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Data Based Stock Portfolio Construction Using Computational Intelligence

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Internet Science (INSCI 2017)

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Abstract

The stock market is everywhere in our lives and stocks are sold and bought daily. Many people believe that investing in stocks is one of the most profitable and easiest ways to make money. The lure of easy profit can be proven erroneous when starting to invest in stocks, as stock portfolio construction and management processes are laborious. Constructing and managing a portfolio is multi stage and multi criteria problem and many of the models proposed are based on supporting only one stage. Moreover, available online data may be confusing as there is no clear evidence of how to use and clarify it. Therefore, in this paper, we propose a full-scale model that will exploit open data and will support portfolio management during all stages using Computational Intelligence. Available fundamental data will be used to evaluate stocks using Genetic Algorithms. Open past data of stock prices will be used for stock forecasting using a Multi Layer Perceptron. Eventually, using all the results of precedent stages a portfolio optimization will be implemented using Genetic Algorithms.

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Author information

Authors and Affiliations

  1. Computer Science, School of Science and Technology, Hellenic Open University, 26335, Parodos Aristotelous 18, Patras, Greece

    Asimina Dimara

  2. Cultural Technology and Communication Department, Social Science School, University of the Aegean, 81100, Mytilene, Lesvos Island, Greece

    Christos-Nikolaos Anagnostopoulos

Authors
  1. Asimina Dimara
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  2. Christos-Nikolaos Anagnostopoulos
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Correspondence to Asimina Dimara .

Editor information

Editors and Affiliations

  1. Information Technologies Institute, Thessaloniki, Greece

    Sotiris Diplaris

  2. Information Technologies Institute, Thessaloniki, Greece

    Anna Satsiou

  3. SINTEF, Oslo, Norway

    Asbjørn Følstad

  4. National Center for Scientific Research, Agia Paraskevi, Greece

    Michail Vafopoulos

  5. SINTEF, Trondheim, Norway

    Thomas Vilarinho

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Dimara, A., Anagnostopoulos, CN. (2018). Data Based Stock Portfolio Construction Using Computational Intelligence. In: Diplaris, S., Satsiou, A., Følstad, A., Vafopoulos, M., Vilarinho, T. (eds) Internet Science. INSCI 2017. Lecture Notes in Computer Science(), vol 10750. Springer, Cham. https://doi.org/10.1007/978-3-319-77547-0_7

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  • DOI: https://doi.org/10.1007/978-3-319-77547-0_7

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  • Publisher Name: Springer, Cham

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  • Online ISBN: 978-3-319-77547-0

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