Risk Modelling and Prediction of Financial Management in Macro Industries using CNN Based Learning

Abstract

The financial risk management has been around for the past 20% years, it has already grown into a significant field of study. Being familiar with the stock market is not sufficient preparation for a career in risk management in today competitive environment. There are additional responsibilities that come into play here. Understanding the sophisticated mathematical models that are used to price financial derivatives is necessary for model validation, which has grown into its own statistical specialty. In this paper, the risk modelling is conducted using prediction-based model that uses convolutional neural network (CNN) to predict and model the risk in financial systems. Several risk factors associated with the payment gateway is analysed and predicted, based on which the risk is modelled. The simulation shows higher prediction accuracy by the system than the conventional risk models..