ESG event category – AT&T case study
AT&T ($T) has suffered a data breach that compromised some details of about 3% of its total 77 million users or about 2 million customers which the personal information of millions of its users, including phone numbers, e-mail addresses, and account numbers, were exposed to hackers.
This type of event classified as ESG category which has implications on the stocks price more and more in recent years. recent studies show that there is an increasing usage of ESG event monitoring by the large institutional investors and it will be a mandatory factor in the investment and risk decision making.
The key challenge with the ESG category is the capture the events especially the Social sub-category as you need to have a classifier to distinguish between natural text and the events that are found within the text or in the headline.
AT&T ($T) suffer tremendously from this event with a 5% decrease on the share price from the event date until today.
From the AT&T chart, we can see that only three days after the initial announcement the stock price change direction and fall down 4 consistently trading days. Companies that used event monitoring systems got the opportunity to react or mitigate the risk to this event and act accordingly.
Here is an example of how event monitoring captured the trend before and after the announcement:
(event-driven score is scaled between 0-1 where bellow 0.5 points to a bearish event-driven score based on events during the filtered period, above 0.5 points to bullish event-driven score) clicking here to trial our system
From this dashboard, we can see how the event tracking methodology was able to track the stock price change based on the events that took place during Aug 2018. From this example, we can see how the ESG event category impacts the stock price and how event extracting and monitoring can track the price movements and react to new events.
Another advantage of monitoring ESG event category and others is found in the risk monitoring practice where companies that suffer from the same bearish scoring event category, tend to be more exposed to volatility than others.
Capture alpha using event-driven scoring presented on a visual analytics system
Using big data and NLP technologies to capture alpha by collecting, structure and reveal events from news articles, press releases, and financial social media. Our data is presenting on visually compelling, interactive dashboards on your PC and mobile.
Using a hybrid model to provide high accuracy of data classification, context, and sources to ensure maximum value for our clients. Generating events scoring based on novelty, the position of the event, (header or news body), the event scoring index and the repetition of the event in the media.
Financial reports related events, M&A, new deals, partnerships, ESG, regulatory decisions, management change, expansions, new products, FDA decisions, macroeconomics and more…..
Cover press releases, news stories, and financial social media on companies, currencies, commodities, central banks, cryptocurrencies, macroeconomics and ETF’s 24/7.
Our data is presenting on easy to use interactive dashboards on the web or on your phone, get alerts when data changes, and drill into details. Alpha is at your fingertips.
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