papersSEP 12 04:00 UTC
Context-Augmented LLMs Used to Improve Financial Forecasting with Alternative Data
A new arXiv paper examines how large language models can incorporate alternative data sources, such as consumer transactions, web traffic, and prediction markets, when forecasting a company's future financial performance. The authors argue these non-traditional signals offer timely insight into a firm's operating activity and propose augmenting LLMs with contextual information to make such data usable in forecasting tasks.