Methods and systems for analyzing financial risk factors for companies within an industry

A method for creating a common knowledge base for a plurality of companies in an industry, the common knowledge base stores one or more investment risk insights for each of the plurality of companies, the method comprising:

• extracting a plurality of investment risk data from a pre-defined section of financial reports of the plurality of companies, wherein the pre-defined section includes investment risk related qualitative details for the plurality of companies, and the financial reports are accessed from one or more remote data sources;
• creating a normalized feature vector corresponding to the plurality of extracted investment risk data of each of the plurality of companies;
• computing a similarity value between each normalized feature vector for each of the plurality of companies;
• storing the similarity values and the normalized feature vector in a database;
• processing the similarity values to identify one or more investment risk insights for each of the plurality of companies;
• and
• storing the one or more investment risk insights for each of the plurality of companies for further retrieval.

A method for identifying one or more missing investment related risk details in financial reports of one or more companies in an industry, the identification being performed by a risk analysis server, the method comprising:

• obtaining, by the risk analysis server, financial reports corresponding to a plurality of companies of an industry from one or more remote data sources;
• creating, by the risk analysis server, a common knowledge base, wherein creation of the common knowledge base comprising:
• extracting data from a pre-defined section of the financial reports of the plurality of companies, wherein the pre-defined section includes investment risk related qualitative details for the plurality of companies;
• creating a normalized feature vector corresponding to the extracted data of each of the plurality of companies;
• computing a similarity value between each normalized feature vector for each of the plurality of companies;
• and
• identifying, by the risk analysis server, one or more investment related risks details available in a first set of the plurality of companies, the identification being made using the computed similarity values, wherein the one or more investment related risks are not present in a second set of the plurality of companies, the number of companies in the first set is greater than the second set.

A risk analysis server for identifying one or more companies from a plurality of companies in an industry, the one or more companies having one or more investment risks different from investment risks of other companies in the plurality of companies, the risk analysis server comprises:

• a request manager configured for receiving an industry categorization code of the industry from a user;
• a crawler configured for:
• identifying the plurality of companies belonging to the industry categorization code from one or more remote data sources;
• obtaining financial reports corresponding to the plurality of identified companies from the one or more remote data sources;
• a common knowledge base generator configured for creating a common knowledge base, wherein creation of the common knowledge base comprising:
• extracting data from a pre-defined section of the financial reports of the plurality of companies, wherein the pre-defined section includes investment risk related qualitative details for the plurality of companies;
• creating a normalized feature vector corresponding to the extracted data of each of the plurality of companies;
• computing a similarity value between each normalized feature vector for each of the plurality of companies;
• storing the similarity values in the common knowledge base;
• identifying one or more companies from the plurality of companies with least similarity values in the common knowledge base, wherein the least similarity values correspond to one or more investment risks different from investment risks of other companies in the plurality of companies;
• and
• displaying a list of the one or more companies to the user.