Tracing the temporal evolution of clusters in a financial stock market

Fuente: arXiv
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Autores principales: Arratia, Argimiro, Cabaña, Alejandra
Formato: Preprint
Publicado: 2011
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author Arratia, Argimiro
Cabaña, Alejandra
author_facet Arratia, Argimiro
Cabaña, Alejandra
contents We propose a methodology for clustering financial time series of stocks' returns, and a graphical set-up to quantify and visualise the evolution of these clusters through time. The proposed graphical representation allows for the application of well known algorithms for solving classical combinatorial graph problems, which can be interpreted as problems relevant to portfolio design and investment strategies. We illustrate this graph representation of the evolution of clusters in time and its use on real data from the Madrid Stock Exchange market.
format Preprint
id arxiv_https___arxiv_org_abs_1111_3127
institution arXiv
publishDate 2011
record_format arxiv
spellingShingle Tracing the temporal evolution of clusters in a financial stock market
Arratia, Argimiro
Cabaña, Alejandra
Computational Engineering, Finance, and Science
Statistics Theory
Statistical Finance
62P05, 68R10
We propose a methodology for clustering financial time series of stocks' returns, and a graphical set-up to quantify and visualise the evolution of these clusters through time. The proposed graphical representation allows for the application of well known algorithms for solving classical combinatorial graph problems, which can be interpreted as problems relevant to portfolio design and investment strategies. We illustrate this graph representation of the evolution of clusters in time and its use on real data from the Madrid Stock Exchange market.
title Tracing the temporal evolution of clusters in a financial stock market
topic Computational Engineering, Finance, and Science
Statistics Theory
Statistical Finance
62P05, 68R10
url https://arxiv.org/abs/1111.3127