Modelling A.I. in Economics

BIP.UN Target Price Forecast

Abstract

We evaluate Brookfield Infrastructure Partners L.P. prediction models with Supervised Machine Learning (ML) and Sign Test1,2,3,4 and conclude that the BIP.UN stock is predictable in the short/long term. According to price forecasts for (n+4 weeks) period: The dominant strategy among neural network is to Hold BIP.UN stock.


Keywords: BIP.UN, Brookfield Infrastructure Partners L.P., stock forecast, machine learning based prediction, risk rating, buy-sell behaviour, stock analysis, target price analysis, options and futures.

Key Points

  1. Which neural network is best for prediction?
  2. What are main components of Markov decision process?
  3. How accurate is machine learning in stock market?

BIP.UN Target Price Prediction Modeling Methodology

We consider Brookfield Infrastructure Partners L.P. Stock Decision Process with Sign Test where A is the set of discrete actions of BIP.UN stock holders, F is the set of discrete states, P : S × F × S → R is the transition probability distribution, R : S × F → R is the reaction function, and γ ∈ [0, 1] is a move factor for expectation.1,2,3,4


F(Sign Test)5,6,7= p a 1 p a 2 p 1 n p j 1 p j 2 p j n p k 1 p k 2 p k n p n 1 p n 2 p n n X R(Supervised Machine Learning (ML)) X S(n):→ (n+4 weeks) i = 1 n s i

n:Time series to forecast

p:Price signals of BIP.UN stock

j:Nash equilibria

k:Dominated move

a:Best response for target price

 

For further technical information as per how our model work we invite you to visit the article below: 

How do AC Investment Research machine learning (predictive) algorithms actually work?

BIP.UN Stock Forecast (Buy or Sell) for (n+4 weeks)

Sample Set: Neural Network
Stock/Index: BIP.UN Brookfield Infrastructure Partners L.P.
Time series to forecast n: 04 Sep 2022 for (n+4 weeks)

According to price forecasts for (n+4 weeks) period: The dominant strategy among neural network is to Hold BIP.UN stock.

X axis: *Likelihood% (The higher the percentage value, the more likely the event will occur.)

Y axis: *Potential Impact% (The higher the percentage value, the more likely the price will deviate.)

Z axis (Yellow to Green): *Technical Analysis%


Conclusions

Brookfield Infrastructure Partners L.P. assigned short-term Ba3 & long-term B2 forecasted stock rating. We evaluate the prediction models Supervised Machine Learning (ML) with Sign Test1,2,3,4 and conclude that the BIP.UN stock is predictable in the short/long term. According to price forecasts for (n+4 weeks) period: The dominant strategy among neural network is to Hold BIP.UN stock.

Financial State Forecast for BIP.UN Stock Options & Futures

Rating Short-Term Long-Term Senior
Outlook*Ba3B2
Operational Risk 5341
Market Risk5944
Technical Analysis5239
Fundamental Analysis8787
Risk Unsystematic7763

Prediction Confidence Score

Trust metric by Neural Network: 75 out of 100 with 523 signals.

References

  1. Y. Chow and M. Ghavamzadeh. Algorithms for CVaR optimization in MDPs. In Advances in Neural Infor- mation Processing Systems, pages 3509–3517, 2014.
  2. Swaminathan A, Joachims T. 2015. Batch learning from logged bandit feedback through counterfactual risk minimization. J. Mach. Learn. Res. 16:1731–55
  3. N. B ̈auerle and J. Ott. Markov decision processes with average-value-at-risk criteria. Mathematical Methods of Operations Research, 74(3):361–379, 2011
  4. Scholkopf B, Smola AJ. 2001. Learning with Kernels: Support Vector Machines, Regularization, Optimization, and Beyond. Cambridge, MA: MIT Press
  5. R. Sutton and A. Barto. Reinforcement Learning. The MIT Press, 1998
  6. Bera, A. M. L. Higgins (1997), "ARCH and bilinearity as competing models for nonlinear dependence," Journal of Business Economic Statistics, 15, 43–50.
  7. D. White. Mean, variance, and probabilistic criteria in finite Markov decision processes: A review. Journal of Optimization Theory and Applications, 56(1):1–29, 1988.
Frequently Asked QuestionsQ: What is the prediction methodology for BIP.UN stock?
A: BIP.UN stock prediction methodology: We evaluate the prediction models Supervised Machine Learning (ML) and Sign Test
Q: Is BIP.UN stock a buy or sell?
A: The dominant strategy among neural network is to Hold BIP.UN Stock.
Q: Is Brookfield Infrastructure Partners L.P. stock a good investment?
A: The consensus rating for Brookfield Infrastructure Partners L.P. is Hold and assigned short-term Ba3 & long-term B2 forecasted stock rating.
Q: What is the consensus rating of BIP.UN stock?
A: The consensus rating for BIP.UN is Hold.
Q: What is the prediction period for BIP.UN stock?
A: The prediction period for BIP.UN is (n+4 weeks)

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