IDEAS home Printed from https://ideas.repec.org/a/fej/articl/v8cy2012i2p12-26.html
   My bibliography  Save this article

Determination Stock Investment Strategies Of Listed Companies In Iran Using Data Mining Techniques

Author

Listed:
  • Hamide Ramezani Aval Riabe

    () (Islamic Azad University, Mashhad, Iran)

  • Mohammad Hossin Vadeei

    () (Associate Professor, Department of Accounting Ferdowsi University of Mashhad, Iran)

  • Mehrdad Jalali

    () (Assistant Professor, Faculty of Engineering, Mashhad Branch Islamic Azad University, Mashhad, Iran)

Abstract

Investment can be considered as a one of the fundamental pillars of national economy. The single and most important reason is to earn returns on investment. At the present time, many investors look to find a criterion for comparison stock together and selecting the best. The investors try in choosing the type of strategy, to choose strategies that maximize the earning value of the investment process. The current study aims to forecasting stock returns using data mining techniques and determinat return rate of value or growth stocks of listed companies in Tehran Stock Exchange during 2005-2010. The results indicate that the developed model has appointed the investment companies with high accuracy and portfolio value in some years and growth portfolio in some other years has a higher rate of return. It is clear that if it is used hybrid model, rates of return can be increased and the approach presented in this paper is flexible and strong.

Suggested Citation

  • Hamide Ramezani Aval Riabe & Mohammad Hossin Vadeei & Mehrdad Jalali, 2012. "Determination Stock Investment Strategies Of Listed Companies In Iran Using Data Mining Techniques," Far East Journal of Psychology and Business, Far East Research Centre, vol. 8(2), pages 12-26, September.
  • Handle: RePEc:fej:articl:v:8c:y:2012:i:2:p:12-26
    as

    Download full text from publisher

    File URL: http://www.fareastjournals.com/files/FEJPBV8N3P2.pdf
    Download Restriction: no

    File URL: http://www.fareastjournals.com/archive_detail.aspx?jid=18&aid=28
    Download Restriction: no

    References listed on IDEAS

    as
    1. Fama, Eugene F & French, Kenneth R, 1992. " The Cross-Section of Expected Stock Returns," Journal of Finance, American Finance Association, vol. 47(2), pages 427-465, June.
    2. Doron Avramov, 2004. "Stock Return Predictability and Asset Pricing Models," Review of Financial Studies, Society for Financial Studies, vol. 17(3), pages 699-738.
    3. Chan, Louis K C & Hamao, Yasushi & Lakonishok, Josef, 1991. " Fundamentals and Stock Returns in Japan," Journal of Finance, American Finance Association, vol. 46(5), pages 1739-1764, December.
    Full references (including those not matched with items on IDEAS)

    More about this item

    Keywords

    Investment Strategy; Decision Trees; Clustering; SVM; Discriminant Analysis.;

    JEL classification:

    • M1 - Business Administration and Business Economics; Marketing; Accounting; Personnel Economics - - Business Administration

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fej:articl:v:8c:y:2012:i:2:p:12-26. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jim Chau). General contact details of provider: http://www.fareastjournals.com/journal_detail.aspx?jid=18 .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.