This is a ZE Global Tech Summit Recap Blog.
Fabio Kuhn presented Vortexa’s product, an aggregation of data representing waterborne energy cargo movements in real-time.
The data cover more than 110,000 cargoes every year, each with an average value of $16.5 million.
Insights into where these cargoes are headed, what products they are carrying, empowers real-time trading decisions. Combined with price data from around the world, it offers traders insights into where successful arbitrage opportunities exist and, in times of uncertainty, on alternative strategies.
Such granular interpretation is only possible with recent technological breakthroughs, Kuhn said.
The proliferation of satellites has been critical, Kuhn said, with ship tracking now being served by more than 147 satellites where a decade ago there were just three.
“But satellites cannot see through a ship; they cannot tell us what is inside.”
Companies like Vortexa are now able to leverage partnerships with brokers, inspection agents, agents, even governments, who decide to make available to the public some of this missing data.
Analyzing this data across different formats, using data engineering to bring it all together, still only generates half the picture, Kuhn said.
“That’s where data science comes to the fore. Learning the patterns across the data that is available, finding the very specific combination of factors and events in the physical world, and extrapolating to complete the picture, with a high level of accuracy.”
This is where domain expertise combined with data science really forms the most complete view of flows of energy, he added. It is, at its best, the scaling of the domain expertise, specialist knowledge that completes the objective of reliable information for clients’ decision-making.
Kuhn cautioned that the immense growth of raw data still needs human interpretation at critical points. “It is using our unique human ability to recognize larger patterns and events” that still matters.
“It’s a new world that is just starting: the window of opportunity to be able to use data at scale, to make decisions in the market.”
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