# Rethinking Retrieval: From Traditional Retrieval Augmented Generation to Agentic and Non-Vector Reasoning Systems in the Financial Domain for Large Language Models

arXiv: https://arxiv.org/abs/2511.18177 · HTML: https://mlsanity.com/paper/2511.18177/

## Key facts

- Cited by 2 papers in the map (data through 14 Oct 2026).
- Placed in Knowledge- and tool-augmented reasoning, one of 17 directions in LLM reasoning.
- Builds on 26 of its 36 references that are in the map.
- First posted on arXiv 22 Nov 2025.

## Placed in

- LLM reasoning / [Knowledge- and tool-augmented reasoning](https://mlsanity.com/lr/knowledge-and-tool-augmented-reasoning/)
- Retrieval-augmented generation / [Legal and financial RAG](https://mlsanity.com/rag/legal-and-financial-rag/)
- LLM agents and tool use / [Web, search, and research agents](https://mlsanity.com/agents/web-search-and-research-agents/)

## Builds on (most cited first, 26 of 26)

- [Retrieval-Augmented Generation for Knowledge-Intensive NLP Tasks](https://mlsanity.com/paper/2005.11401/) (2020)
- [Judging LLM-as-a-Judge with MT-Bench and Chatbot Arena](https://mlsanity.com/paper/2306.05685/) (2023)
- [Dense Passage Retrieval for Open-Domain Question Answering](https://mlsanity.com/paper/2004.04906/) (2020)
- [Lost in the Middle: How Language Models Use Long Contexts](https://mlsanity.com/paper/2307.03172/) (2023)
- [Retrieval-Augmented Generation for Large Language Models: A Survey](https://mlsanity.com/paper/2312.10997/) (2023)
- [Self-RAG: Learning to Retrieve, Generate, and Critique through Self-Reflection](https://mlsanity.com/paper/2310.11511/) (2023)
- [A Survey on LLM-as-a-Judge](https://mlsanity.com/paper/2411.15594/) (2024)
- [Leveraging Passage Retrieval with Generative Models for Open Domain Question Answering](https://mlsanity.com/paper/2007.01282/) (2020)
- [Passage Re-ranking with BERT](https://mlsanity.com/paper/1901.04085/) (2019)
- [FinQA: A Dataset of Numerical Reasoning over Financial Data](https://mlsanity.com/paper/2109.00122/) (2021)
- [TAT-QA: A Question Answering Benchmark on a Hybrid of Tabular and Textual Content in Finance](https://mlsanity.com/paper/2105.07624/) (2021)
- [Is ChatGPT Good at Search? Investigating Large Language Models as Re-Ranking Agents](https://mlsanity.com/paper/2304.09542/) (2023)
- [Retrieval-Augmented Generation for AI-Generated Content: A Survey](https://mlsanity.com/paper/2402.19473/) (2024)
- [Benchmarking Large Language Models in Retrieval-Augmented Generation](https://mlsanity.com/paper/2309.01431/) (2023)
- [FinanceBench: A New Benchmark for Financial Question Answering](https://mlsanity.com/paper/2311.11944/) (2023)
- [Agentic Retrieval-Augmented Generation: A Survey on Agentic RAG](https://mlsanity.com/paper/2501.09136/) (2025)
- [Query Rewriting for Retrieval-Augmented Large Language Models](https://mlsanity.com/paper/2305.14283/) (2023)
- [Corrective Retrieval Augmented Generation](https://mlsanity.com/paper/2401.15884/) (2024)
- [Improving Retrieval for RAG based Question Answering Models on Financial Documents](https://mlsanity.com/paper/2404.07221/) (2024)
- [ScaleMCP: Dynamic and Auto-Synchronizing Model Context Protocol Tools for LLM Agents](https://mlsanity.com/paper/2505.06416/) (2025)
- [Toolshed: Scale Tool-Equipped Agents with Advanced RAG-Tool Fusion and Tool Knowledge Bases](https://mlsanity.com/paper/2410.14594/) (2024)
- [MemTool: Optimizing Short-Term Memory Management for Dynamic Tool Calling in LLM Agent Multi-Turn Conversations](https://mlsanity.com/paper/2507.21428/) (2025)
- [FinSage: A Multi-aspect RAG System for Financial Filings Question Answering](https://mlsanity.com/paper/2504.14493/) (2025)
- [Tool-to-Agent Retrieval: Bridging Tools and Agents for Scalable LLM Multi-Agent Systems](https://mlsanity.com/paper/2511.01854/) (2025)
- [Metadata-Driven Retrieval-Augmented Generation for Financial Question Answering](https://mlsanity.com/paper/2510.24402/) (2025)
- [FinCARE: Financial Causal Analysis with Reasoning and Evidence](https://mlsanity.com/paper/2510.20221/) (2025)

## Built on by (most cited first, 2 of 2)

- [From Chatbot to Digital Colleague: The Paradigm Shift Toward Persistent Autonomous AI](https://mlsanity.com/paper/2606.14502/) (2026)
- [Agentic Jackal: Live Execution and Semantic Value Grounding for Text-to-JQL](https://mlsanity.com/paper/2604.09470/) (2026)

## Abstract (arXiv)

Recent advancements in Retrieval-Augmented Generation (RAG) have enabled Large Language Models to answer financial questions using external knowledge bases of U.S. SEC filings, earnings reports, and regulatory documents. However, existing work lacks systematic comparison of vector-based and non-vector RAG architectures for financial documents, and the empirical impact of advanced RAG techniques on retrieval accuracy, answer quality, latency, and cost remain unclear. We present the first systematic evaluation comparing vector-based agentic RAG using hybrid search and metadata filtering against hierarchical node-based systems that traverse document structure without embeddings. We evaluate two enhancement techniques applied to the vector-based architecture, i) cross-encoder reranking for retrieval precision, and ii) small-to-big chunk retrieval for context completeness. Across 1,200 SEC 10-K, 10-Q, and 8-K filings on a 150-question benchmark, we measure retrieval metrics (MRR, Recall@5), answer quality through LLM-as-a-judge pairwise comparisons, latency, and preprocessing costs. Vector-based agentic RAG achieves a 68% win rate over hierarchical node-based systems with comparable latency (5.2 compared to 5.98 seconds). Cross-encoder reranking achieves a 59% absolute improvement at optimal parameters (10, 5) for MRR@5. Small-to-big retrieval achieves a 65% win rate over baseline chunking with only 0.2 seconds additional latency. Our findings reveal that applying advanced RAG techniques to financial Q&A systems improves retrieval accuracy, answer quality, and has cost-performance tradeoffs to be considered in production.