Wall Street Horizon Blog

Barry L. Star

Recent Posts

Great Data – The Antidote to Speed and Volatility Stress

Posted by Barry L. Star on May 3, 2017 12:14:33 PM

Automated traders are in an elite club. Every day, they walk a high-stakes tightrope between the potential for big gains and big losses.  Whether you’re a market maker, volatility trader, or systematic trader, every day is like a poker tournament held at microsecond speeds.  

Read More

Great model? Stellar analytics? Not if your data's subpar.

Posted by Barry L. Star on Sep 20, 2016 2:08:58 PM

Solid Buildings Require Strong Foundations

It seems like every software vendor is in the analytics business these days.  This is especially true in the financial services space. Whether you're a quant, algo, hedge firm, prop trader, traditional asset manager, RIA, FA, or whatever, some vendor has a slick analytics app just for you.
Read More

Financial Data: How to Create a Great Product

Posted by Barry L. Star on Sep 29, 2015 2:39:00 PM

How does one create a great product?  As an old product guy like me can tell you - it’s quite simple: give clients what they ask for. 

Read More

Finding Alpha in Scheduling Earnings Announcements

Posted by Barry L. Star on Sep 30, 2014 10:59:00 AM

Information drives investing.  Those who are able to detect trading signals in the overall flow of corporate data — beyond the data everyone is looking at — hold a decisive advantage over those who do not.  The additional data to discern includes a public corporation’s scheduling and revision of an earnings announcement.  Professor Joshua Livnat, New York University, and Assistant Professor Li Zhang, Rutgers Business School, have recently released "Is There News in the Timing of Earnings Announcements?"  The authors find that the mere announcement of a scheduled earnings release date itself can be associated with significant abnormal returns if it either advances or delays the earnings announcement relative to prior expectations.

Read More

How to Generate Alpha with Earnings Date Revisions

Posted by Barry L. Star on Aug 19, 2014 11:01:00 AM

In his paper, "Time Will Tell: Information in the Timing of Scheduled  Earnings News", author Eric So, professor at MIT’s Sloan School of Management, finds that a firm’s initiated earnings date revisions can be used to predict that firm’s earning news.   Using Wall Street Horizon data as a primary source of the study, the author finds firms that advance their earnings dates performed better on average than those that delayed and did so by a significant margin. “Better” is defined as a greater earnings performance, higher returns and a greater Return on Assets when compared to their counterparts that delayed their announcements.

Read More

Turning Bear Friday into Bull Friday

Posted by Barry L. Star on Aug 8, 2014 1:28:00 PM

Traditionally it has been accepted that managers try to bury bad earnings reports by releasing them at three different times: after trading hours have closed for the day, on days when many other firms are reporting and on Fridays. The theory behind reporting in this way is that research has shown that the market is paying less attention during these times.

We can only process so much information at a time so it is easy to see why reporting at the same time as others is an effective strategy to bury disappointing earnings. After the market closes, analysts and traders may be unwinding from the day. While on Friday, perhaps traders are looking towards the weekend, which is one explanation why trading volume tends to be down on that day.
Read More

Subscribe to the Wall Street Horizon Blog

Enchilada™

Learn more about this online application that includes forward-looking and historical corporate events for 6,000 global equities.  Also available in Thomson Reuters Eikon!

Recent Posts