Title :
3D Subspace Clustering for Value Investing
Author :
Sim, Kihong ; Gopalkrishnan, Vivekanand ; Phua, Clifton ; Cong, Guangwei
Abstract :
Using Graham´s rules on picking stocks has been proven to generate profits for value investors. The authors propose using 3D subspace clustering to generate rules to pick potential undervalued stocks; 3D subspace clustering is effective in handling high-dimensional financial data and is adaptive to new data. In addition, its results aren´t influenced by human biases and emotions, and are easily interpretable.
Keywords :
cost accounting; investment; stock markets; 3D subspace clustering; Graham rules; high-dimensional financial data; picking stocks; undervalued stocks; value investing; value investors; Clustering algorithms; Current measurement; Intelligent systems; Microwave integrated circuits; Testing; Three dimensional displays; Training; Clustering algorithms; Current measurement; Intelligent systems; Microwave integrated circuits; Testing; Three dimensional displays; Training; financial data mining; intelligent systems; subspace clustering; value investing;
Journal_Title :
Intelligent Systems, IEEE
DOI :
10.1109/MIS.2012.24