CART Algorithm (Classification And Regression Tree) is an essential part of the ML models and Decision-Making processes. We, students of the Sapienza University of Rome, Saidjon, Abbos and Dinara, tried to find the calculus behind the CART Algorithm with Professor S.Galiani.

In this file, we analyzed European and American stock index returns with a skew-normal distribution applying HMM. It is a midterm project for the course "Models for Risk and Forecasting" with Pr: Andrea Tancredi at Sapienza University of Rome.