Public markets have become boring because there is so much information available to both buyers and sellers, says Damian Kimmelman, CEO of DueDil, speaking at Wired Money.
“The difference between what I offer my security for and what somebody wants to purchase it for is next to zero. There is so much information out there on both sides, so much efficiency and so much opportunity,” he explained.
This is why DueDil is focussing on digging out information about private companies, which make up 99 percent of businesses and represent 50 percent of GDP across developed markets. “There is huge friction in these markets,” he said, mentioning the 250 billion euro shortfall in lending to small and medium sized businesses as well as a huge amount of misallocated loans — where companies default in the first year.
DueDil aims to bring order to the disorder, by bringing together different datasets that are locked up in silos — with government agencies, with the companies themselves, in other online repositories. “It needs organising,” he said.
“DueDil’s mission is to organise the world’s private company information. Realistically my aim in life is to make private business more boring. Boring is not bad.”
DueDil has more than 35 million companies in its database, but Kimmelman is keen to point out that “data is not the most valuable thing”.
“It’s the information and insight that is achieved from that data. To get that you need context. To make data into information you need to make it searchable, discoverable, contextualise it, map it and make it accessible. To turn it into insight need analytical algorithms to speculate on top of it.”
Source: Wired.co.uk
