Applying ML to Finance

Scenario

You are considering where machine learning fits in an investment research workflow. You want to separate problems where ML adds signal from problems where simpler statistical methods are enough.

Question

How would you apply machine learning in finance?

Problem

Scenario

You are considering where machine learning fits in an investment research workflow. You want to separate problems where ML adds signal from problems where simpler statistical methods are enough.

Question

How would you apply machine learning in finance?

Example Dataset

size·1.2M security-month observations, 85 featurestarget·Next-month excess return above cross-sectional medianfeatures·Valuation, momentum, volatility, revisions, liquidity, macro regimeclass_balance·Roughly balanced by construction

Problem

Scenario

You are considering where machine learning fits in an investment research workflow. You want to separate problems where ML adds signal from problems where simpler statistical methods are enough.

Question

How would you apply machine learning in finance?

Example Dataset

Problem

Scenario

You are considering where machine learning fits in an investment research workflow. You want to separate problems where ML adds signal from problems where simpler statistical methods are enough.

Question

How would you apply machine learning in finance?

Interview Guides

Problem

Scenario

Question

Example Dataset

Problem

Scenario

Question

Example Dataset

Applying ML to Finance

Problem

Scenario

Question

Example Dataset

Problem

Scenario

Question

Example Dataset