I don’t want to beat these guys up too much, but I blundered onto the web site for Proteom Capital and I suddenly felt like I was thrust into a Philip K. Dick short-story. I love buzzwords – no doubt. I sprinkle them into the posts here and other places way too often. This is, of course, aweful – because I have become that which I hate. So, back to Proteom Capital’s web page. Proteom runs several private equity funds, which means you have to be an accredited investor to get in on the action. The buzzword intensive copy made me wonder – which came first? The buzzwords or the business model?
“Genetic algorithms, neural networks and computer clusters — the basis for new decisions.”
From the front page of Proteom’s site, these technologies are near and dear to my heart – but don’t really mean that these techniques are better decision makers. No matter how good they are, the human can be the weak link – or the salvation.
“Using the power of computational biology to navigate financial markets”
And they go on to explain that “Proteom creates high performance securities portfolios with a rare combination of algorithms, hardware, and software tools derived from computational biology.”
What it really comes down to is fund performance – no matter how much computational biology you throw at a problem. What I see looks okay, but does not seem to reflect the generation-leaping technology they describe.
At least they left out references to Swarm Intelligence and Fractal algorithms.