Alternative Data

TL;DR for operators A new paper by Mateusz Kmak and colleagues asks a very practical question: can Reddit sentiment, especially when annotated with ChatGPT and fed into a fine-tuned Financial-RoBERTa model, predict meme-stock prices?1 The short answer is: not very well. Which is awkward, because the whole exercise starts from the obvious temptation that if Reddit can help move a stock, then Reddit sentiment should help forecast it. Markets, naturally, have declined to be that tidy. ...

TL;DR for operators NGAT is useful because it attacks a real modelling mismatch in financial AI: companies do not absorb market information in the same way, yet many graph neural networks treat them as if they do. The paper’s answer is a node-level graph attention layer, where each company learns its own attention mechanism for reading signals from related companies. ...