Last year we released Wolfram Finance Platform, beginning a new chapter in the way the financial world uses Wolfram technologies. Today we’re pleased to announce Wolfram Finance Platform 2, which expands and improves the groundwork begun by our first version.
One set of new capabilities that Finance Platform 2 introduces is a major enhancement to the way financial analysis is deployed: automated report generation.
Report Generation allows you to create documents quickly and easily using Wolfram Finance Platform documents. Since Report Generation is built on Finance Platform‘s Computable Document Format interface, it’s easy to add it into your normal workflow.
Data for the report can come from a variety of sources, such as the result of a computation, a database query, or Finance Platform‘s integrated computation data source or integrated market data streams. Portfolio performance, risk analyses, and market/economic outlook are just a few of the applications that can take advantage of Report Generation.
June 1, 2012 — Samuel Chen, Technical Communication & Strategy
Diversification is a way for investors to reduce investment risk. The asset values within a well-diversified portfolio do not move up and down in perfect synchrony. Instead, when some assets’ values move up, others tend to move down, evening out large, portfolio-wide fluctuations and thus reducing risk.
A simple way to explore diversification within the stock market is to invest in stocks from different sectors or different geographic regions. Beyond stocks, investors can consider diversification in different asset classes such as bonds, commodities, or real estate.
The following chart shows the S&P 500 and Dow Jones Industrials indices, indicators of return that move in sync with each other. You can download the Computable Document Format (CDF) version of this post below to execute this code yourself.
May 15, 2012 — Jon McLoone, International Business & Strategic Development
This is a major new initiative for us to create the ultimate computation environment for finance. It builds on our existing computational technology with extra capabilities and professional support services.
As part of this, I spent some time interviewing finance customers in the city of London about what they liked and didn’t like about Mathematica, what they wanted, and why some of their colleagues didn’t use it.
March 22, 2012 — Samuel Chen, Technical Communication & Strategy
Computation has always been at the center of what Wolfram does… but finance hasn’t been, at least not until now.
In recent months, the team has been taking our ultimate computation environment and specializing it for finance.
It’s amazing some of the results our technology readily achieves in this domain–whether it’s a user-customizable market data explorer of Bloomberg data feeds, financial derivative valuations with GPUs, or automated reporting with interactivity.
We’re previewing the Wolfram Finance Platform at our March 27 virtual conference with an introduction from Conrad Wolfram. Join us!
This virtual event will be held on Tuesday, March 27, at the following times:
* 8–11:30am Eastern Daylight Time (EDT); 1–4:30pm British Summer Time (BST)
* Repeat session: 1–4:30pm EDT; 6–9:30pm BST
Virtual seats are limited–see the event schedule and register today!
November 4, 2011 — Michael Kelly, Wolfram Technology Group
The ongoing gyrations of the stock market over the past few months have spread panic not just throughout the markets, but into the rest of the economy and the political sphere. There are some who assert that this is due to the recent downgrade of the American credit rating by Standard & Poor’s (S&P), but an analysis with Mathematica suggests that other factors may be at play. Using the FinancialBond function for a zero-coupon continuously compounding bond price, we discover the inverse relation between bond prices and yields (y) given below. As the bond price increases, the yield y decreases.
As bonds are bought, their prices go up and the corresponding yields drop. Looking at the U.S. yield curve using Wolfram|Alpha at the end of July and eight weeks later below, the yields on long-term 10-year treasury bonds have dropped from 2.82% to 1.84%, which is a historic 50-year low. This shows that investors are now more likely to buy long-term U.S. government debt, which is puzzling behavior if they are panicked by the S&P downgrade.
September 7, 2011 — Michael Kelly, Wolfram Technology Group
Mathematica 8 added a slew of powerful finance functions to its already large list of capabilities when it was released last November. To help highlight some of these features as well as assist those who want to use them, Wolfram Research is presenting both a finance workshop and a free seminar at the Club Quarters, Wall Street hotel in New York City on September 15.
It has been a roller coaster ride for the stock market lately. On August 1, the United States government avoided a default by a last minute deal to raise the debt limit. A few days later, we witnessed the first ever downgrade of U.S. credit by Standard & Poor’s.
Using Mathematica‘s TradingChart command, we can witness the stock market’s immediate negative reaction to the downgrade. Note: Mouse over the chart to see the daily open, high, low, and closing price of the S&P 500 index.
February 16, 2011 — Michael Kelly, Wolfram Technology Group
On January 25 and 27 in Chicago and New York, respectively, Wolfram, in conjunction with NVIDIA, hosted a seminar themed “Optimizing Financial Modeling” to showcase how Mathematica and CUDA can be applied within the financial industry. Full presentations and a white paper on CUDA programming with Mathematica are available for download on the seminar page.
Dr. Phillip Zecher, Chief Risk Officer of EQA Partners, detailed how Mathematica is used in every facet of his firm’s operation, and NVIDIA’s Senior CUDA Consultant John Ashley explained how CUDA programming is changing financial computation.
My talk concerned Mathematica 8′s broad functionality for finance. Each capability is deserving of a full seminar unto itself, so because of the sheer number of topics and functions, I was only able to briefly touch on a few examples from each category. A full list of financial tools in Mathematica is available in the online documentation. The following TabView presents an overview of the new financial functions:
January 7, 2010 — Wolfram Blog Team
When the founders of the global hedge fund EQA Partners, LP, wanted to build a comprehensive system for handling all functions of their company, they chose Mathematica. In this video, EQA’s Chief Risk Officer Philip Zecher describes how using Mathematica improves their ability to quickly analyze market conditions and respond to investors’ data requests, and reduces data errors.
November 3, 2009 — Elizabeth Shack, Technical Communication and Strategy
Finance professionals have been using Mathematica for years to optimize portfolios, develop and refine analytic risk models, rapidly prototype products and trading strategies, deploy analysis tools over the web, and much more.
Not surprisingly, we’ve seen increased interest in Mathematica‘s financial applications stemming from the current economic struggles. Accurate models and analyses are in demand to determine the best way to get the world’s economy back on track and prevent future crises.