QuantaAlpha: An Evolutionary Framework for LLM-Driven Alpha Mining
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Abstract (arXiv)
Financial markets are noisy and non-stationary, making alpha mining highly sensitive to backtest noise and regime shifts. While recent agentic frameworks improve automation, they often lack controllable multi-round search and reliable reuse of validated experience. To address these challenges, we propose QuantaAlpha, an evolutionary alpha mining framework that treats each end-to-end mining run as a trajectory and improves factors via trajectory-level mutation and crossover. QuantaAlpha localizes suboptimal steps for targeted revision and recombines complementary high-reward segments to reuse effective patterns, enabling structured exploration and refinement across iterations. During factor generation, it enforces semantic consistency across hypothesis, factor expression, and executable code, and constrains the complexity and redundancy of the generated factor to mitigate crowding. Extensive experiments on CSI 300 show consistent gains over strong baselines and prior agentic systems. Using GPT-5.2, QuantaAlpha achieves an IC of 0.0472 with ARR of 4.68% and MDD of 11.8%. Moreover, factors mined on CSI 300 transfer effectively to CSI 500 and the S&P 500, delivering about 40.28% and 19.1% cumulative excess return over four years, respectively, which indicates strong robustness under market distribution shifts.
Key facts. Cited by 12 papers in the map (data through 7 Oct 2026). Builds on 17 of its 31 references that are in the map. First posted on arXiv 6 Feb 2026.
Builds on
17 of 31 references.
References · 17
- 2025AlphaEvolve: A coding agent for scientific and algorithmic discoverycited by 763
- 2024TradingAgents: Multi-Agents LLM Financial Trading Frameworkcited by 182
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- 2024A Multimodal Foundation Agent for Financial Trading: Tool-Augmented, Diversified, and Generalistcited by 137
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- 2025AlphaAgent: LLM-Driven Alpha Mining with Regularized Exploration to Counteract Alpha Decaycited by 36
- 2024AlphaForge: A Framework to Mine and Dynamically Combine Formulaic Alpha Factorscited by 25
- 2025HedgeAgents: A Balanced-aware Multi-agent Financial Trading Systemcited by 24
- 2025Navigating the Alpha Jungle: An LLM-Powered MCTS Framework for Formulaic Factor Miningcited by 13
5 more
- 2025Cognitive Alpha Mining via LLM-Driven Code-Based Evolutioncited by 12
- 2025AlphaEval: A Comprehensive and Efficient Evaluation Framework for Formula Alpha Miningcited by 9
- 2025QuantAgents: Towards Multi-agent Financial System via Simulated Tradingcited by 8
- 2025ATLAS: Adaptive Trading with LLM AgentS Through Dynamic Prompt Optimization and Multi-Agent Coordinationcited by 7
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Citing papers per year: 2026: 12.
12 papers.
- 2026SHARP: A Self-Evolving Human-Auditable Rubric Policy for Financial Trading Agentscited by 4
- 2026From Feedback Loops to Policy Updates: Reinforcement Fine-Tuning for LLM-Based Alpha Factor Discoverycited by 4
- 2026TrustTrade: Human-Inspired Selective Consensus Reduces Decision Uncertainty in LLM Trading Agentscited by 3
- 2026AlphaMemo: Structured Search-Process Memory for Self-Evolving Alpha Mining Agentscited by 3
- 2026AlphaSchema: Exploring the Space of Trading Semantics for LLM-Based Alpha Miningcited by 2
- 2026AQuA: Recursively Self-Improving Quantitative Trading Research Agentscited by 2
- 2026AutoScientist-Quant: Self-Evolving Coding Agents for Automatic Research in Quantitative Investmentcited by 2
- 2026Can Large Language Models Execute Parent Orders?cited by 0
- 2026AgonAlpha: Autonomous Alpha Discovery via Prompt Economy and Scalable Agentic Searchcited by 0
- 2026Agentic Empirical Asset Pricing: Methodological Foundationscited by 0
- 2026AlphaDiverse: Post-Training Local Quantitative Research Agents for Diverse Exploration in Alpha Factor Miningcited by 0
- 2026EverMine: Dissecting the Self-Evolution of Research Capabilities in Long-Horizon Alpha Researchcited by 0
- 2026EverMine: Dissecting the Self-Evolution of Research Capabilities in Long-Horizon Alpha Research27 Sep 2026
- 2026AlphaDiverse: Post-Training Local Quantitative Research Agents for Diverse Exploration in Alpha Factor Mining24 Sep 2026
- 2026Agentic Empirical Asset Pricing: Methodological Foundations1 Sep 2026
- 2026AQuA: Recursively Self-Improving Quantitative Trading Research Agents13 Aug 2026
- 2026AutoScientist-Quant: Self-Evolving Coding Agents for Automatic Research in Quantitative Investment5 Aug 2026
- 2026AgonAlpha: Autonomous Alpha Discovery via Prompt Economy and Scalable Agentic Search4 Aug 2026
- 2026Can Large Language Models Execute Parent Orders?30 Jul 2026
- 2026AlphaSchema: Exploring the Space of Trading Semantics for LLM-Based Alpha Mining29 Jul 2026
- 2026AlphaMemo: Structured Search-Process Memory for Self-Evolving Alpha Mining Agents26 May 2026
- 2026From Feedback Loops to Policy Updates: Reinforcement Fine-Tuning for LLM-Based Alpha Factor Discovery14 May 2026
- 2026SHARP: A Self-Evolving Human-Auditable Rubric Policy for Financial Trading Agents7 May 2026
- 2026TrustTrade: Human-Inspired Selective Consensus Reduces Decision Uncertainty in LLM Trading Agents23 Mar 2026
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- 2026Hubble: An LLM-Driven Agentic Framework for Safe, Diverse, and Reproducible Alpha Factor Discovery
- 2026AI Trading's Alpha Singularity: Emergent Market Reasoning through Agent-to-Agent Self-Evolution
- 2026FactorBench: A Portfolio-Aware Benchmark for Automated Factor Mining
- 2025Alpha-R1: Alpha Screening with LLM Reasoning via Reinforcement Learning
- 2026FaVOR: LLM-Based Agentic Framework for Factor Mining via Empirical Validation
- 2025The Evolution of Alpha in Finance Harnessing Human Insight and LLM Agents
- 2024QuantAgent: Seeking Holy Grail in Trading by Self-Improving Large Language Model
- 2026AlphaCrafter: Harnessing Multi-Agent Workflows for Cross-Sectional Quantitative Trading