# Advancing Financial Risk Prediction Through Optimized LSTM Model Performance and Comparative Analysis

arXiv: https://arxiv.org/abs/2405.20603 · HTML: https://mlsanity.com/paper/2405.20603/

## Key facts

- Cited by 5 papers in the map (data through 14 Oct 2026).
- Builds on 11 of its 38 references that are in the map.
- First posted on arXiv 31 May 2024.

## Builds on (most cited first, 11 of 11)

- [XGBoost: A Scalable Tree Boosting System](https://mlsanity.com/paper/1603.02754/) (2016)
- [Survival Prediction Across Diverse Cancer Types Using Neural Networks](https://mlsanity.com/paper/2404.08713/) (2024)
- [Deception Detection from Linguistic and Physiological Data Streams Using Bimodal Convolutional Neural Networks](https://mlsanity.com/paper/2311.10944/) (2023)
- [Convolutional neural network classification of cancer cytopathology images: taking breast cancer as an example](https://mlsanity.com/paper/2404.08279/) (2024)
- [Exploring Diverse Methods in Visual Question Answering](https://mlsanity.com/paper/2404.13565/) (2024)
- [Improving Depth Gradient Continuity in Transformers: A Comparative Study on Monocular Depth Estimation with CNN](https://mlsanity.com/paper/2308.08333/) (2023)
- [Regional Style and Color Transfer](https://mlsanity.com/paper/2404.13880/) (2024)
- [The value of text for small business default prediction: A deep learning approach](https://mlsanity.com/paper/2003.08964/) (2020)
- [Constrained Attractor Selection Using Deep Reinforcement Learning](https://mlsanity.com/paper/1909.10500/) (2019)
- [Attractor Selection in Nonlinear Energy Harvesting Using Deep Reinforcement Learning](https://mlsanity.com/paper/2010.01255/) (2020)
- [Utilizing Large Language Models for Information Extraction from Real Estate Transactions](https://mlsanity.com/paper/2404.18043/) (2024)

## Built on by (most cited first, 5 of 5)

- [Attention Mechanism and Context Modeling System for Text Mining Machine Translation](https://mlsanity.com/paper/2408.04216/) (2024)
- [A comparative study of generative adversarial networks for image recognition algorithms based on deep learning and traditional methods](https://mlsanity.com/paper/2408.03568/) (2024)
- [Algorithm Research of ELMo Word Embedding and Deep Learning Multimodal Transformer in Image Description](https://mlsanity.com/paper/2408.06357/) (2024)
- [Applying Conditional Generative Adversarial Networks for Imaging Diagnosis](https://mlsanity.com/paper/2408.02074/) (2024)
- [Exploiting Diffusion Prior for Out-of-Distribution Detection](https://mlsanity.com/paper/2406.11105/) (2024)

## Abstract (arXiv)

This paper focuses on the application and optimization of LSTM model in financial risk prediction. The study starts with an overview of the architecture and algorithm foundation of LSTM, and then details the model training process and hyperparameter tuning strategy, and adjusts network parameters through experiments to improve performance. Comparative experiments show that the optimized LSTM model shows significant advantages in AUC index compared with random forest, BP neural network and XGBoost, which verifies its efficiency and practicability in the field of financial risk prediction, especially its ability to deal with complex time series data, which lays a solid foundation for the application of the model in the actual production environment.