Sentiment analysis on English financial news and social media has been explored intensively for investment in the recent years. In the research community, both Twitter and Google trend has been shown valuable to predict stock market movements as they are platforms that gather millions of opinions. People are affected by online information and tend to respond in an emotional yet collective way. Hundreds of the U.S. Fintech startups and large investment banks already make money by taking advantage of such technology. In China, because of the limitation of related research and lexical resources, no startups can provide stable service that measures accurate sentiments from a variety of data sources.

SentIndex empowers Chinese financial market participants (hedge funds, asset manage...[ Read more ]

Sentiment analysis on English financial news and social media has been explored intensively for investment in the recent years. In the research community, both Twitter and Google trend has been shown valuable to predict stock market movements as they are platforms that gather millions of opinions. People are affected by online information and tend to respond in an emotional yet collective way. Hundreds of the U.S. Fintech startups and large investment banks already make money by taking advantage of such technology. In China, because of the limitation of related research and lexical resources, no startups can provide stable service that measures accurate sentiments from a variety of data sources.

SentIndex empowers Chinese financial market participants (hedge funds, asset managers, sell-and buy-side analysts, financial planners, robo-advisors, and retail investors) by giving them access to distilled information on market sentiments. Our platform collects and processes a vast amount of data from social media, blogs, and news to generate various measures of market sentiment as inputs to financial market analytics and investment decision making.

China’s stocks are not driven by fundamentals that much, which is the opposite case of the U.S. market. Chinese investors have long been following theme-rotation investment and industry-rotation investment, i.e., allocates money to some ”hot” topics and industries to get a higher return in the short term. This process is quite subjective, and thus investors’ attitude would have more impact on such market.

Our sentiment measure has the following features that differentiate us from competitors:

• Domain-specific, context-aware and multi-dimensional financial sentiment analysis.

• Hierarchical entity-level sentiment index aggregation incorporating various sets of parameters.

• Effectiveness is verified by signals found from sentiment index empirically.

More concretely our core product is multi-dimensional sentiment indices that include subjective emotion such as optimism, anger, sadness, certainty, happiness; And objective text features such as the description of company expansion/people growth, the description of communication process etc. We aggregate the index by stock, industry, market level covering Shanghai and Shenzhen markets. Investors can access these data via a web dashboard or through our API. Taking advantage of our daily indices, investors can respond to market mood and make decisions based on a more complete information in a timely fashion.