Data Mining can be very valuable in financial analysis. If used properly it has the ability to sift through vast amounts of data to find hidden associations. Data Mining is typically used for the following tasks:

• Classification
• Clustering
• Association
• Regression
• Forecasting
• Sequence Analysis
• Deviation Analysis
  
  

Several different types of algorithms can be used to accomplish these tasks. Some useful ones the AI Investing uses for financial modeling include:

• Decision Trees
• Clustering
• Naive Bayes
• Association
• Neural Networks

They key to any data mining project is data preparation. Choosing the proper scope, input and prediction variables are essential to valuable results. that is why data cleansing and pre-processing is a key focus of any AI Investing data mining project.