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Machine Learning for Finance in Python

Intermediate
Updated 12/2024
Learn to model and predict stock data values using linear models, decision trees, random forests, and neural networks.
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PythonMachine Learning4 hours15 videos59 exercises5,150 XP29,044Statement of Accomplishment

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Course Description

How to Predict Stock Prices with Machine Learning

Machine learning has a huge number of applications within the finance industry and is commonly used to predict stock values and maintain a strong stock portfolio. This course will teach you how to use Python to calculate technical indicators from historical stock data and create features and targets.

Build Your Knowledge of ML Models

Strong stock predictions start with good data preparation. You’ll learn how to prepare your financial data for ML algorithms and fit it into various models, including linear models, xgboost models, and neural network models.

The second chapter moves on to using Python decision trees to predict future values for your stock, and forest-based machine learning methods to enhance your predictions.

The second half of this course will cover how to scale your data for use in KNN and neural networks before using those tools to predict the future value of your stock. You’ll learn how to plot losses, measure performance, and visualize your prediction results.

Use the Sharpe Ratio to Build Your Ideal Portfolio

Machine learning can also help you find the optimal stock portfolio. You’ll learn how to use modern portfolio theory (MPT) and the Sharpe ratio as part of your process to predict the best portfolios. Once you’ve completed this course, you’ll also understand how to evaluate the performance of your machine learning-predicted portfolio.

You’ll use a variety of real-world data sets from NASDAQ and apply robust theories and techniques to them so that you can create your own predictions and optimize for your risk appetite and budget. "

Prerequisites

Supervised Learning with scikit-learn
1

Preparing data and a linear model

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2

Machine learning tree methods

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3

Neural networks and KNN

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4

Machine learning with modern portfolio theory

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Machine Learning for Finance in Python
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