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Main Authors: Lee, Cheonsol, Jeong, Youngsang, Shin, Jeongyeol, Kim, Huiju, Kim, Jidong
Format: Preprint
Published: 2025
Subjects:
Online Access:https://arxiv.org/abs/2601.11528
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author Lee, Cheonsol
Jeong, Youngsang
Shin, Jeongyeol
Kim, Huiju
Kim, Jidong
author_facet Lee, Cheonsol
Jeong, Youngsang
Shin, Jeongyeol
Kim, Huiju
Kim, Jidong
contents The stock market is inherently complex, with interdependent relationships among companies, sectors, and financial indicators. Traditional research has largely focused on time-series forecasting and single-company analysis, relying on numerical data for stock price prediction. While such approaches can provide short-term insights, they are limited in capturing relational patterns, competitive dynamics, and explainable investment reasoning. To address these limitations, we propose a knowledge graph schema specifically designed for the stock market, modeling companies, sectors, stock indicators, financial statements, and inter-company relationships. By integrating this schema with large language models (LLMs), our approach enables multi-hop reasoning and relational queries, producing explainable and in-depth answers to complex financial questions. Figure1 illustrates the system pipeline, detailing the flow from data collection and graph construction to LLM-based query processing and answer generation. We validate the proposed framework through practical case studies on Korean listed companies, demonstrating its capability to extract insights that are difficult or impossible to obtain from traditional database queries alone. The results highlight the potential of combining knowledge graphs with LLMs for advanced investment analysis and decision support.
format Preprint
id arxiv_https___arxiv_org_abs_2601_11528
institution arXiv
publishDate 2025
record_format arxiv
spellingShingle Knowledge Graph Construction for Stock Markets with LLM-Based Explainable Reasoning
Lee, Cheonsol
Jeong, Youngsang
Shin, Jeongyeol
Kim, Huiju
Kim, Jidong
Databases
Artificial Intelligence
The stock market is inherently complex, with interdependent relationships among companies, sectors, and financial indicators. Traditional research has largely focused on time-series forecasting and single-company analysis, relying on numerical data for stock price prediction. While such approaches can provide short-term insights, they are limited in capturing relational patterns, competitive dynamics, and explainable investment reasoning. To address these limitations, we propose a knowledge graph schema specifically designed for the stock market, modeling companies, sectors, stock indicators, financial statements, and inter-company relationships. By integrating this schema with large language models (LLMs), our approach enables multi-hop reasoning and relational queries, producing explainable and in-depth answers to complex financial questions. Figure1 illustrates the system pipeline, detailing the flow from data collection and graph construction to LLM-based query processing and answer generation. We validate the proposed framework through practical case studies on Korean listed companies, demonstrating its capability to extract insights that are difficult or impossible to obtain from traditional database queries alone. The results highlight the potential of combining knowledge graphs with LLMs for advanced investment analysis and decision support.
title Knowledge Graph Construction for Stock Markets with LLM-Based Explainable Reasoning
topic Databases
Artificial Intelligence
url https://arxiv.org/abs/2601.11528