Pravin Lal

Founder and CEO

Capital Quant Solutions

Capital Quant Solutions (CQS) is a boutique firm focused on offering cognitive automation solutions to the financial services industry. CQS offers FinStinct as a solution which uses machine learning & natural language processing tech for addressing the problem of text based information overload for banks and financial institutions.

Over the last decade the financial services sector has experienced an explosive growth in the amount of documents and text that are both produced and/or consumed by this industry. These are complex documents such as the annual reports of companies, research reports, news etc. The analysts in all functions rely on manually reading these documents, extracting relevant information and analysing the same. Obviously this manual consumption creates bandwidth constraints and is error prone. Traditional approach has been to hire more analysts as the business grows. CQS is solving this problem for cross functional domains within the financial services industry. FinStinct addresses the challenge of extracting and analysing information from a tsunami of documents.

FinStinct uses the power of machine learning and NLP techniques to solve this problem. FinStinct’s extraction engine pulls out relevant information from a document and makes it available for analysis. Insights are generated depending on the type of data and the kind of insights that the analyst would value. We believe that the real power of this technology can be maximized by combining the human intelligence with artificial intelligence. FinStinct covers the entire 9 yards starting from financial documents to decision making.

The problem of information overload from a deluge of documents is there in all divisions/functions within the financial services firm. From equity markets, credit risk, trade, treasury, Legal etc. all functions require people to manually read through these complex documents.

FinStinct currently offers NewsHub, ResearchHub and the FSHub as three modules. There are other modules which are in our roadmap such as the EconomicHub, AnnouncementsHub, LegalHub and CallTranscriptHub.

NewsHub is being used both by the equity market participants and the credit risk teams. This is used for tracking, analysing and classifying news on both listed and unlisted companies. NewsHub also provides an intelligent news summary which is de-duplicated and is relevant for the organization/functional domain.

ResearchHub is primarily used by the buy side analysts to extract and analyse meaningful information from research reports. For instance, ResearchHub has the ability to generate consolidated risk reports on a company for a quarter. This is created from multiple underlying reports.

FSHub (Financial Statement Hub) extracts balance sheet and P&L from the annual reports of companies. This is then standardized for credit analysts to process the spreads.