A neuro-fuzzy-evolutionary classifier of low-risk investments

This paper demonstrates that a hybrid fuzzy neural network can serve as a classifier of low risk investment projects. The training algorithm for the regular part of the network is based on bidirectional incremental evolution proving more efficient than direct evolution. The approach is applied to empirical data on UK companies traded on the LSE.

[1]  Mark Precious Rational Expectations, Non-Market Clearing, and Investment Theory , 1987 .

[2]  David Filliat,et al.  Incremental Evolution of Neural Controllers for Navigation in a 6-legged Robot , 1999 .

[3]  Dorota Kuchta,et al.  Fuzzy capital budgeting , 2000, Fuzzy Sets Syst..

[4]  John Hunter,et al.  The Ex-ante Classification of Takeover Targets Using Neural Networks , 1998 .

[5]  James J. Buckley,et al.  Fuzzy and Neural: Interactions and Applications , 1999 .

[6]  M. Calzi Towards a general setting for the fuzzy mathematics of finance , 1990 .

[7]  James J. Buckley,et al.  Solving fuzzy equations , 1992 .

[8]  R. Pike A LONGITUDINAL SURVEY ON CAPITAL BUDGETING PRACTICES , 1996 .

[9]  Julian F. Miller,et al.  The Genetic Algorithm as a Discovery Engine , 2001 .

[10]  Tatiana Kalganova,et al.  Soft computing in investment appraisal , 2001, EUSFLAT Conf..

[11]  Jaime Gil Aluja Towards a new paradigm of investment selection in uncertainty , 1996 .

[12]  J. Buckley,et al.  Fuzzy Mathematics in Finance , 1987 .

[13]  Risto Miikkulainen,et al.  Incremental Evolution of Complex General Behavior , 1997, Adapt. Behav..

[14]  James J. Buckley,et al.  Can fuzzy neural nets approximate continuous fuzzy functions , 1994 .

[15]  Puyin Liu,et al.  Universal approximations of continuous fuzzy-valued functions by multi-layer regular fuzzy neural networks , 2001, Fuzzy Sets Syst..

[16]  Alan Sangster,et al.  CAPITAL INVESTMENT APPRAISAL TECHNIQUES: A SURVEY OF CURRENT USAGE , 1993 .

[17]  Esfandiar Eslami,et al.  Solving fuzzy equations using neural nets , 1997, Fuzzy Sets Syst..

[18]  Lotfi A. Zadeh,et al.  Fuzzy Sets , 1996, Inf. Control..

[19]  N. C. Ho,et al.  Hedge algebras: an algebraic approach to structure of sets of linguistic truth values , 1990 .

[20]  Tatiana Kalganova,et al.  Bidirectional incremental evolution in extrinsic evolvable hardware , 2000, Proceedings. The Second NASA/DoD Workshop on Evolvable Hardware.

[21]  R. Ribeiro Soft computing in financial engineering , 1999 .