# FinReflectKG -- HalluBench: GraphRAG Hallucination Benchmark for Financial Question Answering Systems

arXiv: https://arxiv.org/abs/2603.20252 · HTML: https://mlsanity.com/paper/2603.20252/

## Key facts

- Cited by 1 papers in the map (data through 14 Oct 2026).
- Builds on 15 of its 34 references that are in the map.
- First posted on arXiv 11 Mar 2026.

## Builds on (most cited first, 15 of 15)

- [BloombergGPT: A Large Language Model for Finance](https://mlsanity.com/paper/2303.17564/) (2023)
- [SelfCheckGPT: Zero-Resource Black-Box Hallucination Detection for Generative Large Language Models](https://mlsanity.com/paper/2303.08896/) (2023)
- [FinBERT: Financial Sentiment Analysis with Pre-trained Language Models](https://mlsanity.com/paper/1908.10063/) (2019)
- [G-Retriever: Retrieval-Augmented Generation for Textual Graph Understanding and Question Answering](https://mlsanity.com/paper/2402.07630/) (2024)
- [FinBen: A Holistic Financial Benchmark for Large Language Models](https://mlsanity.com/paper/2402.12659/) (2024)
- [GNN-RAG: Graph Neural Retrieval for Large Language Model Reasoning](https://mlsanity.com/paper/2405.20139/) (2024)
- [The Dawn After the Dark: An Empirical Study on Factuality Hallucination in Large Language Models](https://mlsanity.com/paper/2401.03205/) (2024)
- [Unsupervised Real-Time Hallucination Detection based on the Internal States of Large Language Models](https://mlsanity.com/paper/2403.06448/) (2024)
- [InvestLM: A Large Language Model for Investment using Financial Domain Instruction Tuning](https://mlsanity.com/paper/2309.13064/) (2023)
- [Think-on-Graph 2.0: Deep and Faithful Large Language Model Reasoning with Knowledge-guided Retrieval Augmented Generation](https://mlsanity.com/paper/2407.10805/) (2024)
- [MedHallu: A Comprehensive Benchmark for Detecting Medical Hallucinations in Large Language Models](https://mlsanity.com/paper/2502.14302/) (2025)
- [FactCHD: Benchmarking Fact-Conflicting Hallucination Detection](https://mlsanity.com/paper/2310.12086/) (2023)
- [RefChecker: Reference-based Fine-grained Hallucination Checker and Benchmark for Large Language Models](https://mlsanity.com/paper/2405.14486/) (2024)
- [ANAH-v2: Scaling Analytical Hallucination Annotation of Large Language Models](https://mlsanity.com/paper/2407.04693/) (2024)
- [The Geometry of Truth: Layer-wise Semantic Dynamics for Hallucination Detection in Large Language Models](https://mlsanity.com/paper/2510.04933/) (2025)

## Built on by (most cited first, 1 of 1)

- [TRIAGE: Trustworthy Retrieval Instrumentation And Graph Evaluation](https://mlsanity.com/paper/2607.03447/) (2026)

## Abstract (arXiv)

As organizations increasingly integrate AI-powered question-answering systems into financial information systems for compliance, risk assessment, and decision support, ensuring the factual accuracy of AI-generated outputs becomes a critical engineering challenge. Current Knowledge Graph (KG)-augmented QA systems lack systematic mechanisms to detect hallucinations - factually incorrect outputs that undermine reliability and user trust. We introduce FinBench-QA-Hallucination, a benchmark for evaluating hallucination detection methods in KG-augmented financial QA over SEC 10-K filings. The dataset contains 755 annotated examples from 300 pages, each labeled for groundedness using a conservative evidence-linkage protocol requiring support from both textual chunks and extracted relational triplets. We evaluate six detection approaches - LLM judges, fine-tuned classifiers, Natural Language Inference (NLI) models, span detectors, and embedding-based methods under two conditions: with and without KG triplets. Results show that LLM-based judges and embedding approaches achieve the highest performance (F1: 0.82-0.86) under clean conditions. However, most methods degrade significantly when noisy triplets are introduced, with Matthews Correlation Coefficient (MCC) dropping 44-84 percent, while embedding methods remain relatively robust with only 9 percent degradation. Statistical tests (Cochran's Q and McNemar) confirm significant performance differences (p < 0.001). Our findings highlight vulnerabilities in current KG-augmented systems and provide insights for building reliable financial information systems, where hallucinations can lead to regulatory violations and flawed decisions. The benchmark also offers a framework for integrating AI reliability evaluation into information system design across other high-stakes domains such as healthcare, legal, and government.