Year: 2024
Type: article
Abstract: The adoption of ML in finance has great potential to reform financial practices. This paper delves into the pivotal role of machine learning (ML) in revolutionizing the financial domain, including enhancing predictive accuracies, reducing cost, catalyzing financial innovation, and improving customer relationships. By dissecting the advantages, this paper summarizes the application of ML in finance like stock market forecasting, fraud detection, credit risk prediction, portfolio management and asset evaluation. Meanwhile, it also acknowledges existing obstacles such as data quality, transparency of models, and output homogenization. Finally, the paper seeks to provide comprehensive insights into the future landscape shaped by ML technologies in finance.
Author: Mingyu Zhao
Institution: Beijing Jiaotong University
Language: English
Domain: Social Sciences
Open Access status: hybrid
OpenAlex ID: W4403581843