Beyond Words: Helios’ Generative AI for Wall Street Proven by Wolfe Research

Helios’ tonal data carries more weight in conveying emotions than NLP providing a more comprehensive view of human communication.

NEW YORK, July 26, 2023 - Pioneer in voice-based tonal analysis, Helios Life Enterprises, is the topic of interest in a recent research piece by Wolfe Research – premier equity research firm. Wolfe analyzed Helios’ alternative data to explore the novel insights garnered from audio-based speech analysis of earnings calls to predict future company performance. With a team of expert analysts, Wolfe covers 600+ companies across 81 different industries.The firm is known for macro research, quantitative analysis and more.

“The Wolfe research is a concise and complete proof statement for the value of Helios’ voice-based tonal analysis applied to company earnings calls,” said Helios’ Head of Research, David Pope. “The 'Leaders Voice' starts with the value proposition of employing audio analysis.  Wolfe then provides a primer audio analysis, assuming no prior knowledge.  Their paper concludes with the impact on future stock returns supported by empirical analysis.  The 'Leaders Voice' is a must read for all who are interested in company earnings calls."

Through their quantitative analysis in, 'The Leader’s Voice,' Wolfe confirmed that speech analysis - such as Helios’ - is complementary to NLP sentiment analysis. NLP (Natural Language Processing) technology has been around for more than 15 years and continues to advance in complexity; as a result, executives are often coached and messages scripted to avoid blatant red flags that NLP technology can pick up on. While words can be carefully chosen, it is nearly impossible to hide emotions revealed in the tone of voice. By layering in tonal analysis we begin to understand the information a speaker chooses to share versus what they choose to conceal.

Wolfe’s research delves into several different acoustic features of human speech – pitch, harmony, loudness, duration, prosody, tonality, impulsiveness, noisiness, sound uniformity, spectral imbalance. The paper confirms that Helios’ varied speech signals are markedly different from one another, providing a comprehensive picture of communication during earnings calls.

For the first time, investors glean unique insights from the underlying emotions of earnings calls – the confidence, the tension, the excitement. This is a new dimension of analysis that gives investors an edge. The Helios model doesn't just sound cool, it actually works. In testing, it achieved an impressive Information Coefficient (IC), a measure of predictive power that well exceeds traditional valuation and momentum strategies..

Using cutting-edge technology, Helios has pioneered a way to analyze the unique features of speech from earnings calls and correlate them with future stock performance. It is like reading between the lines but on a whole new level. Tone is the number one passive indicator of what someone is thinking and accounts for nearly 40% of human communication while only 7% is attributed to word choice. Voices tell stories, weaving intricate narratives that often elude the human ear.

These subtle tells, conveyed through the interplay of vocal elements, add depth and richness to human communication, granting us a deeper understanding of the complex tapestry of human expression. By harnessing the power of voice-based tonal analysis, we unlock the ability to decode these unspoken narratives, opening doors to unprecedented insights, empathy, and connection.

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About Helios Life Enterprises

Helios Life Enterprises (HLE) is a pioneer in voice-based tonal analysis. HLE is the first and currently only company to conceive and devise a widely available data platform that delivers systematic analytics of an executive’s voice during critical corporate events. These analytics provide novel information that is useful for predicting future earnings surprises, company performance, and cumulative abnormal returns in the context of M&A events. Core product offerings include: the Comprehend product suite for buy-side investors of all sizes and in limited pilot Mercury; a scaled research and audio analytics platform that allows a firm to extract full tonal value from their own proprietary audio.

For more information or to request a demonstration, please visit: https://www.helioslife.enterprises/.

About Wolfe Research

Wolfe Research, LLC is a premier independent sell-side research firm with a commitment to best-in-class content and ongoing strategic growth. We produce the most objective and distinguished research across our covered sectors, and deliver our services with intense care and specificity to each of our institutional clients. We strive for excellence in every facet of our business, and we will continue to differentiate ourselves by maintaining the highest standards for effort, client service, thoughtfulness, and integrity. Wolfe remains committed to providing a home for the top-ranked, most innovative and inspired analysts and sales people, and places significant emphasis and resources on mentoring talent.

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BUSINESS CONTACT

Zeynep Yenisey

Director of Marketing

zeynep@helioslife.enterprises

518-212-7163