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Machine learning methods have garnered increasing interest among actuaries in recent years. However, their adoption by practitioners has been limited, partly due to the lack of transparency of these methods, as compared to generalized…

Risk Management · Quantitative Finance 2020-03-25 Kevin Kuo , Daniel Lupton

Normalization and scaling are fundamental preprocessing steps in time series modeling, yet their role in Transformer-based models remains underexplored from a theoretical perspective. In this work, we present the first formal analysis of…

Machine Learning · Computer Science 2026-02-20 Sofiane Ennadir , Tianze Wang , Oleg Smirnov , Sahar Asadi , Lele Cao

Time-series forecasting models often encounter abrupt changes in a given period of time which generally occur due to unexpected or unknown events. Despite their scarce occurrences in the training set, abrupt changes incur loss that…

Machine Learning · Computer Science 2023-09-25 Junwoo Park , Jungsoo Lee , Youngin Cho , Woncheol Shin , Dongmin Kim , Jaegul Choo , Edward Choi

In the era of increasingly complex AI models for time series forecasting, progress is often measured by marginal improvements on benchmark leaderboards. However, this approach suffers from a fundamental flaw: standard evaluation metrics…

Machine Learning · Computer Science 2026-05-28 Wanjin Feng , Yuan Yuan , Jingtao Ding , Yong Li

Explainability is motivated by the lack of transparency of black-box Machine Learning approaches, which do not foster trust and acceptance of Machine Learning algorithms. This also happens in the Predictive Process Monitoring field, where…

Artificial Intelligence · Computer Science 2025-07-25 Williams Rizzi , Marco Comuzzi , Chiara Di Francescomarino , Chiara Ghidini , Suhwan Lee , Fabrizio Maria Maggi , Alexander Nolte

There exist several methods that aim to address the crucial task of understanding the behaviour of AI/ML models. Arguably, the most popular among them are local explanations that focus on investigating model behaviour for individual…

Machine Learning · Computer Science 2023-01-04 Saumitra Mishra , Sanghamitra Dutta , Jason Long , Daniele Magazzeni

Deep learning methods are powerful tools in classifying multivariate time series data. Despite their high performance, these methods are hard to interpret, which diminishes their applications in high-risk domains such as healthcare. In this…

Machine Learning · Computer Science 2026-05-11 Bhavesh Kalisetti , Vincent Wang , Gaurav R. Ghosal , Maryam Bijanzadeh , Reza Abbasi-Asl

Multivariate time series classification is a task with increasing importance due to the proliferation of new problems in various fields (economy, health, energy, transport, crops, etc.) where a large number of information sources are…

Machine Learning · Computer Science 2020-09-09 Francisco J. Baldán , José M. Benítez

With the dramatic advances in deep learning technology, machine learning research is focusing on improving the interpretability of model predictions as well as prediction performance in both basic and applied research. While deep learning…

Machine Learning · Computer Science 2024-01-24 Shunsuke Kitada

With machine learning models being increasingly used to aid decision making even in high-stakes domains, there has been a growing interest in developing interpretable models. Although many supposedly interpretable models have been proposed,…

Artificial Intelligence · Computer Science 2021-08-17 Forough Poursabzi-Sangdeh , Daniel G. Goldstein , Jake M. Hofman , Jennifer Wortman Vaughan , Hanna Wallach

Increasingly high-stakes decisions are made using neural networks in order to make predictions. Specifically, meteorologists and hedge funds apply these techniques to time series data. When it comes to prediction, there are certain…

Machine Learning · Computer Science 2022-11-14 Levente Foldesi , Matias Valdenegro-Toro

Interpretable classification models are built with the purpose of providing a comprehensible description of the decision logic to an external oversight agent. When considered in isolation, a decision tree, a set of classification rules, or…

Machine Learning · Computer Science 2019-03-18 Riccardo Guidotti , Salvatore Ruggieri

This text discusses several popular explanatory methods that go beyond the error measurements and plots traditionally used to assess machine learning models. Some of the explanatory methods are accepted tools of the trade while others are…

Machine Learning · Statistics 2020-06-02 Patrick Hall

Forecasting groups of time series is of increasing practical importance, e.g. forecasting the demand for multiple products offered by a retailer or server loads within a data center. The local approach to this problem considers each time…

Machine Learning · Computer Science 2021-03-30 Pablo Montero-Manso , Rob J Hyndman

Recent work on interpretability has focused on concept-based explanations, where deep learning models are explained in terms of high-level units of information, referred to as concepts. Concept learning models, however, have been shown to…

Machine Learning · Computer Science 2023-10-02 Mateo Espinosa Zarlenga , Pietro Barbiero , Zohreh Shams , Dmitry Kazhdan , Umang Bhatt , Adrian Weller , Mateja Jamnik

Deep learning models achieve high predictive performance but lack intrinsic interpretability, hindering our understanding of the learned prediction behavior. Existing local explainability methods focus on associations, neglecting the causal…

Machine Learning · Computer Science 2025-09-18 Niklas Penzel , Joachim Denzler

Recent years have witnessed the rapid growth of machine learning in a wide range of fields such as image recognition, text classification, credit scoring prediction, recommendation system, etc. In spite of their great performance in…

Machine Learning · Computer Science 2021-09-20 Guandong Xu , Tri Dung Duong , Qian Li , Shaowu Liu , Xianzhi Wang

Explanations are hypothesized to improve human understanding of machine learning models and achieve a variety of desirable outcomes, ranging from model debugging to enhancing human decision making. However, empirical studies have found…

Artificial Intelligence · Computer Science 2023-05-02 Chacha Chen , Shi Feng , Amit Sharma , Chenhao Tan

We modify the Double Machine Learning estimator to broaden its applicability to macroeconomic time-series settings. A deterministic cross-fitting step, termed Reverse Cross-Fitting, leverages the time-reversibility of stationary series to…

Econometrics · Economics 2026-03-12 Milos Ciganovic , Federico D'Amario , Massimiliano Tancioni

Modern time series classifiers display impressive predictive capabilities, yet their decision-making processes mostly remain black boxes to the user. At the same time, model-agnostic explainers, such as the recently proposed SHAP, promise…

Machine Learning · Computer Science 2023-11-21 Felix Mujkanovic , Vanja Doskoč , Martin Schirneck , Patrick Schäfer , Tobias Friedrich