For many years, traders and analysts have relied on conventional business classifications like GICS, NAICS, or SIC to group corporations into sectors and peer teams. Nevertheless, these inflexible categorizations typically fail to seize the evolving nature of companies, particularly in an period of technological convergence and speedy business shifts. Machine studying (ML) presents a extra dynamic and data-driven different by analyzing firm visuals — corresponding to logos, product photographs, and branding parts — to determine similarities that transcend predefined classifications. A current examine applies this method to assemble new business groupings and exams them in business momentum and reversal methods. The outcomes present that ML-generated teams result in superior efficiency, as soon as once more highlighting the potential of image-based classification in monetary evaluation.
https://quantpedia.com/does-the-image-based-industry-classification-outperform/
