Book Image

Python for Finance Cookbook - Second Edition

By : Eryk Lewinson
5 (1)
Book Image

Python for Finance Cookbook - Second Edition

5 (1)
By: Eryk Lewinson

Overview of this book

Python is one of the most popular programming languages in the financial industry, with a huge collection of accompanying libraries. In this new edition of the Python for Finance Cookbook, you will explore classical quantitative finance approaches to data modeling, such as GARCH, CAPM, factor models, as well as modern machine learning and deep learning solutions. You will use popular Python libraries that, in a few lines of code, provide the means to quickly process, analyze, and draw conclusions from financial data. In this new edition, more emphasis was put on exploratory data analysis to help you visualize and better understand financial data. While doing so, you will also learn how to use Streamlit to create elegant, interactive web applications to present the results of technical analyses. Using the recipes in this book, you will become proficient in financial data analysis, be it for personal or professional projects. You will also understand which potential issues to expect with such analyses and, more importantly, how to overcome them.
Table of Contents (18 chapters)
16
Other Books You May Enjoy
17
Index

Summary

In this chapter, we have learned how to preprocess financial time series data. We started by showing how to calculate returns and potentially adjust them for inflation. Then, we covered a few of the popular methods for imputing missing values. Lastly, we explained the different approaches to aggregating trade data and why choosing the correct one matters.

We should always pay significant attention to this step, as we not only want to enhance our model’s performance but also to ensure the validity of any analysis. In the next chapter, we will continue working with the preprocessed data and learn how to create time series visualization.