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Collaborative machine learning settings like federated learning can be susceptible to adversarial interference and attacks. One class of such attacks is termed model inversion attacks, characterised by the adversary reverse-engineering the…

Machine Learning · Computer Science 2022-03-02 Dmitrii Usynin , Daniel Rueckert , Georgios Kaissis

This paper proposes a deep delta hedging framework for options, utilizing neural networks to learn the residuals between the hedging function and the implied Black-Scholes delta. This approach leverages the smoother properties of these…

Computational Finance · Quantitative Finance 2024-08-27 Chunhui Qiao , Xiangwei Wan

We present a novel negotiation model that allows an agent to learn how to negotiate during concurrent bilateral negotiations in unknown and dynamic e-markets. The agent uses an actor-critic architecture with model-free reinforcement…

Multiagent Systems · Computer Science 2020-02-04 Pallavi Bagga , Nicola Paoletti , Bedour Alrayes , Kostas Stathis

Pricing assets has attracted significant attention from the financial technology community. We observe that the existing solutions overlook the cross-sectional effects and not fully leveraged the heterogeneous data sets, leading to…

Machine Learning · Computer Science 2021-10-28 Qiong Wu , Christopher G. Brinton , Zheng Zhang , Andrea Pizzoferrato , Zhenming Liu , Mihai Cucuringu

In Federated Learning (FL), models are as fragile as centrally trained models against adversarial examples. However, the adversarial robustness of federated learning remains largely unexplored. This paper casts light on the challenge of…

Machine Learning · Computer Science 2023-02-21 Jie Zhang , Bo Li , Chen Chen , Lingjuan Lyu , Shuang Wu , Shouhong Ding , Chao Wu

Hedging exotic options in presence of market frictions is an important risk management task. Deep hedging can solve such hedging problems by training neural network policies in realistic simulated markets. Training these neural networks may…

Risk Management · Quantitative Finance 2024-10-31 Konrad Mueller , Amira Akkari , Lukas Gonon , Ben Wood

Despite the high performance achieved by deep neural networks on various tasks, extensive studies have demonstrated that small tweaks in the input could fail the model predictions. This issue of deep neural networks has led to a number of…

Machine Learning · Computer Science 2022-02-22 Ming-Chang Chiu , Xuezhe Ma

In many real-world applications of Machine Learning it is of paramount importance not only to provide accurate predictions, but also to ensure certain levels of robustness. Adversarial Training is a training procedure aiming at providing…

Machine Learning · Computer Science 2019-10-09 Matteo Terzi , Gian Antonio Susto , Pratik Chaudhari

Adversarial machine learning is a fast growing research area, which considers the scenarios when machine learning systems may face potential adversarial attackers, who intentionally synthesize input data to make a well-trained model to make…

Machine Learning · Computer Science 2018-10-24 Guofu Li , Pengjia Zhu , Jin Li , Zhemin Yang , Ning Cao , Zhiyi Chen

Adversarial examples are malicious inputs designed to fool machine learning models. They often transfer from one model to another, allowing attackers to mount black box attacks without knowledge of the target model's parameters. Adversarial…

Computer Vision and Pattern Recognition · Computer Science 2017-02-14 Alexey Kurakin , Ian Goodfellow , Samy Bengio

While many defences against adversarial examples have been proposed, finding robust machine learning models is still an open problem. The most compelling defence to date is adversarial training and consists of complementing the training…

Machine Learning · Computer Science 2021-05-27 Alex Serban , Erik Poll , Joost Visser

We initiate the study of deep learning for the automated design of two-sided matching mechanisms. What is of most interest is to use machine learning to understand the possibility of new tradeoffs between strategy-proofness and stability.…

Computer Science and Game Theory · Computer Science 2023-11-16 Sai Srivatsa Ravindranath , Zhe Feng , Shira Li , Jonathan Ma , Scott D. Kominers , David C. Parkes

Accurately predicting the prices of financial time series is essential and challenging for the financial sector. Owing to recent advancements in deep learning techniques, deep learning models are gradually replacing traditional statistical…

Statistical Finance · Quantitative Finance 2023-09-29 Cheng Zhang , Nilam Nur Amir Sjarif , Roslina Ibrahim

With the progress in AI-based facial forgery (i.e., deepfake), people are increasingly concerned about its abuse. Albeit effort has been made for training classification (also known as deepfake detection) models to recognize such forgeries,…

Computer Vision and Pattern Recognition · Computer Science 2022-04-29 Zhi Wang , Yiwen Guo , Wangmeng Zuo

We propose a universal end-to-end framework for portfolio optimization where asset distributions are directly obtained. The designed framework circumvents the traditional forecasting step and avoids the estimation of the covariance matrix,…

Portfolio Management · Quantitative Finance 2021-11-18 Chao Zhang , Zihao Zhang , Mihai Cucuringu , Stefan Zohren

We present an approach, based on deep neural networks, that allows identifying robust statistical arbitrage strategies in financial markets. Robust statistical arbitrage strategies refer to trading strategies that enable profitable trading…

Computational Finance · Quantitative Finance 2024-02-27 Ariel Neufeld , Julian Sester , Daiying Yin

Deep neural networks have achieved substantial achievements in several computer vision areas, but have vulnerabilities that are often fooled by adversarial examples that are not recognized by humans. This is an important issue for security…

Computer Vision and Pattern Recognition · Computer Science 2021-01-29 Hakmin Lee , Hong Joo Lee , Seong Tae Kim , Yong Man Ro

We adopt Deep Reinforcement Learning algorithms to design trading strategies for continuous futures contracts. Both discrete and continuous action spaces are considered and volatility scaling is incorporated to create reward functions which…

Computational Finance · Quantitative Finance 2019-11-25 Zihao Zhang , Stefan Zohren , Stephen Roberts

Despite strong performance in numerous applications, the fragility of deep learning to input perturbations has raised serious questions about its use in safety-critical domains. While adversarial training can mitigate this issue in…

Machine Learning · Statistics 2021-11-01 Alexander Robey , Luiz F. O. Chamon , George J. Pappas , Hamed Hassani , Alejandro Ribeiro

While deep learning has resulted in major breakthroughs in many application domains, the frameworks commonly used in deep learning remain fragile to artificially-crafted and imperceptible changes in the data. In response to this fragility,…

Machine Learning · Computer Science 2020-11-03 Alexander Robey , Hamed Hassani , George J. Pappas
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