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AI Powerful Tools in Quantum Finance

  • Raymond S. T. LeeEmail author
Chapter

Abstract

This chapter introduces three major artificial intelligence (AI) tools in quantum finance: artificial neural networks (ANNs) on machine learning and time series prediction, fuzzy logics (FLs) on fuzzy and inexact financial modeling and genetic algorithms (GAs) on trading strategy optimization. More importantly, it shows how these AI tools are integrated with quantum finance technology to implement quantum finance forecast and intelligent agent-based program trading systems. First, it starts with a general overview of AI technology. Second, it explores the brain of AI—artificial neural networks (ANNs), which includes biological neural networks, neuron model, classification of ANNs, typical ANNs such as Hopfield network and feedforward backpropagation Network. Third, it explores the optimization engine of AI—genetic algorithms (GAs), which includes general overview of GA, system flow of GA and key operations in GA implementation. After that, it explores the fuzzification engine of AI—fuzzy logics, which includes basic concepts of FL, relationship between FL and uncertainty principle, ICMR fuzzy logic model, applications of fuzzy logic in daily life, fuzzy expert, and fuzzy-neuro systems in quantum finance.

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Copyright information

© Springer Nature Singapore Pte Ltd. 2020

Authors and Affiliations

  1. 1.Division of Science and TechnologyBeijing Normal University-Hong Kong Baptist University United International College (UIC)ZhuhaiChina

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