Portfolio Management: Fintech in Investment Management Flashcards
Alternative data
Non-traditional data types generated by the use of electronic devices, social media, satellite and sensor networks, and company exhaust.
Artificial intelligence
Computer systems that exhibit cognitive and decision-making ability comparable (or superior) to that of humans.
Big Data
The vast amount of data being generated by industry, governments, individuals, and electronic devices that arises from both traditional and non-traditional data sources.
Bitcoin
A cryptocurrency using blockchain technology that was created in 2009.
Blockchain
A type of digital ledger in which information is recorded sequentially and then linked together and secured using cryptographic methods.
Cryptocurrency
An electronic medium of exchange that lacks physical form.
Cryptography
An algorithmic process to encrypt data, making the data unusable if received by unauthorized parties
Data science
An interdisciplinary field that brings computer science, statistics, and other disciplines together to analyze and produce insights from Big Data.
Deep learning
Machine learning using neural networks with many hidden layers.
Deep learning nets
Machine learning using neural networks with many hidden layers.
Distributed ledger
A type of database that may be shared among entities in a network.
Distributed ledger technology
Technology based on a distributed ledger.
Fintech
Technological innovation in the design and delivery of financial services and products in the financial industry.
High-frequency trading
A form of algorithmic trading that makes use of vast quantities of data to execute trades on ultra-high-speed networks in fractions of a second.
Initial coin offering
An unregulated process whereby companies raise capital by selling crypto tokens to investors in exchange for fiat money or another agreed-upon cryptocurrency.
Internet of Things
A network arrangement of structures and devices whereby the objects on the network are able to interact and share information.
Machine learning
Computer based techniques that seek to extract knowledge from large amounts of data by “learning” from known examples and then generating structure or predictions. ML algorithms aim to “find the pattern, apply the pattern.”
Natural language processing
Computer programs developed to analyze and interpret human language.
Neural networks
Computer programs based on how our own brains learn and process information.
Overfitting
An undesirable result from fitting a model so closely to a dataset that it does not perform well on new data.
Permissioned networks
Networks that are fully open only to select participants on a DLT network.
Permissionless networks
Networks that are fully open to any user on a DLT network.
Robo-adviser
A machine-based analytical tool or service that provides technology-driven investment solutions through online platforms.
Smart contract
A computer program that is designed to self-execute on the basis of pre-specified terms and conditions agreed to by parties to a contract.
Supervised learning
A machine learning approach that makes use of labeled training data.
Text analytics
The use of computer programs to analyze and derive meaning from typically large, unstructured text- or voice-based datasets.
Tokenization
The process of representing ownership rights to physical assets on a blockchain or distributed ledger.
Unsupervised learning
A machine learning approach that does not make use of labeled training data.
