Traversing multiple dataframes simultaneously - python

I have three dataframes of three users with same column names like time, compass data,accelerometer data, gyroscope data and camera panning information. I want to traverse all the dataframes simultaneously to check for a particular time which user has performed camera panning and return the user(like in which data frame panning has been detected for a particular time). I have tried using dash for achieving parallelism but in vain. below is my code
import pandas as pd
import glob
import numpy as np
import math
from scipy.signal import butter, lfilter
order=3
fs=30
cutoff=4.0
data=[]
gx=[]
gy=[]
g_x2=[]
g_y2=[]
dataList = glob.glob(r'C:\Users\chaitanya\Desktop\Thesis\*.csv')
for csv in dataList:
data.append(pd.read_csv(csv))
for i in range(0, len(data)):
data[i] = data[i].groupby("Time").agg(lambda x: x.value_counts().index[0])
data[i].reset_index(level=0, inplace=True)
def butter_lowpass(cutoff,fs,order=5):
nyq=0.5 * fs
nor=cutoff / nyq
b,a=butter(order,nor,btype='low', analog=False)
return b,a
def lowpass_filter(data,cutoff,fs,order=5):
b,a=butter_lowpass(cutoff,fs,order=order)
y=lfilter(b,a,data)
return y
for i in range(0,len(data)):
gx.append(lowpass_filter(data[i]["Gyro_X"],cutoff,fs,order))
gy.append(lowpass_filter(data[i]["Gyro_Y"],cutoff,fs,order))
g_x2.append(gx[i]*gx[i])
g_y2.append(gy[i]*gy[i])
g_rad=[[] for _ in range(len(data))]
g_ang=[[] for _ in range(len(data))]
for i in range(0,len(data)):
for j in range(0,len(data[i])):
g_ang[i].append(math.degrees(math.atan(gy[i][j]/gx[i][j])))
data[i]["Ang"]=g_ang[i]
panning=[[] for _ in range(len(data))]
for i in range(0,len(data)):
for j in data[i]["Ang"]:
if 0-30<=j<=0+30:
panning[i].append("Panning")
elif 180-30<=j<=180+30:
panning[i].append("left")
else:
panning[i].append("None")
data[i]["Panning"]=panning[i]
result=[[] for _ in range(len(data))]
for i in range (0,len(data)):
result[i].append(data[i].loc[data[i]['Panning']=='Panning','Ang'])

I'm going to make the assumption that you want to traverse simultaneously in time. In any case, you want your three dataframes to have an index in the dimension you want to traverse.
I'll generate 3 dataframes with rows representing random seconds in a 9 second period.
Then, I'll align these with a pd.concat and ffill to be able to reference the last known data for any gaps.
seconds = pd.date_range('2016-08-31', periods=10, freq='S')
n = 6
ssec = seconds.to_series()
sidx = ssec.sample(n).index
df1 = pd.DataFrame(np.random.randint(1, 10, (n, 3)),
ssec.sample(n).index.sort_values(),
['compass', 'accel', 'gyro'])
df2 = pd.DataFrame(np.random.randint(1, 10, (n, 3)),
ssec.sample(n).index.sort_values(),
['compass', 'accel', 'gyro'])
df3 = pd.DataFrame(np.random.randint(1, 10, (n, 3)),
ssec.sample(n).index.sort_values(),
['compass', 'accel', 'gyro'])
df4 = pd.concat([df1, df2, df3], axis=1, keys=['df1', 'df2', 'df3']).ffill()
df4
you can then proceed to walk through via iterrows()
for tstamp, row in df4.iterrows():
print tstamp

Related

Generating and Storing Samples of an Exponential Distribution with a name for each sample using a loop

I've got a weird question for a class project. Assuming X ~ Exp(Lambda), Lambda=1.6, I have to generate 100 samples of X, with the indices corresponding to the sample size of each generated sample (S1, S2 ... S100). I've worked out a simple loop which generate the required samples in array, but i am not able to rename the array.
First attempt:
import numpy as np
import matplotlib.pyplot as plt
samples = []
for i in range(1,101,1):
samples.append(np.random.exponential(scale= 1/1.6, size= i))
Second attempt:
import numpy as np
import matplotlib.pyplot as plt
for i in range(1,101,1):
samples = np.random.exponential(scale= 1/1.2, size= i)
col = f'samples {i}'
df_samples[col] = exponential_sample
df_samples = pd.DataFrame(samples)
An example how I would like to visualize the data:
# drawing 50 random samples of size 2 from the exponentially distributed population
sample_size = 2
df2 = pd.DataFrame(index= ['x1', 'x2'] )
for i in range(1, 51):
exponential_sample = np.random.exponential((1/rate), sample_size)
col = f'sample {i}'
df2[col] = exponential_sample
# Taking a peek at the samples
df2
But instead of having a simple size = 2, I would like to have sample size = i. This way, I will be able to generate 1 rows for the first column (S1), 2 rows for the second column (S2), until I reach 100 rows for the 100th column (S100).
You cannot stick vectors of different lengths easily into a df so your mock-up code would not work, but you can concat one vector at a time:
df = pd.DataFrame()
for i in range(100,10100,100):
tmp = pd.DataFrame({f'S{i}':np.random.exponential(scale= 1/1.2, size= i)})
df = pd.concat([df, tmp], axis=1)
Use a dict instead maybe?
samples = {}
for i in range(100,10100,100):
samples[i] = np.random.exponential(scale= 1/1.2, size= i)
Then you can convert it into a pandas Dataframe if you like.

Split data frame in python based on one parameter shape

I have a data frame which is like the following :
import pandas as pd
import numpy as np
import matplotlib.pyplot as plt
import os
import csv
import matplotlib.pyplot as plt
import seaborn as sns
import warnings
df_input = pd.read_csv('combine_input.csv', delimiter=',')
df_output = pd.read_csv('combine_output.csv', delimiter=',')
In this data frame, there are many repeated rows for example the first row is repeated more than 1000 times, and so on for the other rows
when I plot the time distribution I got that figure which shows that the frequency of the time parameter
df_input.plot(y='time',kind = 'hist',figsize=(10,10))
plt.grid()
plt.show()
My question is how can I take the data only in the following red rectangular for example at time = 0.006 and frequency = 0.75 1e6 ( check the following pic )
Note: InPlace of target you have to write time as your column name Is time,or change column name to target
def calRows(df,x,y):
#df For consideration
df1 = pd.DataFrame(df.target[df.target<=x])
minCount = len(df1)
targets = df1.target.unique()
for i in targets:
count = int(df1[df1.target == i].count())
if minCount > count:
minCount = count
if minCount > y:
minCount = int(y)
return minCount
You have To pass your data frame, x-intercept of the graph, y-intercept of graph to calRows(df,x,y) function which will return the number of rows to take for each target.
rows = CalRows(df,6,75)
print(rows)
takeFeatures(df,rows,x) function will take dataframe, rows (result of first function), x-intercept of graph and will return you the final dataframe.
def takeFeatures(df,rows,x):
finalDf = pd.DataFrame(columns = df.columns)
df1 = df[df.target<=x]
targets = df1.target.unique()
for i in targets:
targeti = df1[df1.target==i]
sample = targeti.sample(rows)
finalDf = pd.concat([finalDf,sample])
return finalDf
Calling takeFeature() Function
final = takeFeatures(df,rows,6)
print(final)
Your Final DataFrame will have the Values ThatYou expected in Graph
And After Plotting this final dataframe you will get like this graph

Pandas iteration over rows for features calculation

I have a pandas data frame and I want to calculate some features based on some short_window, long_window and bins values. More specifically, for each different row, I want to calculate some features. In order to do so, I move one row forward the df_long = df.loc[row:long_window+row] such as in the first iteration the pandas data frame for row=0 would be df_long = df.loc[0:50+0] and some features would be calculated based on this data frame, for row=1 would be df_long = df.loc[1:50+1] and some other features would be calculated and continues.
from numpy.random import seed
from numpy.random import randint
import pandas as pd
from joblib import Parallel, delayed
bins = 12
short_window = 10
long_window = 50
# seed random number generator
seed(1)
price = pd.DataFrame({
'DATE_TIME': pd.date_range('2012-01-01', '2012-02-01', freq='30min'),
'value': randint(2, 20, 1489),
'amount': randint(50, 200, 1489)
})
def vap(row, df, short_window, long_window, bins):
df_long = df.loc[row:long_window+row]
df_short = df_long.tail(short_window)
binning = pd.cut(df_long['value'], bins, retbins=True)[1]
group_months = pd.DataFrame(df_short['amount'].groupby(pd.cut(df_short['value'], binning)).sum())
return group_months['amount'].tolist(), df.loc[long_window + row + 1, 'DATE_TIME']
def feature_extraction(data, short_window, long_window, bins):
# Vap feature extraction
ls = [f"feature{row + 1}" for row in range(bins)]
amount, date = zip(*Parallel(n_jobs=4)(delayed(vap)(i, data, short_window, long_window, bins)
for i in range(0, data.shape[0] - long_window - 1)))
temp = pd.DataFrame(date, columns=['DATE_TIME'])
temp[ls] = pd.DataFrame(amount, index=temp.index)
data = data.merge(temp, on='DATE_TIME', how='outer')
return data
df = feature_extraction(price, short_window, long_window, bins)
I tried to run it in parallel in order to save time but due to the dimensions of my data, it takes a long of time to finish.
Is there any way to change this iterative process (df_long = df.loc[row:long_window+row]) in order to reduce the computational cost? I was wondering if there is any way to use pandas.rolling but I am not sure how to use it in this case.
Any help would be much appreciated!
Thank you
This is the first try to speed up the calculation. I checked the first 100 rows and found out that the binning variable was always the same. So I managed to do an efficient algorithm with fixed bins. But when I checked the function on the whole data, I found out that there are about 100 lines out of 1489, that had a different binning variable so the solution below deviates in 100 lines from the original answer.
Benchmarking:
My fast function: 28 ms
My precise function: 388 ms
Original function: 12200 ms
So a speed up of around 500 times for the fast function and 20 times for precise function
Fast function code:
def feature_extraction2(data, short_window, long_window, bins):
ls = [f"feature{row + 1}" for row in range(bins)]
binning = pd.cut([2,19], bins, retbins=True)[1]
bin_group = np.digitize(data['value'], binning, right=True)
l_sum = []
for i in range(1, bins+1):
sum1 = ((bin_group == i)*data['amount']).rolling(short_window).sum()
l_sum.append(sum1)
ar_sum = np.array(l_sum).T
ar_shifted = np.empty_like(ar_sum)
ar_shifted[:long_window+1,:] = np.nan
ar_shifted[long_window+1:,:] = ar_sum[long_window:-1,:]
temp = pd.DataFrame(ar_shifted, columns = ls)
data = pd.concat([data,temp], axis = 1, sort = False)
return data
Precise function:
data = price.copy()
# Vap feature extraction
ls = [f"feature{row + 1}" for row in range(bins)]
data.shape[0] - long_window - 1)))
norm_volume = []
date = []
for i in range(0, data.shape[0] - long_window - 1):
row = i
df = data
df_long = df.loc[row:long_window+row]
df_short = df_long.tail(short_window)
binning = pd.cut(df_long['value'], bins, retbins=True)[1]
group_months = df_short['amount'].groupby(pd.cut(df_short['value'], binning)).sum().values
x,y = group_months, df.loc[long_window + row + 1, 'DATE_TIME']
norm_volume.append(x)
date.append(y)
temp = pd.DataFrame(date, columns=['DATE_TIME'])
temp[ls] = pd.DataFrame(norm_volume, index=temp.index)
data = data.merge(temp, on='DATE_TIME', how='outer')

How do I use the output of pandas.ewm.cov?

How is one intended to use the output of the pandas.ewm.cov function. I would presume that there are functions that allow you to directly use it in the form returned for multiplication, but nothing I try seems to work.
For example, suppose I take a minimal use case, stock X and Y returns timeseries in DF1, so we estimate an ewma covariance matrix, then to get the variance estimate for a portfolio of position A and B (given in DF2) I need to compute $x^T C x$, but I can't find the command to do this without writing a for loop?
# Python 3.6, pandas 0.20
import pandas as pd
import numpy as np
np.random.seed(100)
DF1 = pd.DataFrame(dict(X = np.random.normal(size = 100), Y = np.random.normal(size = 100)))
DF2 = pd.DataFrame(dict(A = np.random.normal(size = 100), B = np.random.normal(size = 100)))
COV = DF1.ewm(10).cov()
print(DF1)
print(COV)
# All of the following are invalid
print(COV.dot(DF2))
print(DF2.dot(COV))
print(COV.multiply(DF2))
The best I can figure out is this ugly piece of code
COV.reset_index().rename(columns = dict(level_0 = "index", level_1 = "variable"), inplace = True)
DF2m = pd.melt(DF2.reset_index(), id_vars = "index").sort_values("index")
MDF = pd.merge(COV, DF2m, on=["index", "variable"])
VAR = MDF.groupby("index").apply(lambda x: np.dot(np.dot(x["value"], np.matrix([x["X"], x["Y"]])), x["value"])[0,0])
I hold out hope that there is a nice way to do this...

Efficient Python Pandas Stock Beta Calculation on Many Dataframes

I have many (4000+) CSVs of stock data (Date, Open, High, Low, Close) which I import into individual Pandas dataframes to perform analysis. I am new to python and want to calculate a rolling 12month beta for each stock, I found a post to calculate rolling beta (Python pandas calculate rolling stock beta using rolling apply to groupby object in vectorized fashion) however when used in my code below takes over 2.5 hours! Considering I can run the exact same calculations in SQL tables in under 3 minutes this is too slow.
How can I improve the performance of my below code to match that of SQL? I understand Pandas/python has that capability. My current method loops over each row which I know slows performance but I am unaware of any aggregate way to perform a rolling window beta calculation on a dataframe.
Note: the first 2 steps of loading the CSVs into individual dataframes and calculating daily returns only takes ~20seconds. All my CSV dataframes are stored in the dictionary called 'FilesLoaded' with names such as 'XAO'.
Your help would be much appreciated!
Thank you :)
import pandas as pd, numpy as np
import datetime
import ntpath
pd.set_option('precision',10) #Set the Decimal Point precision to DISPLAY
start_time=datetime.datetime.now()
MarketIndex = 'XAO'
period = 250
MinBetaPeriod = period
# ***********************************************************************************************
# CALC RETURNS
# ***********************************************************************************************
for File in FilesLoaded:
FilesLoaded[File]['Return'] = FilesLoaded[File]['Close'].pct_change()
# ***********************************************************************************************
# CALC BETA
# ***********************************************************************************************
def calc_beta(df):
np_array = df.values
m = np_array[:,0] # market returns are column zero from numpy array
s = np_array[:,1] # stock returns are column one from numpy array
covariance = np.cov(s,m) # Calculate covariance between stock and market
beta = covariance[0,1]/covariance[1,1]
return beta
#Build Custom "Rolling_Apply" function
def rolling_apply(df, period, func, min_periods=None):
if min_periods is None:
min_periods = period
result = pd.Series(np.nan, index=df.index)
for i in range(1, len(df)+1):
sub_df = df.iloc[max(i-period, 0):i,:]
if len(sub_df) >= min_periods:
idx = sub_df.index[-1]
result[idx] = func(sub_df)
return result
#Create empty BETA dataframe with same index as RETURNS dataframe
df_join = pd.DataFrame(index=FilesLoaded[MarketIndex].index)
df_join['market'] = FilesLoaded[MarketIndex]['Return']
df_join['stock'] = np.nan
for File in FilesLoaded:
df_join['stock'].update(FilesLoaded[File]['Return'])
df_join = df_join.replace(np.inf, np.nan) #get rid of infinite values "inf" (SQL won't take "Inf")
df_join = df_join.replace(-np.inf, np.nan)#get rid of infinite values "inf" (SQL won't take "Inf")
df_join = df_join.fillna(0) #get rid of the NaNs in the return data
FilesLoaded[File]['Beta'] = rolling_apply(df_join[['market','stock']], period, calc_beta, min_periods = MinBetaPeriod)
# ***********************************************************************************************
# CLEAN-UP
# ***********************************************************************************************
print('Run-time: {0}'.format(datetime.datetime.now() - start_time))
Generate Random Stock Data
20 Years of Monthly Data for 4,000 Stocks
dates = pd.date_range('1995-12-31', periods=480, freq='M', name='Date')
stoks = pd.Index(['s{:04d}'.format(i) for i in range(4000)])
df = pd.DataFrame(np.random.rand(480, 4000), dates, stoks)
df.iloc[:5, :5]
Roll Function
Returns groupby object ready to apply custom functions
See Source
def roll(df, w):
# stack df.values w-times shifted once at each stack
roll_array = np.dstack([df.values[i:i+w, :] for i in range(len(df.index) - w + 1)]).T
# roll_array is now a 3-D array and can be read into
# a pandas panel object
panel = pd.Panel(roll_array,
items=df.index[w-1:],
major_axis=df.columns,
minor_axis=pd.Index(range(w), name='roll'))
# convert to dataframe and pivot + groupby
# is now ready for any action normally performed
# on a groupby object
return panel.to_frame().unstack().T.groupby(level=0)
Beta Function
Use closed form solution of OLS regression
Assume column 0 is market
See Source
def beta(df):
# first column is the market
X = df.values[:, [0]]
# prepend a column of ones for the intercept
X = np.concatenate([np.ones_like(X), X], axis=1)
# matrix algebra
b = np.linalg.pinv(X.T.dot(X)).dot(X.T).dot(df.values[:, 1:])
return pd.Series(b[1], df.columns[1:], name='Beta')
Demonstration
rdf = roll(df, 12)
betas = rdf.apply(beta)
Timing
Validation
Compare calculations with OP
def calc_beta(df):
np_array = df.values
m = np_array[:,0] # market returns are column zero from numpy array
s = np_array[:,1] # stock returns are column one from numpy array
covariance = np.cov(s,m) # Calculate covariance between stock and market
beta = covariance[0,1]/covariance[1,1]
return beta
print(calc_beta(df.iloc[:12, :2]))
-0.311757542437
print(beta(df.iloc[:12, :2]))
s0001 -0.311758
Name: Beta, dtype: float64
Note the first cell
Is the same value as validated calculations above
betas = rdf.apply(beta)
betas.iloc[:5, :5]
Response to comment
Full working example with simulated multiple dataframes
num_sec_dfs = 4000
cols = ['Open', 'High', 'Low', 'Close']
dfs = {'s{:04d}'.format(i): pd.DataFrame(np.random.rand(480, 4), dates, cols) for i in range(num_sec_dfs)}
market = pd.Series(np.random.rand(480), dates, name='Market')
df = pd.concat([market] + [dfs[k].Close.rename(k) for k in dfs.keys()], axis=1).sort_index(1)
betas = roll(df.pct_change().dropna(), 12).apply(beta)
for c, col in betas.iteritems():
dfs[c]['Beta'] = col
dfs['s0001'].head(20)
Using a generator to improve memory efficiency
Simulated data
m, n = 480, 10000
dates = pd.date_range('1995-12-31', periods=m, freq='M', name='Date')
stocks = pd.Index(['s{:04d}'.format(i) for i in range(n)])
df = pd.DataFrame(np.random.rand(m, n), dates, stocks)
market = pd.Series(np.random.rand(m), dates, name='Market')
df = pd.concat([df, market], axis=1)
Beta Calculation
def beta(df, market=None):
# If the market values are not passed,
# I'll assume they are located in a column
# named 'Market'. If not, this will fail.
if market is None:
market = df['Market']
df = df.drop('Market', axis=1)
X = market.values.reshape(-1, 1)
X = np.concatenate([np.ones_like(X), X], axis=1)
b = np.linalg.pinv(X.T.dot(X)).dot(X.T).dot(df.values)
return pd.Series(b[1], df.columns, name=df.index[-1])
roll function
This returns a generator and will be far more memory efficient
def roll(df, w):
for i in range(df.shape[0] - w + 1):
yield pd.DataFrame(df.values[i:i+w, :], df.index[i:i+w], df.columns)
Putting it all together
betas = pd.concat([beta(sdf) for sdf in roll(df.pct_change().dropna(), 12)], axis=1).T
Validation
OP beta calc
def calc_beta(df):
np_array = df.values
m = np_array[:,0] # market returns are column zero from numpy array
s = np_array[:,1] # stock returns are column one from numpy array
covariance = np.cov(s,m) # Calculate covariance between stock and market
beta = covariance[0,1]/covariance[1,1]
return beta
Experiment setup
m, n = 12, 2
dates = pd.date_range('1995-12-31', periods=m, freq='M', name='Date')
cols = ['Open', 'High', 'Low', 'Close']
dfs = {'s{:04d}'.format(i): pd.DataFrame(np.random.rand(m, 4), dates, cols) for i in range(n)}
market = pd.Series(np.random.rand(m), dates, name='Market')
df = pd.concat([market] + [dfs[k].Close.rename(k) for k in dfs.keys()], axis=1).sort_index(1)
betas = pd.concat([beta(sdf) for sdf in roll(df.pct_change().dropna(), 12)], axis=1).T
for c, col in betas.iteritems():
dfs[c]['Beta'] = col
dfs['s0000'].head(20)
calc_beta(df[['Market', 's0000']])
0.0020118230147777435
NOTE:
The calculations are the same
While efficient subdivision of the input data set into rolling windows is important to the optimization of the overall calculations, the performance of the beta calculation itself can also be significantly improved.
The following optimizes only the subdivision of the data set into rolling windows:
def numpy_betas(x_name, window, returns_data, intercept=True):
if intercept:
ones = numpy.ones(window)
def lstsq_beta(window_data):
x_data = numpy.vstack([window_data[x_name], ones]).T if intercept else window_data[[x_name]]
beta_arr, residuals, rank, s = numpy.linalg.lstsq(x_data, window_data)
return beta_arr[0]
indices = [int(x) for x in numpy.arange(0, returns_data.shape[0] - window + 1, 1)]
return DataFrame(
data=[lstsq_beta(returns_data.iloc[i:(i + window)]) for i in indices]
, columns=list(returns_data.columns)
, index=returns_data.index[window - 1::1]
)
The following also optimizes the beta calculation itself:
def custom_betas(x_name, window, returns_data):
window_inv = 1.0 / window
x_sum = returns_data[x_name].rolling(window, min_periods=window).sum()
y_sum = returns_data.rolling(window, min_periods=window).sum()
xy_sum = returns_data.mul(returns_data[x_name], axis=0).rolling(window, min_periods=window).sum()
xx_sum = numpy.square(returns_data[x_name]).rolling(window, min_periods=window).sum()
xy_cov = xy_sum - window_inv * y_sum.mul(x_sum, axis=0)
x_var = xx_sum - window_inv * numpy.square(x_sum)
betas = xy_cov.divide(x_var, axis=0)[window - 1:]
betas.columns.name = None
return betas
Comparing the performance of the two different calculations, you can see that as the window used in the beta calculation increases, the second method dramatically outperforms the first:
Comparing the performance to that of #piRSquared's implementation, the custom method takes roughly 350 millis to evaluate compared to over 2 seconds.
Further optimizing on #piRSquared's implementation for both speed and memory. the code is also simplified for clarity.
from numpy import nan, ndarray, ones_like, vstack, random
from numpy.lib.stride_tricks import as_strided
from numpy.linalg import pinv
from pandas import DataFrame, date_range
def calc_beta(s: ndarray, m: ndarray):
x = vstack((ones_like(m), m))
b = pinv(x.dot(x.T)).dot(x).dot(s)
return b[1]
def rolling_calc_beta(s_df: DataFrame, m_df: DataFrame, period: int):
result = ndarray(shape=s_df.shape, dtype=float)
l, w = s_df.shape
ls, ws = s_df.values.strides
result[0:period - 1, :] = nan
s_arr = as_strided(s_df.values, shape=(l - period + 1, period, w), strides=(ls, ls, ws))
m_arr = as_strided(m_df.values, shape=(l - period + 1, period), strides=(ls, ls))
for row in range(period, l):
result[row, :] = calc_beta(s_arr[row - period, :], m_arr[row - period])
return DataFrame(data=result, index=s_df.index, columns=s_df.columns)
if __name__ == '__main__':
num_sec_dfs, num_periods = 4000, 480
dates = date_range('1995-12-31', periods=num_periods, freq='M', name='Date')
stocks = DataFrame(data=random.rand(num_periods, num_sec_dfs), index=dates,
columns=['s{:04d}'.format(i) for i in
range(num_sec_dfs)]).pct_change()
market = DataFrame(data=random.rand(num_periods), index=dates, columns=
['Market']).pct_change()
betas = rolling_calc_beta(stocks, market, 12)
%timeit betas = rolling_calc_beta(stocks, market, 12)
335 ms ± 2.69 ms per loop (mean ± std. dev. of 7 runs, 1 loop each)
HERE'S THE SIMPLEST AND FASTEST SOLUTION
The accepted answer was too slow for what I needed and the I didn't understand the math behind the solutions asserted as faster. They also gave different answers, though in fairness I probably just messed it up.
I don't think you need to make a custom rolling function to calculate beta with pandas 1.1.4 (or even since at least .19). The below code assumes the data is in the same format as the above problems--a pandas dataframe with a date index, percent returns of some periodicity for the stocks, and market values are located in a column named 'Market'.
If you don't have this format, I recommend joining the stock returns to the market returns to ensure the same index with:
# Use .pct_change() only if joining Close data
beta_data = stock_data.join(market_data), how = 'inner').pct_change().dropna()
After that, it's just covariance divided by variance.
ticker_covariance = beta_data.rolling(window).cov()
# Limit results to the stock (i.e. column name for the stock) vs. 'Market' covariance
ticker_covariance = ticker_covariance.loc[pd.IndexSlice[:, stock], 'Market'].dropna()
benchmark_variance = beta_data['Market'].rolling(window).var().dropna()
beta = ticker_covariance / benchmark_variance
NOTES: If you have a multi-index, you'll have to drop the non-date levels to use the rolling().apply() solution. I only tested this for one stock and one market. If you have multiple stocks, a modification to the ticker_covariance equation after .loc is probably needed. Last, if you want to calculate beta values for the periods before the full window (ex. stock_data begins 1 year ago, but you use 3yrs of data), then you can modify the above to and expanding (instead of rolling) window with the same calculation and then .combine_first() the two.
Created a simple python package finance-calculator based on numpy and pandas to calculate financial ratios including beta. I am using the simple formula (as per investopedia):
beta = covariance(returns, benchmark returns) / variance(benchmark returns)
Covariance and variance are directly calculated in pandas which makes it fast. Using the api in the package is also simple:
import finance_calculator as fc
beta = fc.get_beta(scheme_data, benchmark_data, tail=False)
which will give you a dataframe of date and beta or the last beta value if tail is true.
but these would be blockish when you require beta calculations across the dates(m) for multiple stocks(n) resulting (m x n) number of calculations.
Some relief could be taken by running each date or stock on multiple cores, but then you will end up having huge hardware.
The major time requirement for the solutions available is finding the variance and co-variance and also NaN should be avoided in (Index and stock) data for a correct calculation as per pandas==0.23.0.
Thus running again would result stupid move unless the calculations are cached.
numpy variance and co-variance version also happens to miss-calculate the beta if NaN are not dropped.
A Cython implementation is must for huge set of data.

Categories