Paper in reading: Amman, Cochardt Cohen and Heller (2024), Hidden Alpha, Working Paper, https://www.hbs.edu/faculty/Pages/item.aspx?num=63490 Fund managers’ social network might have impact on fund performance due to information flow or information advantage. A fund manager’s social network can be identified via several ways including shared education network and residence in the same neighborhood. From shared educationContinue reading “Alpha Research: social network alpha uncovered from hidden Facebook connections?”
Category Archives: finance
Forecast Stock Price with ChatGPT?
After OpenAI released ChatGPT in late 2022, the tool quickly becomes a trending tool with the potentials to apply anywhere. GPT refers to Generative Pre-trained Transformer, which is is an artificial neural network model based on transformer architecture. This is introduced by Vaswani et al in 2017. GPT models are pre-trained with huge volume textContinue reading “Forecast Stock Price with ChatGPT?”
How a President’s Economic Approval Ratings Impact Stock Returns?
Callum Thomas provides an interesting chart in his weekly char pack about seasonality for S&P 500 in the 3rd year of an election cycle. According to his charts, the market is generally positive for the first half of the year. For the second half, the market remains around a certain level for until a furtherContinue reading “How a President’s Economic Approval Ratings Impact Stock Returns?”
Not All Fed Chairs’ Communications Affect Market Equally
Fed issues a statement to public after each Federal Open Markets Committee (FOMC). The statement provides some brief information about the rationale behind the rate decision. The ex-Fed Chair Ben Bernanke started the commitment to provide more transparency on rate decision in April 2011 (ABC News, Arnall 2011), when he started to hold press conferenceContinue reading “Not All Fed Chairs’ Communications Affect Market Equally”
Investor Sentiment
Mai, Pukthuanthong and Zhou (2022) published a paper studying the return predictability of investor sentiment across four different asset classes including both traditional financial assets and bitcoin. The full paper can be found on SSRN: Mai, Pukthuanthong and Zhou (2022) An early study by Baker and Wurgler (2006) provides some empirical justifications of using investorContinue reading “Investor Sentiment”
Eddy Zhang 