• Voleon: Transforming investment management with cutting-edge ML. The quant hedge fund was founded in 2007 by industry leaders.

• Combines rigorous data-driven techniques, academic research, scalability, and risk management for unparalleled innovation.

• Paving the way for a dynamic, tech-driven future in investments.


The way you play the game of Monopoly changes as you grow up. Initially, it's only about getting the best pawn (the dog pawn was my personal favorite). Then your preferences change and you want the money bag pawn. You start paying more attention to collecting those $200 when you pass and eventually, you start asking your parents what a mortgage actually means.

But once you actually grow up, and have mostly stopped playing all those board games and become a boring 9-5 person who works their butt off to get a decent-looking apartment; you realize that your life has become a never-ending game of Monopoly, or at least part of it has. There is constant competition and stake with each and every step you or your competitor takes.

Luck alone won't guarantee victory, it's going to take a lot of strategic planning to reach financial success. Living in this highly competitive world means that you are constantly on your toes.

Not only do you need to have an active means of earning, but you also need to earn passively as well. It's like when you have a garden. You regularly tend to the flower plants and take care of them and eventually, you see them bloom.

This can be seen as an active means of income, and then there are trees, you be patient with them, and over a long period of time, they'll grow and provide you with shade. That's your passive income.

You need both for a beautiful garden. Investing allows you to earn this passive income. For it to be fruitful, you need to manage it well. Investment management is the process of making decisions about investments.

It involves researching, selecting, and monitoring a portfolio of assets that match an investor's goals, risk profile, and timeframes. The Voleon Group helps you with this.

How is this any different?

The Voleon Group is committed to the development and deployment of cutting-edge technologies in investment management. They specialize in the application of rigorous data-driven techniques to financial markets, driven by their own innovations in machine learning.

This company is redefining the way investment management is done and boldly embracing the future by harnessing these technologies. With their forward-thinking approach, they are paving the way for a new era of financial strategies.

In this competitive environment, this is exactly what people require. Co-founded in 2007 by two leading scientists, Michael Karitonov and Jon McAuliffe, The Voleon Group combines an academic approach to research with an emphasis on scalability and risk management to deliver cutting-edge technology at the forefront of the finance industry.

Many of the company’s leaders and employees hold doctorates in statistics, computer science, and mathematics, among other quantitative disciplines. As we delve deeper into the workings of this company, it is imperative that we acknowledge and take an inside look into the driving forces behind this unconventional approach to investment management. Let's talk about the founders.

Founders

Dr. Kharitonov's career spans quantitative finance, scientific research, engineering, and general management. Prior to founding Voleon, Dr. Kharitonov was a founder, CEO, and Chairman of Netli Inc., a successful Silicon Valley startup that pioneered the development of Application Delivery Networks and was acquired in 2007 by Akamai Technologies.

His scientific contributions have earned a number of prestigious awards (including an ACM Best Paper award), primarily in the field of Machine Learning. He has contributed to the fields of Combinatorial Optimization and Cryptography as well. 

Dr. McAuliffe, on the other hand, has a substantial track record of successful innovation in applying statistical methods to real-life prediction problems, particularly in the financial markets. He was formerly a Vice President at D. E. Shaw & Co., where he researched, developed, and managed statistical arbitrage trading strategies.

Prior to joining Voleon, Dr. McAuliffe built recommender systems at Amazon.com, real-time click prediction rules at search-keyword portfolio manager Efficient Frontier, and genotype-calling algorithms at microarray maker Affymetrix.

He is widely published and served on the editorial board of The Journal of Machine Learning Research. He has served on the senior program committee for NeurIPS and ICML, the flagship annual machine learning conferences. 

Their vast experience and expertise seem to complement one another perfectly, paving the way for Voleon. They approach investment management through the prism of machine learning, in which flexible statistical models are applied to the problem of financial prediction.

Rather than having humans look at individual events within the marketplace, machine learning employs statistical algorithms capable of detecting persistent effects across large swaths of data. 

Let’s understand what exactly they do, and how they do it.

Machine learning is a branch of artificial intelligence (AI) and computer science that focuses on the use of data and algorithms to imitate the way that humans learn, gradually improving its accuracy.

Think of it this way, it is like having an amazing helper and assistant, who continuously learns and evolves by analyzing data, finding patterns, and making predictions based on it.

Besides financial markets, there is a wide array of other real-life applications for machine learning, from medical diagnosis to weather prediction. In short, the California-based private company is a quantitative hedge fund that focuses on providing management advice, acquiring, or financial prediction; while also specializing in the field of machine learning and more. The company currently has 125 employees with an annual revenue of $4.8M

Competitors

The Voleon Group competitors include Atalaya Capital Management, a privately held, SEC-registered alternative investment advisory firm that focuses primarily on making private credit and special opportunities investments, and InterWest Insurance Services,  a full-service insurance brokerage providing commercial, employee benefits, surety, and personal insurance solutions.

What sets Voleon apart from most quantitative fund firms is their sole focus on the machine learning approach. Their visionary mindset and commitment to staying at the forefront of advancements make them the trailblazers in the industry, leading the change toward a more dynamic and technology-driven future of investment management.

They are committed to exemplary performance in all aspects of our research and operations while maintaining a culture of intellectual curiosity and flexibility. They are going to help you collect your profits every time life throws a “go” at you. Get ready, because this game of Monopoly is going to be the longest one you've ever played.


Edited by Shruti Thapa