Quant AI Picks Stocks Better Than Humans 446
Mr_Blank writes with this excerpt from an article at MIT's Technology Review:
"The ability to predict the stock market is, as any Wall Street quantitative trader (or quant) will tell you, a license to print money. So it should be of no small interest to anyone who likes money that a new system that works in a radically different way than previous automated trading schemes appears to be able to beat Wall Street's best quantitative mutual funds at their own game. It's called the Arizona Financial Text system, or AZFinText, and it works by ingesting large quantities of financial news stories (in initial tests, from Yahoo Finance) along with minute-by-minute stock price data, and then using the former to figure out how to predict the latter. Then it buys, or shorts, every stock it believes will move more than 1% of its current price in the next 20 minutes — and it never holds a stock for longer."
Fantastic (Score:3, Funny)
Re:Fantastic (Score:5, Funny)
Re:and it never holds a stock for longer (Score:5, Funny)
It's a bot.
I wonder if wallstreet will take Blizzard's approach.
But me, I'm using it. I'll finally be able to get that +5 Ferrari of Laiding I've been lusting after.
Re:Bullshit (Score:5, Funny)
>The free market is better than anything else
Citation required.
As "they" say in the City : (Score:5, Funny)
You know what a long term investment is ? a short term investment that failed...
Fiat money (Score:4, Funny)
Also not as an argument but just a note: the term you are looking for is Fiat money, paper money originally was just a reciept for gold and you can have fiat coinage as well.
"Fiat money"? Now that's interesting. If we had a monetary system where each unit was worth, say, 1/10000 of the cost of manufacturing an automobile, what impact might that have?