The Neural Network Financial Wizards by Steve Ward and Marge Sherald
What techniques do some of today's money managers using neural nets use? Here's a glimpse.
In these days of more and more ways of applying neural networks, financial experts using neural nets to predict the market are no longer as isolated as they used to be. Some of them, in fact, are quite ingenious at using the technology - professionals such as Dean Barr and Ganesh Mani of LBS Capital Management, Pierre Leroy of Deere and Co., Troy Buckner of Hyman Beck and Co. and Phil Erlanger of Phil Erlanger Research, to name only a few. Here's a profile of these neural net financial professionals. Note that none of these secrets may be attributed to any single individual; nor does any single individual use them all.
THE WHEAT FROM THE CHAFF
If you're going to operate in the domain of neural net wizards, it helps to know which are the real wizards. You can distinguish them by the fact that real wizards make their money with their own wizardry. (This includes wizards who make money for their clients.) The "wannabe" wizards talk about making money with their wizardry.
It's hard to tell off-hand the real wizards from the wannabes. Real wizards and wannabe wizards wear the same clothes. They look the same, they act the same, they talk the same, but they have markedly different financial statements.