# Hi-DARTS: Hierarchical Dynamically Adapting Reinforcement Trading System

arXiv: https://arxiv.org/abs/2509.12048 · HTML: https://mlsanity.com/paper/2509.12048/

## Key facts

- No citing papers in the map yet (data through 14 Oct 2026).
- Builds on 5 of its 10 references that are in the map.
- First posted on arXiv 15 Sep 2025.

## Builds on (most cited first, 5 of 5)

- [Proximal Policy Optimization Algorithms](https://mlsanity.com/paper/1707.06347/) (2017)
- [Multi-Agent Actor-Critic for Mixed Cooperative-Competitive Environments](https://mlsanity.com/paper/1706.02275/) (2017)
- [FinRL: A Deep Reinforcement Learning Library for Automated Stock Trading in Quantitative Finance](https://mlsanity.com/paper/2011.09607/) (2020)
- [FinRL: Deep Reinforcement Learning Framework to Automate Trading in Quantitative Finance](https://mlsanity.com/paper/2111.09395/) (2021)
- [Comprehensive Review of Deep Reinforcement Learning Methods and Applications in Economics](https://mlsanity.com/paper/2004.01509/) (2020)

## Abstract (arXiv)

Conventional autonomous trading systems struggle to balance computational efficiency and market responsiveness due to their fixed operating frequency. We propose Hi-DARTS, a hierarchical multi-agent reinforcement learning framework that addresses this trade-off. Hi-DARTS utilizes a meta-agent to analyze market volatility and dynamically activate specialized Time Frame Agents for high-frequency or low-frequency trading as needed. During back-testing on AAPL stock from January 2024 to May 2025, Hi-DARTS yielded a cumulative return of 25.17% with a Sharpe Ratio of 0.75. This performance surpasses standard benchmarks, including a passive buy-and-hold strategy on AAPL (12.19% return) and the S&P 500 ETF (SPY) (20.01% return). Our work demonstrates that dynamic, hierarchical agents can achieve superior risk-adjusted returns while maintaining high computational efficiency.