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Financial Sentiment Analysis on News and Reports Using Large Language Models and FinBERT

  • arXiv (Cornell University)
  • Cornell University
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Abstract

Financial sentiment analysis (FSA) is crucial for evaluating market sentiment and making well-informed financial decisions. The advent of large language models (LLMs) such as BERT and its financial variant, FinBERT, has notably enhanced sentiment analysis capabilities. This paper investigates the application of LLMs and FinBERT for FSA, comparing their performance on news articles, financial reports and company announcements. The study emphasizes the advantages of prompt engineering with zero-shot and few-shot strategy to improve sentiment classification accuracy. Experimental results indicate that GPT-4o, with few-shot examples of financial texts, can be as competent as a well fine-tuned FinBERT in this specialized field.

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Publication details

DOI
10.48550/arxiv.2410.01987
OpenAlex
W4403854135
Document type
preprint
Language
EN
Source
arXiv (Cornell University)
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