Decision Support Using Machine Learning Indication for Financial Investment

Abstract

To support the decision-making process of new investors, this paper aims to implement Machine Learning algorithms to generate investment indications, considering the Brazilian scenario. Three artificial intelligence techniques were implemented, namely: Multilayer Perceptron, Logistic Regression and Decision Tree, which performed the classification of investments. The database used was the one provided by the website Oceans14, containing the history of Fundamental Indicators and the history of Quotations, considering BOVESPA (São Paulo State Stock Exchange). The results of the different algorithms were compared to each other using the following metrics: accuracy, precision, recall, and F1-score. The Decision Tree was the algorithm that obtained the best classification metrics and an accuracy of 77%.

Keywords

• financial investment
• machine learning
• artificial intelligence