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Large language models are increasingly used in social sciences, but their training data can introduce lookahead bias and training leakage. A good chronologically consistent language model requires efficient use of training data to maintain…

General Finance · Quantitative Finance 2025-07-08 Songrun He , Linying Lv , Asaf Manela , Jimmy Wu

We introduce a family of chronologically consistent, instruction-tuned large language models to eliminate lookahead bias. Each model is trained only on data available before a clearly defined knowledge-cutoff date, ensuring strict temporal…

Machine Learning · Computer Science 2025-11-18 Songrun He , Linying Lv , Asaf Manela , Jimmy Wu

Backtesting large language models (LLMs) on historical financial data is unreliable because pre-training cuts off after the events happened. An LLM trained in 2024 already "knows" which way 2018-2020 stocks moved. We name this failure…

Artificial Intelligence · Computer Science 2026-05-26 Weixian Waylon Li , Mengyu Wang , Tiejun Ma

In 2022, with the release of ChatGPT, large-scale language models gained widespread attention. ChatGPT not only surpassed previous models in terms of parameters and the scale of its pretraining corpus but also achieved revolutionary…

Artificial Intelligence · Computer Science 2024-11-13 Yiming Ju , Huanhuan Ma

Large language models (LLMs) are often trained on extensive, temporally indiscriminate text corpora, reflecting the lack of datasets with temporal metadata. This approach is not aligned with the evolving nature of language. Conventional…

Computation and Language · Computer Science 2024-04-30 Felix Drinkall , Eghbal Rahimikia , Janet B. Pierrehumbert , Stefan Zohren

Released Large Language Models (LLMs) are often paired with a claimed knowledge cutoff date, or the dates at which training data was gathered. Such information is crucial for applications where the LLM must provide up to date information.…

Computation and Language · Computer Science 2024-09-18 Jeffrey Cheng , Marc Marone , Orion Weller , Dawn Lawrie , Daniel Khashabi , Benjamin Van Durme

Machine learning models have made significant progress in load forecasting, but their forecast accuracy is limited in cases where historical load data is scarce. Inspired by the outstanding performance of large language models (LLMs) in…

Machine Learning · Computer Science 2024-12-02 Wenlong Liao , Fernando Porte-Agel , Jiannong Fang , Christian Rehtanz , Shouxiang Wang , Dechang Yang , Zhe Yang

Applying LLMs to predictive tasks in finance is challenging due to look-ahead bias resulting from their training on long time-series data. This precludes the backtests typically employed in finance since retraining frontier models from…

Machine Learning · Computer Science 2025-12-09 Humzah Merchant , Bradford Levy

This paper introduces BreakGPT, a novel large language model (LLM) architecture adapted specifically for time series forecasting and the prediction of sharp upward movements in asset prices. By leveraging both the capabilities of LLMs and…

Statistical Finance · Quantitative Finance 2024-11-12 Aleksandr Simonyan

At the beginning era of large language model, it is quite critical to generate a high-quality financial dataset to fine-tune a large language model for financial related tasks. Thus, this paper presents a carefully designed data creation…

Computation and Language · Computer Science 2023-08-04 Ziao Wang , Jianning Wang , Junda Wu , Xiaofeng Zhang

Frozen large language model (LLM) checkpoints extract information from pre-cutoff public text that is associated with future fundamentals and equity returns beyond standard contemporaneous valuation measures. Because each frozen checkpoint…

General Finance · Quantitative Finance 2026-04-24 Sebastian Lehner , Alejandro Lopez-Lira

We develop a statistical test to detect lookahead bias in economic forecasts generated by large language models (LLMs). Using state-of-the-art pre-training data detection techniques, we estimate the likelihood that a given prompt appeared…

General Finance · Quantitative Finance 2026-01-01 Zhenyu Gao , Wenxi Jiang , Yutong Yan

Large language models (LLMs) are a type of machine learning tool that economists have started to apply in their empirical research. One such application is macroeconomic forecasting with backtesting of LLMs, even though they are trained on…

Econometrics · Economics 2026-03-31 Alexander Eliseev , Sergei Seleznev

Considering the difficulty of financial time series forecasting in financial aid, much of the current research focuses on leveraging big data analytics in financial services. One modern approach is to utilize "predictive analysis",…

Machine Learning · Computer Science 2024-10-28 Md Khairul Islam , Ayush Karmacharya , Timothy Sue , Judy Fox

Fine-tuning enables large language models (LLMs) to adapt to specific domains, but often compromises their previously established safety alignment. To mitigate the degradation of model safety during fine-tuning, we introduce LookAhead…

Computation and Language · Computer Science 2025-12-22 Kangwei Liu , Mengru Wang , Yujie Luo , Lin Yuan , Mengshu Sun , Lei Liang , Zhiqiang Zhang , Jun Zhou , Bryan Hooi , Shumin Deng

Large language models (LLMs), including ChatGPT, can extract profitable trading signals from the sentiment in news text. However, backtesting such strategies poses a challenge because LLMs are trained on many years of data, and backtesting…

General Finance · Quantitative Finance 2023-10-02 Paul Glasserman , Caden Lin

Instruction-tuned Large Language Models (LLMs) have recently showcased remarkable ability to generate fitting responses to natural language instructions. However, an open research question concerns the inherent biases of trained models and…

Computation and Language · Computer Science 2023-09-08 Patrick Haller , Ansar Aynetdinov , Alan Akbik

We introduce Look-Ahead-Bench, a standardized benchmark measuring look-ahead bias in Point-in-Time (PiT) Large Language Models (LLMs) within realistic and practical financial workflows. Unlike most existing approaches that primarily test…

Artificial Intelligence · Computer Science 2026-01-21 Mostapha Benhenda

Large language models (LLMs) are increasingly used to assist ideation in research, but evaluating the quality of LLM-generated research proposals remains difficult: novelty and soundness are hard to measure automatically, and large-scale…

Computation and Language · Computer Science 2026-05-27 Heng Wang , Pengcheng Jiang , Jiashuo Sun , Zhiyi Shi , Haofei Yu , Jiawei Han , Heng Ji

Large language models are reshaping quantitative investing by turning unstructured financial information into evidence-grounded signals and executable decisions. This survey synthesizes research with a focus on equity return prediction and…

Portfolio Management · Quantitative Finance 2025-10-08 Weilong Fu
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