Research Papers

AI PB: A Grounded Generative Agent for Personalized Investment Insights

Daewoo Park, Suho Park, Inseok Hong +5

We present AI PB, a production-scale generative agent deployed in real retail finance. Unlike reactive chatbots that answer queries passively, AI PB proactively generates grounded, compliant, and user-specific investment insights. It integrates (i) a component-based orchestration layer that deterministically routes between internal and external LLMs based on data sensitivity, (ii) a hybrid retrieval pipeline using OpenSearch and the finance-domain embedding model, and (iii) a multi-stage recommendation mechanism combining rule heuristics, sequential behavioral modeling, and contextual bandits. Operating fully on-premises under Korean financial regulations, the system employs Docker Swarm and vLLM across 24 X NVIDIA H100 GPUs. Through human QA and system metrics, we demonstrate that grounded generation with explicit routing and layered safety can deliver trustworthy AI insights in high-stakes finance.

Recent research has focused on mitigating algorithmic bias in clustering by incorporating fairness constraints into algorithmic design. Notions such as disparate impact, community cohesion, and cost per population have been implemented to enforce equitable outcomes. Among these, group fairness (balance) ensures that each protected group is proportionally represented within every cluster. However, incorporating balance as a metric of fairness into spectral clustering algorithms has led to computational times that can be improved. This study aims to enhance the efficiency of spectral clustering algorithms by reformulating the constrained optimization problem using a new formulation derived from the Lagrangian method and the Sherman-Morrison-Woodbury (SMW) identity, resulting in the Fair-SMW algorithm. Fair-SMW employs three alternatives to the Laplacian matrix with different spectral gaps to generate multiple variations of Fair-SMW, achieving clustering solutions with comparable balance to existing algorithms while offering improved runtime performance. We present the results of Fair-SMW, evaluated using the Stochastic Block Model (SBM) to measure both runtime efficiency and balance across real-world network datasets, including LastFM, FacebookNet, Deezer, and German. We achieve an improvement in computation time that is twice as fast as the state-of-the-art, and also flexible enough to achieve twice as much balance.

The red palm mite infestation has become a serious concern, particularly in regions with extensive palm cultivation, leading to reduced productivity and economic losses. Accurate and early identification of mite-infested plants is critical for effective management. The current study focuses on evaluating and comparing the ML model for classifying the affected plants and detecting the infestation. TriggerNet is a novel interpretable AI framework that integrates Grad-CAM, RISE, FullGrad, and TCAV to generate novel visual explanations for deep learning models in plant classification and disease detection. This study applies TriggerNet to address red palm mite (Raoiella indica) infestation, a major threat to palm cultivation and agricultural productivity. A diverse set of RGB images across 11 plant species, Arecanut, Date Palm, Bird of Paradise, Coconut Palm, Ginger, Citrus Tree, Palm Oil, Orchid, Banana Palm, Avocado Tree, and Cast Iron Plant was utilized for training and evaluation. Advanced deep learning models like CNN, EfficientNet, MobileNet, ViT, ResNet50, and InceptionV3, alongside machine learning classifiers such as Random Forest, SVM, and KNN, were employed for plant classification. For disease classification, all plants were categorized into four classes: Healthy, Yellow Spots, Reddish Bronzing, and Silk Webbing. Snorkel was used to efficiently label these disease classes by leveraging heuristic rules and patterns, reducing manual annotation time and improving dataset reliability.

Open-source status should not shield generative artificial intelligence systems from ethical or legal accountability. Through a rigorous analysis of regulatory, legal, and policy frameworks, this Article contends that open-source GenAI must be held to the same standards as proprietary systems. While recognizing the value of openness for scientific advancement, I propose a narrowly tailored safe harbor for bona fide, non-commercial research, conditioned on strict compliance with defined criteria. This Article critically examines and refutes the core claims of open-source exceptionalism--namely, that open-source GenAI disrupts entrenched oligopolies, democratizes access, and uniquely drives innovation. The evidence shows that open-source GenAI can facilitate unlawful conduct, exacerbate environmental harms, and reinforce existing power structures. Rhetoric around "democratization" and "innovation" often serves as an unsubstantiated basis for regulatory exemptions not afforded to proprietary systems. This Article ultimately advocates for a framework that promotes responsible AI development, balancing openness with robust legal and ethical safeguards and a clear-eyed assessment of societal impacts.

Backchannels are subtle listener responses, such as nods, smiles, or short verbal cues like "yes" or "uh-huh," which convey understanding and agreement in conversations. These signals provide feedback to speakers, improve the smoothness of interaction, and play a crucial role in developing human-like, responsive AI systems. However, the expression of backchannel behaviors is often significantly influenced by individual differences, operating across multiple scales: from instant dynamics such as response intensity (frame-level) to temporal patterns such as frequency and rhythm preferences (sequence-level). This presents a complex pattern recognition problem that contemporary emotion recognition methods have yet to fully address. Particularly, existing individualized methods in emotion recognition often operate at a single scale, overlooking the complementary nature of multi-scale behavioral cues. To address these challenges, we propose a novel Cascaded Multi-Scale Individual Standardization Network (CMIS-Net) that extracts individual-normalized backchannel features by removing person-specific neutral baselines from observed expressions. Operating at both frame and sequence levels, this normalization allows model to focus on relative changes from each person's baseline rather than absolute expression values. Furthermore, we introduce an implicit data augmentation module to address the observed training data distributional bias, improving model generalization. Comprehensive experiments and visualizations demonstrate that CMIS-Net effectively handles individual differences and data imbalance, achieving state-of-the-art performance in backchannel agreement detection.

The use of Artificial Intelligence (AI) models in real-world and high-risk applications has intensified the discussion about their trustworthiness and ethical usage, from both a technical and a legislative perspective. The field of eXplainable Artificial Intelligence (XAI) addresses this challenge by proposing explanations that bring to light the decision-making processes of complex black-box models. Despite being an essential property, the robustness of explanations is often an overlooked aspect during development: only robust explanation methods can increase the trust in the system as a whole. This paper investigates the role of robustness through the usage of a feature importance aggregation derived from multiple models ($k$-nearest neighbours, random forest and neural networks). Preliminary results showcase the potential in increasing the trustworthiness of the application, while leveraging multiple model's predictive power.

AI models are being increasingly integrated into real-world systems, raising significant concerns about their safety and security. Consequently, AI red teaming has become essential for organizations to proactively identify and address vulnerabilities before they can be exploited by adversaries. While numerous AI red teaming tools currently exist, practitioners face challenges in selecting the most appropriate tools from a rapidly expanding landscape, as well as managing complex and frequently conflicting software dependencies across isolated projects. Given these challenges and the relatively small number of organizations with dedicated AI red teams, there is a strong need to lower barriers to entry and establish a standardized environment that simplifies the setup and execution of comprehensive AI model assessments. Inspired by Kali Linux's role in traditional penetration testing, we introduce BlackIce, an open-source containerized toolkit designed for red teaming Large Language Models (LLMs) and classical machine learning (ML) models. BlackIce provides a reproducible, version-pinned Docker image that bundles 14 carefully selected open-source tools for Responsible AI and Security testing, all accessible via a unified command-line interface. With this setup, initiating red team assessments is as straightforward as launching a container, either locally or using a cloud platform. Additionally, the image's modular architecture facilitates community-driven extensions, allowing users to easily adapt or expand the toolkit as new threats emerge. In this paper, we describe the architecture of the container image, the process used for selecting tools, and the types of evaluations they support.

The operationalization of ethics in the technical practices of artificial intelligence (AI) is facing significant challenges. To address the problem of ineffective implementation of AI ethics, we present our diagnosis, analysis, and interventional recommendations from a unique perspective of the real-world implementation of AI ethics through explainable AI (XAI) techniques. We first describe the phenomenon (i.e., the "symptoms") of ineffective implementation of AI ethics in explainable AI using four empirical cases. From the "symptoms", we diagnose the root cause (i.e., the "disease") being the dysfunction and imbalance of power structures in the sociotechnical system of AI. The power structures are dominated by unjust and unchecked power that does not represent the benefits and interests of the public and the most impacted communities, and cannot be countervailed by ethical power. Based on the understanding of power mechanisms, we propose three interventional recommendations to tackle the root cause, including: 1) Making power explicable and checked, 2) Reframing the narratives and assumptions of AI and AI ethics to check unjust power and reflect the values and benefits of the public, and 3) Uniting the efforts of ethical and scientific conduct of AI to encode ethical values as technical standards, norms, and methods, including conducting critical examinations and limitation analyses of AI technical practices. We hope that our diagnosis and interventional recommendations can be a useful input to the AI community and civil society's ongoing discussion and implementation of ethics in AI for ethical and responsible AI practice.

This paper presents a framework for provably fair AI that overcomes the limits of current bias mitigation methods by systematically removing all sensitive information and its proxies. Using ontology engineering in OWL 2 QL, it formally defines sensitive attributes and infers their proxies through logical reasoning, constructing a sigma algebra G that captures the full structure of biased patterns. Fair representations are then obtained via Delbaen Majumdar optimal transport, which generates variables independent of G while minimizing L2 distance to preserve accuracy. This guarantees true independence rather than mere decorrelation. By modeling bias as dependence between sigma algebras, compiling ontological knowledge into measurable structures, and using optimal transport as the unique fair transformation, the approach ensures complete fairness in tasks like loan approval, where proxies such as ZIP code reveal race. The result is a certifiable and mathematically grounded method for trustworthy AI.

The proliferation of Large Language Models (LLMs) has led to a burgeoning ecosystem of specialized, domain-specific models. While this rapid growth accelerates innovation, it has simultaneously created significant challenges in model discovery and adoption. Users struggle to navigate this landscape due to inconsistent, incomplete, and imbalanced documentation across platforms. Existing documentation frameworks, such as Model Cards and FactSheets, attempt to standardize reporting but are often static, predominantly qualitative, and lack the quantitative mechanisms needed for rigorous cross-model comparison. This gap exacerbates model underutilization and hinders responsible adoption. To address these shortcomings, we introduce the Comprehensive Responsible AI Model Card Framework (CRAI-MCF), a novel approach that transitions from static disclosures to actionable, human-aligned documentation. Grounded in Value Sensitive Design (VSD), CRAI-MCF is built upon an empirical analysis of 240 open-source projects, distilling 217 parameters into an eight-module, value-aligned architecture. Our framework introduces a quantitative sufficiency criterion to operationalize evaluation and enables rigorous cross-model comparison under a unified scheme. By balancing technical, ethical, and operational dimensions, CRAI-MCF empowers practitioners to efficiently assess, select, and adopt LLMs with greater confidence and operational integrity.

Transformer models have become increasingly popular in financial applications, yet their potential risk making and biases remain under-explored. The purpose of this work is to audit the reliance of the model on volatile data for decision-making, and quantify how the frequency of price movements affects the model's prediction confidence. We employ a transformer model for prediction, and introduce a metric based on Partial Information Decomposition (PID) to measure the influence of each asset on the model's decision making. Our analysis reveals two key observations: first, the model disregards data volatility entirely, and second, it is biased toward data with lower-frequency price movements.

Artificial Intelligence has rapidly become a cornerstone technology, significantly influencing Europe's societal and economic landscapes. However, the proliferation of AI also raises critical ethical, legal, and regulatory challenges. The CERTAIN (Certification for Ethical and Regulatory Transparency in Artificial Intelligence) project addresses these issues by developing a comprehensive framework that integrates regulatory compliance, ethical standards, and transparency into AI systems. In this position paper, we outline the methodological steps for building the core components of this framework. Specifically, we present: (i) semantic Machine Learning Operations (MLOps) for structured AI lifecycle management, (ii) ontology-driven data lineage tracking to ensure traceability and accountability, and (iii) regulatory operations (RegOps) workflows to operationalize compliance requirements. By implementing and validating its solutions across diverse pilots, CERTAIN aims to advance regulatory compliance and to promote responsible AI innovation aligned with European standards.