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Course Outline

Introduction

  • Distinction between statistical learning (statistical analysis) and machine learning
  • Trends in the adoption of machine learning technology and talent by financial and banking institutions

Different Types of Machine Learning

  • Supervised learning versus unsupervised learning
  • Iteration and evaluation processes
  • Understanding the bias-variance trade-off
  • Combining supervised and unsupervised learning (semi-supervised learning)

Machine Learning Languages and Toolsets

  • Comparison of open-source versus proprietary systems and software
  • Analysis of Python, R, and Matlab
  • Overview of libraries and frameworks

Machine Learning Case Studies

  • Utilizing consumer data and big data
  • Assessing risk in consumer and business lending
  • Enhancing customer service through sentiment analysis
  • Identifying identity fraud, billing fraud, and money laundering

Hands-on: Python for Machine Learning

  • Setting up the development environment
  • Acquiring Python machine learning libraries and packages
  • Working with scikit-learn and PyBrain

How to Load Machine Learning Data

  • Sources: databases, data warehouses, and streaming data
  • Distributed storage and processing using Hadoop and Spark
  • Exported data and Excel integration

Modeling Business Decisions with Supervised Learning

  • Classifying data (classification)
  • Using regression analysis to predict outcomes
  • Selecting from available machine learning algorithms
  • Understanding decision tree algorithms
  • Understanding random forest algorithms
  • Model evaluation techniques
  • Exercise

Regression Analysis

  • Linear regression
  • Generalizations and nonlinearity
  • Exercise

Classification

  • Bayesian refresher
  • Naive Bayes
  • Logistic regression
  • K-Nearest neighbors
  • Exercise

Hands-on: Building an Estimation Model

  • Assessing lending risk based on customer type and history

Evaluating the performance of Machine Learning Algorithms

  • Cross-validation and resampling
  • Bootstrap aggregation (bagging)
  • Exercise

Modeling Business Decisions with Unsupervised Learning

  • Scenarios where sample data sets are unavailable
  • K-means clustering
  • Challenges associated with unsupervised learning
  • Beyond K-means
  • Bayes networks and Markov Hidden Models
  • Exercise

Hands-on: Building a Recommendation System

  • Analyzing past customer behavior to improve new service offerings

Extending your company's capabilities

  • Developing models in the cloud
  • Accelerating machine learning with GPU
  • Applying Deep Learning neural networks for computer vision, voice recognition, and text analysis

Closing Remarks

Requirements

  • Experience with Python programming
  • Basic familiarity with statistics and linear algebra
 21 Hours

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