We investigate the generalization properties of a data-mining approach to single-position day trading which uses an evolutionary algorithm to construct fuzzy predictive models of financial instruments. The models, expressed as fuzzy rule bases, take a number of popular technical indicators on day t as inputs and produce a trading signal for day t+ 1 based on a dataset of past observations of wh...

Author Disclosure Drs Hellström-Westas, Rosén, and de Vries have been involved in development or testing of the instruments (BrainZ [BrainZ Instruments Ltd, Auckland, New Zealand], Olympic 6000 [Olympic Medical, Seattle, Washington], and Nervus Monitor [Viasys, Nicolet Biomedical, Madison, Wisconsin]) from which records are shown in this article. None has an economic interest in the production ...

World financial markets have experienced tremendous growth in recent years. New financial instruments have been developed, the volume of transactions within individual markets has skyrocketed, and capital flows across countries have risen dramatically. While these developments have made financial markets more efficient, they have also increased the risk that events at one institution or in one ...

The fair valuation of complex financial products for credit risk transfer (CRT) can provide a good basis for sustained growth of these markets and their recovery after the current financial crisis. Therefore, the risks of these structured credit securities (such as Collateralized Debt Obligations (CDO) and Credit Default Swap-Index tranches) have to be known as well as the investor’s current ri...

World financial markets have experienced tremendous growth in recent years. New financial instruments have been developed, the volume of transactions within individual markets has skyrocketed, and capital flows across countries have risen dramatically. While these developments have made financial markets more efficient, they have also increased the risk that events at one institution or in one ...

The core principles of Islam lay great emphasis on social justice, inclusion, and sharing of resources between the haves and the have nots. Islamic finance addresses the issue of “financial inclusion” or “access to finance” from two directions — one through promoting risk-sharing contracts that provide a viable alternative to conventional debt-based financing, and the other through specific ins...