How to Optimize Your Process to Be More Capital Efficient

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Newmariah: Data is the input to all the models. If we give out bad data, it just simply won't work. We have a system that works from an incentive design standpoint. Let's make sure we grow the data and the people talent. The final one is optimization. It's a very subtle thing. Maybe if you take your feature exposure down to zero, you're spending a little bit too much trading costs on the rebalancing trades. Could you maybe soften that without taking on more risk? And there's so many considerations with that as well. But the core is more data, more users.

Richard Craib is the Founder & CEO of Numerai, a new kind of hedge fund where data scientists around the world collaborate to predict equity returns using artificial intelligence. Richard joins the show to discuss Numerai’s origins, how it embraces the spirit of open source, why it has its own cryptocurrency and MUCH more! Important Links:

Show Notes:

The genesis of Numerai
How and why Numerai gives away its dataset
Getting users to put skin in the game
How Numerai scores users; becoming comfortable with the process
Size limits & leverage
Reactions to Numerai
Numerai’s cryptocurrency
How Numerai differs from Quantopian
Data, optimization & LLMs
“Monopolize intelligence, monopolize data, monopolize money, and decentralize the monopoly”
What could go wrong?
Numerai’s relationship with its data scientists
Could Numerai’s model work in any other industries?
What could go wrong?
“Life is long”
MORE!