Neudata Scores $600K Investment for Alt Data Vetting

Headquartered in New York, Neudata was formed in 2016 and offers a subscription-based platform that contains alternative datasets, metadata streams, and objective research. 

The company says its focus is on providing buy-side clients with vetted datasets from sources that are not commonly used and don’t appear on mainstream cloud platforms. The data is derived from 22 source categories, including fund flows, surveys and polls, satellite and aerial, and web and app tracking data. 

Neudata CEO Rado Lipuš says investors use alternative data for two fundamental reasons: to aid risk management, and for integration into alpha-generation platforms for systematic quantitative analysis. 

“The whole purpose of alternative data is to predict better, create model forecasts, and build models with better information. Alternative data can help firms be more accurate, do things differently, or fill in some data gaps. There are a lot of different angles. Investors want to make money on the data, or perhaps use it as a risk management tool,” says Lipuš. 

He declined to elaborate further on how the funding would be used, but indicated that it was allocated by a group consisting of previous investors, as well as new ones, that includes the founder of a hedge fund research and data business.