Neural Networks: Finance Prediction

Описание: A lot of the finance industry has been experimenting with a variety of CART models such as random forest and gradient boosting however there seems to be a belief that neural networks are only for image recognition. I have been working with neural networks a bit more in my free time and at work and think there is a way to apply them to finance.

The basic idea is that financial data will create an image that is unique to good credit and bad credit individuals. The images will have no recognizable value to humans however neural networks will be able to use the images like a unique fingerprint to determine how to model probability of default.

This image approach should be applicable to many areas of finance. I will be working on public data from LendingClub.com so that I can share my progress.