Financial Services (105)
Trading finance intelligence with Twitter
German economic scientists have set up an online platform called ‘TweetTrader’ that helps analyze stock and market information provided by tweets on Twitter. It aims at predicting market outcomes by using textual analysis filters and specific algorithms.
Why it matters
Market researchers are already relying on social media analysis tools to understand consumers better. Now the analysis of tweets is being transferred to financial / information markets. Will the expertise of some financial analysts become obsolete thanks to the wisdom of the crowd?
In Japan, the Ogaki Kyoritsu Bank will offer card free ATM machines. Using only your pin code and your birthdate, the ATM will scan the palm of your hand to verify your identity. The bank offers this service to make sure you can always withdraw money, whether you forgot your wallet, you lost your card or you’ve been caught in a natural disaster.
Creditors are using a new tool to find out who’s worthy of credit offers and who’s not – your social networks. Banks and credit issuers are taking advantage of the personal conversations made public by sites like Facebook, Twitter, and LinkedIn. But don’t rush to change all of your privacy settings right away. Most of the information is used inform creditors of offers you would be a good candidate for, or things you might be interested in because your friends are. But it can be used as a risk-management tool. Creditors find that people with good credit attract the like, while people with poor credit are often linked to others with a similar rating.