Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecasts

Abstract The financial health of leading enterprises has a significant impact on the sustainable development of the global economy. Most data-driven financial health forecasts are based on the direct use of small-scale machine learning. In this study, we proposed the idea of optimization coupling le...

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Main Authors: Lin Zhu, Zhihua Zhang, M. James C. Crabbe
Format: Article
Language:English
Published: SpringerOpen 2025-02-01
Series:Financial Innovation
Subjects:
Online Access:https://doi.org/10.1186/s40854-024-00748-7
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author Lin Zhu
Zhihua Zhang
M. James C. Crabbe
author_facet Lin Zhu
Zhihua Zhang
M. James C. Crabbe
author_sort Lin Zhu
collection DOAJ
description Abstract The financial health of leading enterprises has a significant impact on the sustainable development of the global economy. Most data-driven financial health forecasts are based on the direct use of small-scale machine learning. In this study, we proposed the idea of optimization coupling learning to improve these machine learning models in financial health forecasting. It not only revealed lagging, immediate, continuous impacts of various indicators in different fiscal year, but also had the same low computational cost and complexity as known small-scale machine learning models. We used our optimization coupling learning to investigate 3424 leading enterprises in China and revealed inner triggering mechanisms and differences of enterprises' financial health status from individual behavior to macro level.
format Article
id doaj-art-2cf86f09de2549cb8bacf02437fe2188
institution Kabale University
issn 2199-4730
language English
publishDate 2025-02-01
publisher SpringerOpen
record_format Article
series Financial Innovation
spelling doaj-art-2cf86f09de2549cb8bacf02437fe21882025-02-09T12:51:09ZengSpringerOpenFinancial Innovation2199-47302025-02-0111111810.1186/s40854-024-00748-7Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecastsLin Zhu0Zhihua Zhang1M. James C. Crabbe2AI for Digital Earth Group, School of Mathematics, Shandong UniversityAI for Digital Earth Group, School of Mathematics, Shandong UniversityWolfson College, University of OxfordAbstract The financial health of leading enterprises has a significant impact on the sustainable development of the global economy. Most data-driven financial health forecasts are based on the direct use of small-scale machine learning. In this study, we proposed the idea of optimization coupling learning to improve these machine learning models in financial health forecasting. It not only revealed lagging, immediate, continuous impacts of various indicators in different fiscal year, but also had the same low computational cost and complexity as known small-scale machine learning models. We used our optimization coupling learning to investigate 3424 leading enterprises in China and revealed inner triggering mechanisms and differences of enterprises' financial health status from individual behavior to macro level.https://doi.org/10.1186/s40854-024-00748-7Financial health forecastsOptimization coupling learningTriggering mechanismsSmall-scale models
spellingShingle Lin Zhu
Zhihua Zhang
M. James C. Crabbe
Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecasts
Financial Innovation
Financial health forecasts
Optimization coupling learning
Triggering mechanisms
Small-scale models
title Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecasts
title_full Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecasts
title_fullStr Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecasts
title_full_unstemmed Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecasts
title_short Exploring small-scale optimization coupling learning approaches for enterprises’ financial health forecasts
title_sort exploring small scale optimization coupling learning approaches for enterprises financial health forecasts
topic Financial health forecasts
Optimization coupling learning
Triggering mechanisms
Small-scale models
url https://doi.org/10.1186/s40854-024-00748-7
work_keys_str_mv AT linzhu exploringsmallscaleoptimizationcouplinglearningapproachesforenterprisesfinancialhealthforecasts
AT zhihuazhang exploringsmallscaleoptimizationcouplinglearningapproachesforenterprisesfinancialhealthforecasts
AT mjamesccrabbe exploringsmallscaleoptimizationcouplinglearningapproachesforenterprisesfinancialhealthforecasts