Impact of Social Network in Capital Markets
Acknowledgement
Before going to the detail about our report, we would like to pay our gratitude to the Almighty Allah for helping us to prepare this report. We would also like to thank our honorable faculty in charge, Sayba Kamal Athoi (SBK) for giving us such a nice assignment to implement our knowledge in the context of the real world.
Abstract
There has been an increasing use of the social networking sites to aid in the decision making process for making investments in the capital markets around the world by both individuals and organizations. Social networks enable a faster and easier access to information regarding capital markets to all. According to various researches, data from the social networking sites can be used to create models that can accurately predict the future stock prices up to a certain extent. Although this is a great achievement for the financial world, these models are in their preliminary stages and thus have various weaknesses. Even so these models are used by some organization for making investment decisions. The major drawback of the usage of social networking in capital markets is that it is very easy to provide false information to the people to manipulate stock prices. However, social media disseminates information through viral propagation, which is of great value in the world of trading. Thus, the convergence of social media and capital markets remains a promising area for research.
Introduction
Social Networks
When a computer network connects people or organizations, it is called an online social network. A social networking site is an online platform that focuses on facilitating the building of social networks or social relations among people who share common interests, activities, background or real-life connections. A social networking site consists of a representation of each user (often a profile) his or her social links and a variety of additional information. Some of the most popular social networking sites in the
Before going to the detail about our report, we would like to pay our gratitude to the Almighty Allah for helping us to prepare this report. We would also like to thank our honorable faculty in charge, Sayba Kamal Athoi (SBK) for giving us such a nice assignment to implement our knowledge in the context of the real world.
Abstract
There has been an increasing use of the social networking sites to aid in the decision making process for making investments in the capital markets around the world by both individuals and organizations. Social networks enable a faster and easier access to information regarding capital markets to all. According to various researches, data from the social networking sites can be used to create models that can accurately predict the future stock prices up to a certain extent. Although this is a great achievement for the financial world, these models are in their preliminary stages and thus have various weaknesses. Even so these models are used by some organization for making investment decisions. The major drawback of the usage of social networking in capital markets is that it is very easy to provide false information to the people to manipulate stock prices. However, social media disseminates information through viral propagation, which is of great value in the world of trading. Thus, the convergence of social media and capital markets remains a promising area for research.
Introduction
Social Networks
When a computer network connects people or organizations, it is called an online social network. A social networking site is an online platform that focuses on facilitating the building of social networks or social relations among people who share common interests, activities, background or real-life connections. A social networking site consists of a representation of each user (often a profile) his or her social links and a variety of additional information. Some of the most popular social networking sites in the