Pitfalls to Avoid with Machine Learning in Finance

Abstract

This chapter is about pitfalls that an organization can encounter while using machine learning technology in the finance sector. Throughout the finance section, we have looked at some of the challenges that this sector faces; however, in this chapter we are going to look at the two pitfalls that any organization wanting to implement machine learning for its financial operations can avoid. The three pitfalls are extremely important for this sector, and the financial experts I surveyed were also equivocal in ascertaining that these pitfalls were the major ones an organization should avoid in order to be successful. The two pitfalls are: