# Modeling stock price dynamics on the Ghana Stock Exchange: A Geometric Brownian Motion approach

arXiv: https://arxiv.org/abs/2403.13192 · HTML: https://mlsanity.com/paper/2403.13192/

## Key facts

- Cited by 1 papers in the map (data through 14 Oct 2026).
- First posted on arXiv 19 Mar 2024.

## Built on by (most cited first, 1 of 1)

- [QADQN: Quantum Attention Deep Q-Network for Financial Market Prediction](https://mlsanity.com/paper/2408.03088/) (2024)

## Abstract (arXiv)

Modeling financial data often relies on assumptions that may prove insufficient or unrealistic in practice. The Geometric Brownian Motion (GBM) model is frequently employed to represent stock price processes. This study investigates whether the behavior of weekly and monthly returns of selected equities listed on the Ghana Stock Exchange conforms to the GBM model. Parameters of the GBM model were estimated for five equities, and forecasts were generated for three months. Evaluation of estimation accuracy was conducted using mean square error (MSE). Results indicate that the expected prices from the modeled equities closely align with actual stock prices observed on the Exchange. Furthermore, while some deviations were observed, the actual prices consistently fell within the estimated confidence intervals.