This project looks to generate forecasting models that can help investors better quantify the risk and reward trade-off associated with trading stocks. Specifically, it looks at how data from Google Trends can be used as a proxy for information flow to investors. The idea behind the project is that higher levels of information flow leads to bigger changes in the price of a stock. To conduct this study we look at the companies listed in the Dow 30 as of September 2015. Although this type of research is relatively new, it is not a completely new field of study. Some hedge funds and investment managers have already launched funds that invest based upon trends and data from Twitter, Google, and other online trends.

• This report represents the work of one or more WPI undergraduate students submitted to the faculty as evidence of completion of a degree requirement. WPI routinely publishes these reports on its website without editorial or peer review.

Creator

• Costello, James Miguel
• Moroney, Michael Joseph

Publisher

• Worcester Polytechnic Institute

Identifier

• E-project-032416-152810

Advisor

• Koutmos, Dimitrios

Year

• 2016

Date created

• 2016-03-24

Resource type

• Major Qualifying Project

Major

• Management Engineering

Rights statement

• In Copyright