Forecasting is important in finance, as it helps investors, analysts, and institutions make informed decisions under uncertainty. Up to now, most forecasting techniques have relied on traditional time series methods, such as ARIMA, GARCH, and exponential smoothing. However, with recent advancements in machine learning and artificial intelligence, these technologies have …

Thanks to the advancement in computing technologies, we’re seeing more widespread use of machine learning, especially deep learning, in the financial services sector. It’s no longer just a theoretical tool; it’s showing up in everything from credit risk models to algorithmic trading strategies. Reference provides a comprehensive review of …

A covered call ETF is an exchange-traded fund that employs a covered call strategy to generate income while maintaining exposure to the underlying assets. This strategy involves holding a portfolio of stocks and selling (or “writing”) call options on those stocks to collect option premiums. Covered call ETFs are particularly …

Since the introduction of ChatGPT, numerous quantitative traders and portfolio managers have been intrigued by the potential of utilizing it to develop quantitative and algorithmic trading systems. The field of quantitative finance has been abuzz with excitement and speculation about the capabilities of ChatGPT. However, amidst the hype, it is …

In the financial industry, data plays a critical role in enabling managers to make informed decisions and manage risk effectively. Financial data can come from a wide range of sources, including economic indicators, company financial statements, market data, customer transaction histories, and social media sentiment. By analyzing this data, financial …

Artificial Intelligence (AI) and Machine Learning (ML) are two rapidly growing fields that have revolutionized the way we process and analyze data. AI refers to the development of computer systems that can perform tasks that typically require human intelligence, such as visual perception, speech recognition, decision-making, and natural language processing. …

Machine Learning (ML) is a type of Artificial Intelligence (AI) that provides computers with the ability to learn without being explicitly programmed. It focuses on the development of computer programs that can access data and use it to learn for themselves. The process of learning begins with observations or data, …

Data science and machine learning have made great progress in the past few years. They are being applied successfully in many areas such as computer vision, natural language processing, and predictive analytics. In the financial market, however, there are still many uncertainties and risks that the new technology cannot predict. …

Genetic algorithm (GA) is a search heuristic that is inspired by Charles Darwin’s theory of natural selection. This algorithm mimics the process of natural selection in order to find optimal solutions to a given problem. GA has been used in various fields such as engineering, economics, and finance. In the …

Quantitative finance and machine learning are two of the most important fields in modern finance. Both disciplines are essential for predicting future trends and making sound investment decisions. However, few people know how to combine the two fields for maximum impact. In this blog post, we will discuss how to …