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The paper explores the use of Deep Reinforcement Learning (DRL) in stock market trading, focusing on two algorithms: Double Deep Q-Network (DDQN) and Proximal Policy Optimization (PPO) and compares them with Buy and Hold benchmark. It…

Trading and Market Microstructure · Quantitative Finance 2025-06-06 Jędrzej Maskiewicz , Paweł Sakowski

Reinforcement learning (RL) has shown significant promise for sequential portfolio optimization tasks, such as stock trading, where the objective is to maximize cumulative returns while minimizing risks using historical data. However,…

Machine Learning · Computer Science 2025-05-20 Haochen Yuan , Minting Pan , Yunbo Wang , Siyu Gao , Philip S. Yu , Xiaokang Yang

Financial markets are inherently non-stationary, with shifting volatility regimes that alter asset co-movements and return distributions. Standard portfolio optimization methods, typically built on stationarity or regime-agnostic…

Portfolio Management · Quantitative Finance 2025-10-20 Yiyao Zhang , Diksha Goel , Hussain Ahmad , Claudia Szabo

This article aims to combine factor investing and reinforcement learning (RL). The agent learns through sequential random allocations which rely on firms' characteristics. Using Dirichlet distributions as the driving policy, we derive…

Portfolio Management · Quantitative Finance 2021-06-28 Eric André , Guillaume Coqueret

Artificial Intelligence (AI) and Machine Learning (ML) are transforming the domain of Quantitative Trading (QT) through the deployment of advanced algorithms capable of sifting through extensive financial datasets to pinpoint lucrative…

Trading and Market Microstructure · Quantitative Finance 2023-12-27 Maochun Xu , Zixun Lan , Zheng Tao , Jiawei Du , Zongao Ye

The exponential growth of digital services has positioned data centers among the most energy-intensive infrastructures in the modern economy, raising critical concerns regarding operational costs, carbon emissions, and the sustainable…

Machine Learning · Computer Science 2026-05-05 Abderaouf Bahi , Amel Ourici , Hasan Dincer , Serhat Yuksel , Akila Djebbar

In this paper, we investigate the scheduling issue of diesel generators (DGs) in an Internet of Things (IoT)-Driven isolated microgrid (MG) by deep reinforcement learning (DRL). The renewable energy is fully exploited under the uncertainty…

Machine Learning · Computer Science 2023-07-07 Jiaju Qi , Lei Lei , Kan Zheng , Simon X. Yang , Xuemin , Shen

A general control policy framework based on deep reinforcement learning (DRL) is introduced for closed-loop decision making in subsurface flow settings. Traditional closed-loop modeling workflows in this context involve the repeated…

Computational Physics · Physics 2023-02-15 Yusuf Nasir , Louis J. Durlofsky

Reinforcement learning (RL) is an innovative approach to financial decision making, offering specialized solutions to complex investment problems where traditional methods fail. This review analyzes 167 articles from 2017--2025, focusing on…

Computational Finance · Quantitative Finance 2025-12-12 Mohammad Rezoanul Hoque , Md Meftahul Ferdaus , M. Kabir Hassan

Microgrids (MGs) are small, local power grids that can operate independently from the larger utility grid. Combined with the Internet of Things (IoT), a smart MG can leverage the sensory data and machine learning techniques for intelligent…

Machine Learning · Computer Science 2023-07-07 Lei Lei , Yue Tan , Glenn Dahlenburg , Wei Xiang , Kan Zheng

The Internet of Things (IoT) has significantly expanded the digital landscape, interconnecting an unprecedented array of devices, from home appliances to industrial equipment. This growth enhances functionality, e.g., automation, remote…

Cryptography and Security · Computer Science 2025-05-25 Saeid Jamshidi , Amin Nikanjam , Kawser Wazed Nafi , Foutse Khomh , Rasoul Rasta

This paper presents novel methods for tuning inverter controller gains using deep reinforcement learning (DRL). A Simulink-developed inverter model is converted into a dynamic link library (DLL) and integrated with a Python-based RL…

Systems and Control · Electrical Eng. & Systems 2024-11-05 Shuvangkar Chandra Das , Tuyen Vu , Deepak Ramasubramanian , Evangelos Farantatos , Jianhua Zhang , Thomas Ortmeyer

Reinforcement Learning (RL) or Deep Reinforcement Learning (DRL) is a powerful approach to solving Markov Decision Processes (MDPs) when the model of the environment is not known a priori. However, RL models are still faced with challenges…

Systems and Control · Electrical Eng. & Systems 2024-06-04 Kabirat Olayemi , Mien Van , Luke Maguire , Sean McLoone

Transmission switching is a well-established approach primarily applied to minimize operational costs through strategic network reconfiguration. However, exclusive focus on cost reduction can compromise system reliability. While…

Systems and Control · Electrical Eng. & Systems 2025-07-17 Ding Lin , Jianhui Wang , Tianqiao Zhao , Meng Yue

The growing complexity of cyber threats has rendered static firewalls increasingly ineffective for dynamic, real-time intrusion prevention. This paper proposes a novel AI-driven dynamic firewall optimization framework that leverages deep…

Cryptography and Security · Computer Science 2025-06-09 Taimoor Ahmad

Deep reinforcement learning (DRL) is one promising approach to teaching robots to perform complex tasks. Because methods that directly reuse the stored experience data cannot follow the change of the environment in robotic problems with a…

Robotics · Computer Science 2022-01-26 Taisuke Kobayashi

This paper presents a novel hierarchical framework for portfolio optimization, integrating lightweight Large Language Models (LLMs) with Deep Reinforcement Learning (DRL) to combine sentiment signals from financial news with traditional…

Computation and Language · Computer Science 2025-08-01 Baptiste Lefort , Eric Benhamou , Beatrice Guez , Jean-Jacques Ohana , Ethan Setrouk , Alban Etienne

As rapidly growing AI computational demands accelerate the need for new hardware installation and maintenance, this work explores optimal data center resource management by balancing operational efficiency with fault tolerance through…

Artificial Intelligence · Computer Science 2025-04-02 Chang-Lin Chen , Jiayu Chen , Tian Lan , Zhaoxia Zhao , Hongbo Dong , Vaneet Aggarwal

We attempt to mitigate the persistent tradeoff between risk and return in medium- to long-term portfolio management. This paper proposes a novel LLM-guided no-regret portfolio allocation framework that integrates online learning dynamics,…

Portfolio Management · Quantitative Finance 2026-01-27 Muhammad Abro , Hassan Jaleel

Algorithmic trading has gained attention due to its potential for generating superior returns. This paper investigates the effectiveness of deep reinforcement learning (DRL) methods in algorithmic commodities trading. It formulates the…

Trading and Market Microstructure · Quantitative Finance 2023-09-06 Jonas Hanetho