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Formerly Guiding Assets, Enterprising Investor is the flagship podcast of CFA Institute and the definitive program for the investment management industry. As stewards of the investment industry, Guiding Assets will feature intimate conversations with some of the most influential people from the world of finance about the topics that matter most to investment professionals. The show will also share crucial insights and best practices to help guide investors to make smart, ethical decisions. Enterprising Investor will continue to help build a better world for investors.

Host: Mike Wallberg, CFA

Producer: Mitchell Forst 

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  2. Truth vs Lies: Using Text-Based Analysis to Detect Deception

Truth vs Lies: Using Text-Based Analysis to Detect Deception

Apr 21, 2021

Jason Voss, CFA, CEO of Active Investment Management Consulting, explains why body language does not work for detecting deception and how Deception and Trust Analysis, or D.A.T.A., a computer-driven, text-based deception detection method, can save investment professionals time and resources.
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►Transcript: https://cfainst.is/3mhwqpG

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Topics discussed:
2:08 Do polygraphs work?
2:50 How Jason become interested in field of deception?
4:16 Why body language doesn’t work and the data behind it
5:41 What does work?
7:21 S.U.E and D.A.T.A.
9:06 Fraud versus deception
9:59 How the D.A.T.A. process works
13:54 Warcard database
15:15 Strong truth bias in the investment profession
17:55 Real-world applications for D.A.T.A for analysts and investors
20:02 GameStop and short-sellers
22:07 Closing questions
One positive long-term impact as result from the pandemic
One item you would bring on a long NASA flight
Flight or invisibility
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Related articles and links:

Article: Financial Analysis and the Art of Lie and Fraud Detection
https://www.institutionalinvestor.com/article/b14zbb72nrxsjw/financial-analysis-and-the-art-of-lie-and-fraud-detection

Brief: Detecting Lies in the Financial Industry: A Survey of Investment Professionals' Beliefs
https://www.cfainstitute.org/en/research/cfa-digest/2016/01/detecting-lies-in-the-financial-industry-a-survey-of-investment-professionals-beliefs-digest-

Book: Lie Detection Guide: Theory and Practice for Investment Professionals
https://www.amazon.com/Lie-Detection-Guide-Investment-Professionals/dp/1942713355

The Secret Life of Pronouns by James W. Pennebaker
https://www.secretlifeofpronouns.com/

Enterprising Investor article: Fraud and Deception Detection: Text-Based Analysis https://blogs.cfainstitute.org/investor/2021/02/15/fraud-and-deception-detection-text-based-analysis/

Deception and Truth Analysis homepage: https://deceptionandtruthanalysis.com/

Jason’s most listened-to song: link to Johnny Osbourne's "Murderer”
https://www.youtube.com/watch?v=fZzcV07D19w

CFA Institute members and charterholders Professional Learning Tracker https://cpd.cfainstitute.org/
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Find Jason here:
LinkedIn: https://www.linkedin.com/in/jasonapollovoss
Twitter: https://twitter.com/theintuitinvest?lang=en

Find Lauren here:

LinkedIn: https://www.linkedin.com/in/lauren- foster/
Twitter: https://twitter.com/laurenfosternyc