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Volatility Forecasting with Machine Learning and Intraday Commonality

Bibliographic record. Follow the original-source link for the publication.

Field Value
Primary domain Volatility
Other domains
Methods Financial Ml, Research Methods
Facets
Authors Chao Zhang, Yihuang Zhang, Mihai Cucuringu, Zhongmin Qian
Published 2023-03-20
Source Journal of Financial Econometrics
Identifiers doi:10.1093/jjfinec/nbad005
URL Open original source

Editorial synthesis

Why it matters

This peer-reviewed version shares the same core claims as the earlier preprint and thus is structurally more usable as a benchmark; still, universality and superiority claims remain boundary-sensitive. (abstract:S1, abstract:S2, abstract:S3, abstract:S5)

Main author claims

  • The authors forecast intraday realized volatility using pooled intraday commonality and a market-volatility proxy. (abstract:S1)
  • They claim neural networks outperform linear and tree models and remain robust on stocks not included in training. (abstract:S2, abstract:S3)
  • They claim proposed forecasts using past intraday RV and time-of-day effects outperform strong daily-RV-only baselines out of sample. (abstract:S4, abstract:S5)

Data, method, or discussion scope

Evidence is confined to abstract claims about model choice and performance, without explicit forecast metric definitions, error distributions, or hyperparameters. (abstract:S1, abstract:S2, abstract:S5)

Main limitations

No sensitivity analysis is provided for asset-pool size, intraday partition choices, or non-stationary regime-induced performance degradation. (abstract:S3, abstract:S4, abstract:S5)

Relationships