the evolution of social finance

The Evolution of Social FinanceIncentives, identity, open vs. closed systems, structured and unstructured data

In the old days, information would flow through the pitIn the old days information would flow through the pit

Then everyone went upstairs....Then everyone went upstairs....

....to sit behind their computers...to sit behind their computers

TheStreet.comBloomberg

TheStreet.comTheStreet.com

Yahoo Finance Message Boards

BlogsBlogs

Motley Fool CapsMotley Fool Caps

Seeking AlphaSeekingAlpha

SumZeroSumZero

TwitterTwitter

StockTwitsStockTwits

EstimizeEstimize

2,400+ buy side and independent analysts2,400 buy side and independent analysts

Estimize data used for algorithmic trading and front end analyticsBlack box trading and front end analytics

Marbles in a jar and needles in the haystackMarbles in a jar / Needles in the haystack

Agnostic towards identitiesAgnostic towards identities

Slicing and dicing based on corpusSlicing and dicing based on corpus

Layers of dataLayers of data

Sort and FilterSort and filter

Save filters, get alertedSave filters, get alerted

Select Consensus (weighted average)Select consensus (weighted average)

Q1 2013 stats

IncentivesWhy do we share and what are the incentive structures that drive social finance?

Ego

Feedback

The system

Build reputation and career

Measure up

Talk your book

Gain access

IdentityFrom complete anonymity to full transparency, how and when does identity matter?

Fully Transparent

Completely Anonymous

Real name, structured bio

Username, structured bio

Username, structured bio

Real name

Real name

Username

Username

Username

Username

Open vs. closed systemsStructuring access to read and publish, curation, and exclusivity.

Closed

Open

Give to get, buy side only to contribute and read

Reliability algo, manual curation

Algo and manual filtering

Invite only to contribute

Invite only to contribute, anyone comments, little curation

Costs $2,200/month

Free-for-all

Free-for-all

Free-for-all

Structured and unstructured dataInputs, outputs, and uses of content and data.

Unstructured

Structured

140 characters, tickers, bullish/bearish, chart, video

Text

Text, price target, expected return, writeup quality, tickers

Outperform/underperform, time frame, ticker, limits, text

EPS estimate, revenue estimate, quarter, ticker, text

140 characters

Text, post tagged with tickers

Text, post tagged with tickers

Text, posted on ticker board

The social finance gravity well

Leigh DrogenFounder and CEO

Leigh@estimize.com

(914) - 582 - 1295

WeWork Labs, 175 Varick Street 4th FloorNew York, NY 10014