advantage, and they don't have any sort of cost of capital advantage like a bank does and things like that, and so they've built technologies that people like…”
Venture capital will become significantly more model-driven over the next five years
“I think that five years, I think that'll get challenged over the next five years. I think people will become more, more model driven, more data driven, more rigorous about that.”
Many investment research teams operate chaotically like five-year-old soccer games
“And some level it sounds very basic, but a lot of research teams don't run with a lot of structure. They run more like a five-year-old soccer game to kind of way, you know, everybody chases the ball”
Granade found Bridgewater's radical transparency and aggressive culture simple and uncontroversial
“It never struck me as that weird or strange or all the headlines that kind of get produced about it or whatever. I mean, the fundamental tenants of set strong, aggressive goals, be transparent, be honest with each other. Like in my mind, they're not particular…”
Steve Cohen attributes Point72's longevity to completely rebuilding it three times
“I still remember the very first time I met him, my first question to him was, I said, you have built a more enduring hedge fund than almost anyone else, right? I mean, there's five or six people like that. Why do you think that is? And he said, because I burne…”
Top researchers' time is the primary bottleneck in investment research
“One of the great bottlenecks in research is the time of
The most important and most creative researchers.”
Quant hedge fund modeling techniques will spread to diverse industries
“And one of the thoughts we had was that this idea that had been pioneered at Renaissance, and Bridgewater, and D. Shaw, Was really going to probably explode across a much wider range of industries. And if that was going to happen, they were going to need a dif…”
Discretionary and systematic investing have historically been kept too far apart
“The world of discretionary investing and the world of systematic investing has been kept too far apart. At some point, discretionary investing has obviously gone on for a very long time. Quantum investing rose up, but it sort of took its own path, but that eac…”
Humans excel at scarce data and intuition, computers at scale and repetition
“When our thesis is that humans are particularly good at the creativity required for idea generation, good at working off of thin data or very scarce data, good at defining and refining goals, knowing what questions to ask, seeing the big picture and how things…”
Granade: Thesis-driven domain expert venture investing produces better returns
“They have strong theses and views about how companies are going to get built and how money is going to get made, and that really drives our process, and I think it produces a better approach to investing, meaning like I think it produces better returns.”
The line between financial services and consumer experiences will increasingly blur
“Globally, we also have a thesis that is that around this idea that the distinction between financial services and Other consumer experiences, that border is going to blur.”
Granade: More firms will invest across both public and private markets
“I think you'll see more firms investing across the capital structure. So doing public markets and pre IPO and venture”
Granade: Tesla and US Intelligence Were Early Domino Data Lab Customers
“So like Tesla was one of our first customers, parts of the U S intelligence community. We had a relationship with In-Q-Tel started using it”
Hedge funds must constantly reinvent operations as profitable strategies decay quickly
“What is today is not what's going to be profitable tomorrow. And you have to constantly be changing the business.”
Granade: Point72 Employs Web Scraping, Physical Collection, and Data Science
“We do stuff on supply chain. We do physical collection. We do data science. We do web scraping. We do a very wide variety of stuff.”
Point72 uses credit card, email receipt, and app download data for research
“And so, by the way, to answer something like that, we use credit card, we use email receipt, we use app downloads. We're using a lot of different things to then sort of bring them back a really good answer.”
Point72 has new PMs spend six to nine months non-trading before running capital
“We have a program called the nines program where people join to become PMs and they have some period of time, six to nine months where They're not trading money. They're building their process. And we invest a lot during that time. They're always experienced i…”
Granade: About 80% of Netflix Consumption Is Driven by Recommendation Engine
“And the statistic that I always love is something like 80% of content consumption on Netflix platform is driven by the recommendation engine, which is kind of a staggering statistic.”
Granade: Point72 Acquired an MSSP to Expand Margins via Software Automation
“We got a technology team together that built automation software for some of those first level tasks. And then we bought an MSSP for the data and the customers. We're basically expanding their margins as a result of that effort.”
Appearances (1)
| Episode | Date | Speaking time |
|---|---|---|
| Matthew Granade – Inside Data Science at Point72 (First Meeting, EP.22) | Aug 3, 2020 | 36m |