The use of predictive analytics in finance
Statistical and computational methods are being increasingly integrated into Decision Support Systems to aid management and help with strategic decisions. Researchers need to fully understand the use of such techniques in order to make predictions when using financial data. This paper therefore pres...
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| Format: | Article |
| Language: | English |
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KeAi Communications Co., Ltd.
2022-11-01
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| Series: | Journal of Finance and Data Science |
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| Online Access: | http://www.sciencedirect.com/science/article/pii/S2405918822000071 |
| _version_ | 1797204317863673856 |
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| author | Daniel Broby |
| author_facet | Daniel Broby |
| author_sort | Daniel Broby |
| collection | DOAJ |
| description | Statistical and computational methods are being increasingly integrated into Decision Support Systems to aid management and help with strategic decisions. Researchers need to fully understand the use of such techniques in order to make predictions when using financial data. This paper therefore presents a method based literature review focused on the predictive analytics domain. The study comprehensively covers classification, regression, clustering, association and time series models. It expands existing explanatory statistical modelling into the realm of computational modelling. The methods explored enable the prediction of the future through the analysis of financial time series and cross-sectional data that is collected, stored and processed in Information Systems. The output of such models allow financial managers and risk oversight professionals to achieve better outcomes. This review brings the various predictive analytic methods in finance together under one domain. |
| first_indexed | 2024-04-10T09:31:53Z |
| format | Article |
| id | doaj.art-5210810ba7024b76873e5a834d5e3859 |
| institution | Directory Open Access Journal |
| issn | 2405-9188 |
| language | English |
| last_indexed | 2024-04-24T08:33:19Z |
| publishDate | 2022-11-01 |
| publisher | KeAi Communications Co., Ltd. |
| record_format | Article |
| series | Journal of Finance and Data Science |
| spelling | doaj.art-5210810ba7024b76873e5a834d5e38592024-04-16T18:47:58ZengKeAi Communications Co., Ltd.Journal of Finance and Data Science2405-91882022-11-018145161The use of predictive analytics in financeDaniel Broby0Ulster University, Department of Accounting, Finance and Economics, Cathedral Quarter, Belfast, BT15 1ED, Northern Ireland, United KingdomStatistical and computational methods are being increasingly integrated into Decision Support Systems to aid management and help with strategic decisions. Researchers need to fully understand the use of such techniques in order to make predictions when using financial data. This paper therefore presents a method based literature review focused on the predictive analytics domain. The study comprehensively covers classification, regression, clustering, association and time series models. It expands existing explanatory statistical modelling into the realm of computational modelling. The methods explored enable the prediction of the future through the analysis of financial time series and cross-sectional data that is collected, stored and processed in Information Systems. The output of such models allow financial managers and risk oversight professionals to achieve better outcomes. This review brings the various predictive analytic methods in finance together under one domain.http://www.sciencedirect.com/science/article/pii/S2405918822000071Predictive analyticsFinanceFintechRegtechRiskStatistics |
| spellingShingle | Daniel Broby The use of predictive analytics in finance Journal of Finance and Data Science Predictive analytics Finance Fintech Regtech Risk Statistics |
| title | The use of predictive analytics in finance |
| title_full | The use of predictive analytics in finance |
| title_fullStr | The use of predictive analytics in finance |
| title_full_unstemmed | The use of predictive analytics in finance |
| title_short | The use of predictive analytics in finance |
| title_sort | use of predictive analytics in finance |
| topic | Predictive analytics Finance Fintech Regtech Risk Statistics |
| url | http://www.sciencedirect.com/science/article/pii/S2405918822000071 |
| work_keys_str_mv | AT danielbroby theuseofpredictiveanalyticsinfinance AT danielbroby useofpredictiveanalyticsinfinance |