Online trading platform taps Twitter for market sentiment
Through DCM Dealer, investors can monitor the sentiment across social media platforms to help inform their financial decisions.
28th January 2013
Back when we first covered Derwent Capital Markets
, the startup was hoping to create a hedge fund that relied on Twitter and Facebook posts to measure market sentiment. The company has now changed tack and is pushing forward with a new product – DCM Dealer
– an online spread betting and contract for difference trading platform which integrates its social media sentiment analysis.
According to reports, DCM closed its Absolute Return fund after one month due to a difficult climate, despite returning 1.86 percent on its shares. Aiming its new product at day traders, the company offers live news feeds, real-time profit and loss figures and advanced charts to help analyze performance. The new platform has also integrated the social media sentiment analysis from its previous effort and users can set up alerts for the areas or companies they are interested in, sent via email or text message. DCM also hopes to make its Dealer system available as a smartphone app in the near future.
People are always sharing their opinions on social networks and DCM Dealer makes accessing stock market sentiments easier for investors. Are there other industries that could benefit from a similar social system?