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Related papers: Stock market as temporal network

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The financial market is a complex dynamical system composed of a large variety of intricate relationships between several entities, such as banks, corporations and institutions. At the heart of the system lies the stock exchange mechanism,…

In this brief review, we critically examine the recent work done on correlation-based networks in financial systems. The structure of empirical correlation matrices constructed from the financial market data changes as the individual stock…

Computational Finance · Quantitative Finance 2020-04-21 Vishwas Kukreti , Hirdesh K. Pharasi , Priya Gupta , Sunil Kumar

This paper studies the time-varying structure of the equity market with respect to market capitalization. First, we analyze the distribution of the 100 largest companies' market capitalizations over time, in terms of inequality,…

Mathematical Finance · Quantitative Finance 2025-02-21 Nick James , Max Menzies

Big data and the use of advanced technologies are relevant topics in the financial market. In this context, complex networks became extremely useful in describing the structure of complex financial systems. In particular, the time evolution…

Physics and Society · Physics 2022-04-15 Paolo Bartesaghi , Gian Paolo Clemente , Rosanna Grassi

Financial market is an example of complex system, which is characterized by a highly intricate organization and the emergence of collective behavior. In this paper, we quantify this emergent dynamics in the financial market by using…

General Finance · Quantitative Finance 2011-09-07 Thomas Kauê Dal'Maso Peron , Francisco Aparecido Rodrigues

A financial system contains many elements networked by their relationships. Extensive works show that topological structure of the network stores rich information on evolutionary behaviors of the system such as early warning signals of…

Statistical Finance · Quantitative Finance 2018-05-09 Li Zhou , Lu Qiu , Changgui Gu , Huijie Yang

I find a topological arrangement of stocks traded in a financial market which has associated a meaningful economic taxonomy. The topological space is a graph connecting the stocks of the portfolio analyzed. The graph is obtained starting…

Statistical Mechanics · Physics 2009-10-31 Rosario N. Mantegna

We review the recent approach of correlation based networks of financial equities. We investigate portfolio of stocks at different time horizons, financial indices and volatility time series and we show that meaningful economic information…

Statistical Mechanics · Physics 2009-11-10 G. Bonanno , G. Caldarelli , F. Lillo , S. Micciche` , N. Vandewalle , R. N. Mantegna

A great variety of systems in nature, society and technology -- from the web of sexual contacts to the Internet, from the nervous system to power grids -- can be modeled as graphs of vertices coupled by edges. The network structure,…

Adaptation and Self-Organizing Systems · Physics 2012-10-10 Petter Holme , Jari Saramäki

This paper develops new mathematical techniques to identify temporal shifts among a collection of US equities partitioned into a new and more detailed set of market sectors. Although conceptually related, our three analyses reveal distinct…

Statistical Finance · Quantitative Finance 2024-07-11 Nick James , Max Menzies

Stock networks, constructed from stock price time series, are a well-established tool for the characterization of complex behavior in stock markets. Following Mantegna's seminal paper, the linear Pearson's correlation coefficient between…

Statistical Finance · Quantitative Finance 2018-06-27 David Hartman , Jaroslav Hlinka

Recently, evolving networks are becoming a suitable form to model many real-world complex systems, due to their peculiarities to represent the systems and their constituting entities, the interactions between the entities and the…

Artificial Intelligence · Computer Science 2017-09-21 Angelo Impedovo , Corrado Loglisci , Michelangelo Ceci

We investigate financial market correlations using random matrix theory and principal component analysis. We use random matrix theory to demonstrate that correlation matrices of asset price changes contain structure that is incompatible…

Statistical Finance · Quantitative Finance 2015-03-17 Daniel J. Fenn , Mason A. Porter , Stacy Williams , Mark McDonald , Neil F. Johnson , Nick S. Jones

Temporal networks model how the interaction between elements in a complex system evolve over time. Just like complex systems display collective dynamics, here we interpret temporal networks as trajectories performing a collective motion in…

Social and Information Networks · Computer Science 2022-10-18 Lucas Lacasa , Jorge P. Rodriguez , Victor M. Eguiluz

Summarized by the efficient market hypothesis, the idea that stock prices fully reflect all available information is always confronted with the behavior of real-world markets. While there is plenty of evidence indicating and quantifying the…

Physics and Society · Physics 2020-12-16 Luiz G. A. Alves , Higor Y. D. Sigaki , Matjaz Perc , Haroldo V. Ribeiro

A fundamental problem in the study of networks is the identification of important nodes. This is typically achieved using centrality metrics, which rank nodes in terms of their position in the network. This approach works well for static…

Computational Engineering, Finance, and Science · Computer Science 2022-10-19 Isobel Seabrook , Paolo Barucca , Fabio Caccioli

Temporal network analysis and time evolution of network characteristics are powerful tools in describing the changing topology of dynamic networks. This paper uses such approaches to better visualize and provide analytical measures for the…

Multiagent Systems · Computer Science 2021-10-04 N. DiBrita , K. Eledlebi , H. Hildmann , L. Culley , A. F. Isakovic

Community detection methods can be used to explore the structure of complex systems. The well-known modular configurations in complex financial systems indicate the existence of community structures. Here we analyze the community properties…

Portfolio Management · Quantitative Finance 2021-12-28 Longfeng Zhao , Chao Wang , Gang-Jin Wang , H. Eugene Stanley , Lin Chen

Great research efforts have been devoted to exploiting deep neural networks in stock prediction. While long-range dependencies and chaotic property are still two major issues that lower the performance of state-of-the-art deep learning…

Statistical Finance · Quantitative Finance 2021-11-02 Junran Wu , Ke Xu , Xueyuan Chen , Shangzhe Li , Jichang Zhao

Structure of real networked systems, such as social relationship, can be modeled as temporal networks in which each edge appears only at the prescribed time. Understanding the structure of temporal networks requires quantifying the…

Physics and Society · Physics 2016-02-17 Taro Takaguchi , Yosuke Yano , Yuichi Yoshida
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