Master’s, Doctoral and Post-doctoral Fellows From HEC Montréal And Concordia Universities Develop Forward Bond Pricing Applying AI
Overbond Ltd., a fixed income capital markets fintech for AI predictive analytics, announces the opening of its Montréal-based R&D Labs as well as a partnership with HEC Montréal, Concordia University and the Institute for Data Valorization (IVADO). .
Overbond R&D Labs is a new member of the accelerator Fintech Station and larger venture community hub Espace CDPQ. R&D Labs will source one of the deepest vertical data stacks in the world for fixed income capital markets AI modeling, including traditional and alternative data sets. Overbond disclosed that R&D Labs will be staffed with more than 30 master’s, doctoral and post-doctoral fellows from HEC Montréal and Concordia University focusing on advanced AI applications for bond price forward, price momentum, liquidity scoring, fundamental analysis and modeling the shape of yield curves.
“Accurate prediction of bond prices with advanced AI is an important area of new research and applications in capital markets. We are pleased to partner with Overbond to provide opportunities for master's, doctoral, and post-doctoral fellows to be part of this exciting initiative,” said Cody Hyndman, Lead professor from Concordia University.
“The dynamism of Montréal’s financial markets and AI communities are allowing Montréal to attract cutting edge projects. We are pleased that Overbond has chosen Montreal as the home base for this advanced Financial AI initiative that will eventually staff more than 30 Quebec researchers” said Pierre Fitzgibbon, Minister of Economy and Innovation of Quebec.
“R&D Labs will be offering to our clients a sandbox environment for rapid prototyping. We will be exposing advanced models and AI capabilities to reduce development and research costs for our clients by at least 10 times,” said Vuk Magdelinic, Overbond CEO. The sandbox environment for rapid prototyping will be made available to Overbond clients as of September 2019. Data cleansing and normalization layer will be applied so that clients can start driving meaningful AI modeling results without lengthy data sourcing and data structuring IT integration projects.
Montréal International, Greater Montréal’s economic promotion agency, welcomes the arrival of this new AI player. “Quite a number of foreign companies are investing in the area. Our team has supported over 30 AI projects in the past two years, with investments totalling $500 million,” said Hubert Bolduc, President and CEO of Montréal International.
Investissement Québec, which works hard to attract new foreign investments to Québec and to support international subsidiaries established here so that they can continue to expand their activities locally, hailed Overbond’s investment project. “We’re delighted to welcome a player of Overbond’s calibre to Québec. The stability of Montréal’s financial ecosystem and the power of its network and pool of talent in artificial intelligence provide the perfect conditions for a company like Overbond to grow even faster,” said Guy LeBlanc, President and CEO of Investissement Québec.
All advanced algorithmic output such as bond price momentum recommendations, pre-trade ideas, pricing tension signals and buyer preference monitoring are made available to Overbond clients through its cloud-accessible platform for front-end visualizations. Overbond also offers bond pricing feeds via on-demand near-real-time API access.
Founded in 2015, Overbond is transforming how global investment banks, institutional investors, corporations and governments connect and access fixed income market through advanced AI analytics. Overbond’s fully-digital platform and suite of AI algorithms (COBI) eliminates inefficiencies, provides systematic price discovery and predictive analytics to all counterparties in fixed income market.
The company’s growing client base includes buy-side institutions with over $2 trillion of assets under management globally, across both passive and active strategies as well as regulatory reporting regimes. As well as global corporate and government issuers with more than $20 billion in outstanding bonds.
Overbond | Public Relations Director
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