Quantum Circuit-Based Adaptation for Credit Risk Analysis
Abstract
Noisy and Intermediate-Scale Quantum, or NISQ, processors are sensitive to noise, prone to quantum decoherence, and are not yet capable of continuous quantum error correction for fault-tolerant quantum computation. Hence, quantum algorithms designed in the pre-faulttolerant era cannot neglect the noisy nature of the hardware, and investigating the relationship between quantum hardware performance and the output of quantum algorithms is essential. In this work, we experimentally study how hardware-aware variational quantum circuits on a superconducting quantum processing unit can model distributions relevant to specific use-case applications for Credit Risk Analysis, e.g., standard Gaussian distributions for latent factor loading in the Gaussian Conditional- Independence model. We use a transpilation technique tailored to the specific quantum hardware topology, which minimizes gate depth and connectivity violations, and we calibrate the gate rotations of the circuit to achieve an optimized output from quantum algorithms. Our results demonstrate the viability of quantum adaptation on a small scale, proof-of-concept model inspired by financial applications and offer a good starting point for understanding the practical use of NISQ devices.
Keywords
Cite
@article{arxiv.2601.06865,
title = {Quantum Circuit-Based Adaptation for Credit Risk Analysis},
author = {Halima Giovanna Ahmad and Alessandro Sarno and Mehdi El Bakraoui and Carlo Cosenza and Clément Bésoin and Francesca Cibrario and Valeria Zaffaroni and Giacomo Ranieri and Roberto Bertilone and Viviana Stasino and Pasquale Mastrovito and Francesco Tafuri and Davide Massarotti and Leonardo Chabbra and Davide Corbelletto},
journal= {arXiv preprint arXiv:2601.06865},
year = {2026}
}
Comments
This work has been accepted by IEEE Transactions on Quantum Engineering, and available in Early access: https://ieeexplore.ieee.org/document/11511822