Tags: Trump Administration | trump | tweet | invest | app

New App Lets You Invest Whenever Trump Mentions a Company

New App Lets You Invest Whenever Trump Mentions a Company

 (Getty/Saul Loeb)

By    |   Friday, 10 February 2017 01:26 PM

You say you want to keep up with President Donald Trump's Twitter feed and how it will sway your investment decisions, but you just can't? 

Now there's an app for that.

Programmer Max Braun’s app, called Trump2Cash, “watches Trump's feed and does a sentiment analysis on any Tweet mentioning a public company,” TechCrunch.com reported.

“With the rise of algorithmic stock trading it’s gotten harder and harder for humans to actually trade strategically. However, now that Trump’s chaotic twitter feed can make or break a company with a single mention, you can easily trade against positive or negative sentiment,” TechCrunch explained.

“Check out the benchmark report. It’s essentially a test run that shows you how the algorithm performs on past tweets and market data. You’ll see that it sometimes misses a company or gets a sentiment wrong, but it also gets it right a lot. The trading strategy sometimes leaves you up and sometimes down,” Braun wrote.

“Overall, the algorithm seems to succeed more often than not: The simulated fund has an annualized return of about 59% since inception. There are limits to the simulation and the underlying data, so take it all with a grain of salt,” Braun cautioned.

To be sure, Trump is injecting himself into the daily business of U.S. companies to an unprecedented extent, spurring investors and executives to weigh their exposure to his wrath when making decisions, Bloomberg reported.

Not even three weeks into Trump’s presidency, the moves fit a familiar pattern in his dealings with companies: do what Trump wants, or face a presidential rebuke, Bloomberg reported.

This direct, company-by-company intervention is forcing CEOs and corporate boards into a choice they’ve never before faced with a sitting president -- are we with him, or against him? -- in a way that distorts normal decision-making and conflicts with shareholder interests, Bloomberg reported.

"There are some firms that are invariably going to hold back their punches; they are holding back certain announcements or decisions because this is a time of uncertainty," said Mohan Tatikonda, a professor at Indiana University’s Kelley School of Business. "On the other hand, there are firms that are taking advantage of the climate."

"Damned if you do, damned if you don’t," he said.

(Newsmax wires services the Associated Press, Bloomberg and Reuters contributed to this report).

© 2021 Newsmax Finance. All rights reserved.


   
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You say you want to keep up with President Donald Trump's Twitter feed and how it will sway your investment decisions, but you just can't? There's an app for that.
trump, tweet, invest, app
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2017-26-10
Friday, 10 February 2017 01:26 PM
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