Thursday, August 18, 2011

Using Twitter to beat the market

About a year ago I blogged about a study that claimed to show that the mood on Twitter can predict stock market moves.   Well, it turns out that someone has started a hedge fund using this approach.

I was very skeptical about the original study and I remain skeptical about whether a hedge fund can make money in the long term using this method.   So far they have been going for a month and beaten the market.  As they say "one swallow does not a summer make"

HT: One of my MBA students - Damian.