9.8. Trading on stock return predictions¶
The Lehigh Machine Learning Stock Prediction application was built to explain how practitioners create models to predict stock returns, turn those predictions into a tradable portfolio, and assess its performance.
The app
Uses well-known predictive features from academic finance research downloaded from Open Asset Pricing
Builds stock prediction models using estimators from the simple (OLS) to the advanced (Neural Nets)
Evaluates how profitable trading on these strategies are
Contains a practical explanation of the methods, the data used, and how it’s done
Compares different models to see which makes a portfolio that generates the highest returns
Digs into the details of each model to assess risk-adjusted returns and more
Visit the app and check it out!
