Financial Data Licensing Arbitrage

Jesse proposes creating a financial data arbitrage business by licensing existing platform data (like Triple Whale's ecommerce data) and selling it exclusively to hedge funds. The business leverages hedge funds' willingness to pay premium prices for valuable market insights.

Key Points:

• Data Source and Collection:

  • License aggregated data from existing platforms (e.g., Triple Whale)
  • Target to get access to $5B+ in Meta/Facebook spend data
  • Create detailed quarterly surveys about spending patterns and market sentiment

• Business Model:

  • Sell exclusive access to hedge funds
  • Charge $50,000 per quarter with 2-year subscription commitment
  • Limit access to only 20 hedge funds
  • Use reverse auction to make funds bid against each other

• Value Proposition:

  • Provide real-time aggregated data feeds
  • Share metrics like CPM, CTR, and other platform-specific data
  • Offer exclusive insights that funds can use for trading decisions

• Strategy:

  • Start with Meta/Facebook data
  • Expand to Google, Amazon, and other platforms
  • Create scarcity by limiting number of subscribers
  • Leverage hedge funds' non-price sensitivity for valuable data

• Key Advantage:

  • Hedge funds will pay premium prices for exclusive access
  • They value data that could influence trading decisions
  • Limited distribution increases value proposition