The scheduling of corporate events such as earnings release dates can point to significant, untapped sources of alpha, as firm-initiated revisions to expected earnings announcement dates are strong predictors of firms’ upcoming earnings news.
Looking for accurate, comprehensive event data to stay on top of volatility? Wall Street Horizon has the unique tools and the research to support the importance of corporate events relative to volatility.
With the strong comeback of the biotech sector in 2017, now is as good a time as any to consider the corporate event data that can affect volatility. Although event data can range from FDA drug approval dates and FDA Advisory Committee meetings to investor conferences and analyst days, in this post, I’d like to focus on FDA drug approval dates.
Conducted in August 2017, the survey polled over 100 institutional market participants, nearly two-thirds of whom were quantitative or discretionary fund managers. Download the full report of the results which reinforce that corporate events and tracking their movement is critical to trading. Below are some key findings:
For 14 years, Wall Street Horizon has focused on providing accurate corporate event data – because we know that corporate events impact volatility. For example, recent independent academic studies have demonstrated that changes in earnings announcement dates can affect alpha.
Highlights of 2016 Wall Street Horizon research include:
Publicly traded companies are scrutinized more than ever today. Information about them is dissected and fed into investors’ models and trading strategies the instant it becomes available. When signals are detected, they trigger actions, often in microseconds. So having better information sooner is the name of the game.
Wall Street Horizon polled the investment community with a range of questions on corporate events. The results of the 2016 Corporate Event Research Survey reinforce that corporate events are critical to trading.
Download Full Report of the Results