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Machine Learning (ML) models are often complex and difficult to interpret due to their 'black-box' characteristics. Interpretability of a ML model is usually defined as the degree to which a human can understand the cause of decisions…

Methodology · Statistics 2020-06-25 Simon Kocbek , Primoz Kocbek , Leona Cilar , Gregor Stiglic

Recent efforts in Machine Learning (ML) interpretability have focused on creating methods for explaining black-box ML models. However, these methods rely on the assumption that simple approximations, such as linear models or decision-trees,…

Machine Learning · Computer Science 2019-06-13 Owen Lahav , Nicholas Mastronarde , Mihaela van der Schaar

A task of interest in machine learning (ML) is that of ascribing explanations to the predictions made by ML models. Furthermore, in domains deemed high risk, the rigor of explanations is paramount. Indeed, incorrect explanations can and…

Artificial Intelligence · Computer Science 2025-07-11 Mohamed Siala , Jordi Planes , Joao Marques-Silva

Decisions by Machine Learning (ML) models have become ubiquitous. Trusting these decisions requires understanding how algorithms take them. Hence interpretability methods for ML are an active focus of research. A central problem in this…

Machine Learning · Computer Science 2019-01-25 Philipp Schmidt , Felix Biessmann

Machine Learning (ML) is used in critical highly regulated and high-stakes fields such as finance, medicine, and transportation. The correctness of these ML applications is important for human safety and economic benefit. Progress has been…

Software Engineering · Computer Science 2023-09-06 Sheng Wong , Scott Barnett , Jessica Rivera-Villicana , Anj Simmons , Hala Abdelkader , Jean-Guy Schneider , Rajesh Vasa

As machine learning systems are increasingly used in high-stakes domains, there is a growing emphasis placed on making them interpretable to improve trust in these systems. In response, a range of interpretable machine learning (IML)…

Machine Learning · Statistics 2025-05-22 Luqin Gan , Tarek M. Zikry , Genevera I. Allen

The forecasting of the credit default risk has been an important research field for several decades. Traditionally, logistic regression has been widely recognized as a solution due to its accuracy and interpretability. As a recent trend,…

Computational Finance · Quantitative Finance 2022-09-22 Dangxing Chen , Weicheng Ye , Jiahui Ye

The field of machine learning has seen tremendous progress in recent years, with deep learning models delivering exceptional performance across a range of tasks. However, these models often come at the cost of interpretability, as they…

Machine Learning · Computer Science 2024-01-08 Shun Liu

The ability to interpret Machine Learning (ML) models is becoming increasingly essential. However, despite significant progress in the field, there remains a lack of rigorous characterization regarding the innate interpretability of…

Machine Learning · Computer Science 2024-08-08 Guy Amir , Shahaf Bassan , Guy Katz

This paper presents a systematic literature review (SLR) on the explainability and interpretability of machine learning (ML) models within the context of predictive process mining, using the PRISMA framework. Given the rapid advancement of…

Machine Learning · Computer Science 2024-01-01 Nijat Mehdiyev , Maxim Majlatow , Peter Fettke

Trustworthy machine learning is driving a large number of ML community works in order to improve ML acceptance and adoption. The main aspect of trustworthy machine learning are the followings: fairness, uncertainty, robustness,…

Machine Learning · Computer Science 2022-07-08 Gregory Scafarto , Nicolas Posocco , Antoine Bonnefoy

Deep learning methods have become a widespread toolbox for pricing and calibration of financial models. While they often provide new directions and research results, their `black box' nature also results in a lack of interpretability. We…

Computational Finance · Quantitative Finance 2024-12-02 Bo Yuan , Damiano Brigo , Antoine Jacquier , Nicola Pede

As machine learning (ML) systems increasingly permeate high-stakes settings such as healthcare, transportation, military, and national security, concerns regarding their reliability have emerged. Despite notable progress, the performance of…

Machine Learning · Computer Science 2023-08-01 Anthony Corso , David Karamadian , Romeo Valentin , Mary Cooper , Mykel J. Kochenderfer

Large language models (LLMs) are increasingly deployed in quantitative finance for stock price forecasting. This review synthesizes recent applications of LLMs in this domain, including extracting sentiment from financial news and social…

Pricing of Securities · Quantitative Finance 2026-05-08 Olivia Zhang , Zhilin Zhang

The rapid evolution of machine learning (ML) has led to the widespread adoption of complex "black box" models, such as deep neural networks and ensemble methods. These models exhibit exceptional predictive performance, making them…

Machine Learning · Computer Science 2025-03-28 Moncef Garouani , Josiane Mothe , Ayah Barhrhouj , Julien Aligon

In cyberattack detection and prevention systems, cybersecurity analysts always prefer solutions that are as interpretable and understandable as rule-based or signature-based detection. This is because of the need to tune and optimize these…

Cryptography and Security · Computer Science 2020-01-30 William Briguglio , Sherif Saad

We study the impacts of business cycles on machine learning (ML) predictions. Using the S&P 500 index, we find that ML models perform worse during most recessions, and the inclusion of recession history or the risk-free rate does not…

Statistical Finance · Quantitative Finance 2023-04-21 Li Rong Wang , Hsuan Fu , Xiuyi Fan

Machine learning (ML) models are used in many safety- and security-critical applications nowadays. It is therefore important to measure the security of a system that uses ML as a component. This paper focuses on the field of ML,…

Cryptography and Security · Computer Science 2024-06-21 Jan Schröder , Jakub Breier

There is a need of ensuring machine learning models that are interpretable. Higher interpretability of the model means easier comprehension and explanation of future predictions for end-users. Further, interpretable machine learning models…

Machine Learning · Computer Science 2020-08-17 Gregor Stiglic , Primoz Kocbek , Nino Fijacko , Marinka Zitnik , Katrien Verbert , Leona Cilar

As the use of machine learning (ML) models in product development and data-driven decision-making processes became pervasive in many domains, people's focus on building a well-performing model has increasingly shifted to understanding how…

Human-Computer Interaction · Computer Science 2020-06-02 Sungsoo Ray Hong , Jessica Hullman , Enrico Bertini
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