I totally agree with John Authers. Behavioural finance is an amazingly interesting field, and there is still a lot to be discovered. In the FinTech sector, there is also a lot that is being done on narratives analysis as well. Companies and start-ups have started looking at alternative data like newspaper articles, blog posts, tweets, etc. These types of data are then often used in combination with natural language processing to extract sentiments and predict stock prices. It is a fascinating and fast-growing sector, and I think that this quote summarizes perfectly the idea behind it.
One reply on “Markets run on Narratives”
I totally agree with John Authers. Behavioural finance is an amazingly interesting field, and there is still a lot to be discovered. In the FinTech sector, there is also a lot that is being done on narratives analysis as well. Companies and start-ups have started looking at alternative data like newspaper articles, blog posts, tweets, etc. These types of data are then often used in combination with natural language processing to extract sentiments and predict stock prices. It is a fascinating and fast-growing sector, and I think that this quote summarizes perfectly the idea behind it.