According to a 2011 IDC Digital Universe study sponsored by EMC, the amount of global data generated annually is doubling every two years and was expected to top 1.8 trillion gigabytes in 2011. That’s a lot of information. The real trick is to turn that information into intelligence.
Our new partner company, Lumesis, is conquering this challenge in the fixed income market by providing investors with the tools to analyze this big data to better evaluate municipal bonds. Lumesis aggregates comprehensive economic and demographic data―130 data points from 30 sources―to addresses the lack of reliable intelligence in the municipal bond market. Their various tools help professional municipal fixed income investors identify risks, recognize opportunities, and enhance decision-making.
Traditionally, data on the financial health of muni bonds only intermittently trickled out of municipalities. And even though the SEC is increasing disclosure requirements for muni bonds, analysts looking to accurately assess the value of their portfolios need to ferret out data about a municipality’s demographics, economics, finances, and politics. Lumesis’ products fill this gap in a large and growing market.
Lumesis’ DIVER (Demographic Information Visualization for Economic Research) offers analysts an interactive, web-based research tool that provides visualization, analytics, and notifications. Users can review their entire portfolio or a single bond, and heat maps give data a geographical perspective.
Lumesis illustrates the power of harnessing big data by increasing transparency, driving productivity, and improving decision-making throughout the municipal bond market.
Safeguard led Series A financing of $2.5 million for Lumesis, which will use the proceeds to develop products, commercialize, and enhance sales and marketing. The Lumesis financing has garnered attention over the past couple of days at Fortune, The Bond Buyer, Philadelphia Business Journal, FinSMEs, The Street, PEHub, and naturally, the Lumesis blog.