Want to see how market contagion happens? We did too. HIVE-NET reveals all.

You know that feeling you have when everything is going just fine n dandy... and then everything explodes all at once? Yeah, like in a Bruce Willis movie. BOOM!

...or like when the kids go back to school and everyone gets the flu, instantly? (Good news, school's back in session in a few weeks. Bam. Everyone, sick. Thank me later.)

Anyway, the word we're looking for here is... drumroll please: "Contagion" 

Within the markets, you know that same feeling you get when you look at your portfolio and everything is going just fine n dandy... and then everything explodes all at once? Yeah, like last August. BUST! Well, contagion exists not just in human networks, but in financial networks too.

What we're highlighting in this paper here is that our HIVE-NET system allows you to know ahead of time which symbols are contagious to other symbols... or in other words, the systematic relationship between a symbol and the financial markets.

What the HIVE-NET is doing here, is generating 48 unique factors which are a new and fresh way of modeling similarities and patterns of social activities, which have a causal link to an asset's price behavior.

Or, in other words, HIVE-NET identifies the hidden correlations between symbols, using the latest techniques in unsupervised learning algorithms. This innovation allows trading firms a new way to quantify the systematic correlation and diversification of the financial markets.

Now you'll know when somebody sneezes, and who's about to get sick next.