A brain information-aided intelligent investment system

Recent advancements in neuroeconomics have revealed that specific sites of brain activity provide beneficial information regarding future risks and expected rewards. Given such advances in neuroscience, this paper studies the use of brain information in the financial system. This study explores the extent to which investment performance can be improved by using brain information in investment decision making. To examine this question, we developed a self-managed investment system that selectively employs useful brain information obtained from multiple individuals. The findings show the validity of brain information. Our system accomplishes superior performances of the investments based on a typical portfolio selection model and financial time-series models. The results of this study indicate the possibility of applying brain information to the field of finance.

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