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Marcos López de Prado

Publications and source records attributed to Marcos López de Prado.

5 recordsLinked to original sources

Do LLM Agents Execute the Plans They Declare? From Planning-Mode Declaration to Pattern-Specific Execution

Large language models (LLMs) enable agents to solve long-horizon tasks by generating a plan and then executing it in an environment. However, successful planning requires two distinct capabilities: selecting an appropriate plan for the task and executing it faithfully. Existing planner--executor systems can fail at either stage, while final task success alone cannot distinguish selection from execution failures. We therefore study the Plan Declaration--Execution Gap and introduce Planning-as-Routing, where an LLM declares one of four planning modes: Predefined, Sequential, Hierarchical, or Search, and a deterministic router dispatches the task to the corresponding pattern-specific executor. Across four benchmarks and three LLMs, we find three consistent patterns. First, generic Plan+ReAct often fails to preserve declared planning structure, especially for longer plans: across three benchmarks, only (22)--(45%) of trajectories preserve it, whereas pattern-specific executors enforce the intended structure. Second, planning-mode effectiveness varies across environments and models: Search performs best on ALFWorld, Hierarchical on SWE-bench, and the strongest pattern can vary across models within the same benchmark. Third, the largest gains come from execution: pattern-specific executors improve task success from (0.48) to (0.92) on ALFWorld and from (0.36) to (0.44) on SWE-bench Verified over Plan+ReAct. Current LLMs, however, do not reliably select the strongest mode for each task, although few-shot examples improve selection in some benchmark--model combinations. Overall, reliable agent planning requires both effective mode selection and faithful execution: routing substantially closes the execution gap, while task-specific mode selection remains open.

cs.AI↗

Aligning Trustworthy AI with Democracy: A Dual Taxonomy of Opportunities and Risks

Artificial Intelligence (AI) poses both significant risks and valuable opportunities for democratic governance. This paper introduces a dual taxonomy to evaluate AI's complex relationship with democracy: the AI Risks to Democracy (AIRD) taxonomy, which identifies how AI can undermine core democratic principles such as autonomy, fairness, and trust; and the AI's Positive Contributions to Democracy (AIPD) taxonomy, which highlights AI's potential to enhance transparency, participation, efficiency, and evidence-based policymaking. Grounded in the European Union's approach to ethical AI governance, and particularly the seven Trustworthy AI requirements proposed by the European Commission's High-Level Expert Group on AI, each identified risk is aligned with mitigation strategies based on EU regulatory and normative frameworks. Our analysis underscores the transversal importance of transparency and societal well-being across all risk categories and offers a structured lens for aligning AI systems with democratic values. By integrating democratic theory with practical governance tools, this paper offers a normative and actionable framework to guide research, regulation, and institutional design to support trustworthy, democratic AI. It provides scholars with a conceptual foundation to evaluate the democratic implications of AI, equips policymakers with structured criteria for ethical oversight, and helps technologists align system design with democratic principles. In doing so, it bridges the gap between ethical aspirations and operational realities, laying the groundwork for more inclusive, accountable, and resilient democratic systems in the algorithmic age.

cs.CY↗

A Framework for Responsible AI Systems: Building Societal Trust through Domain Definition, Trustworthy AI Design, Auditability, Accountability, and Governance

Responsible Artificial Intelligence (RAI) addresses the ethical and regulatory challenges of deploying AI systems in high-risk scenarios. This paper proposes a comprehensive framework for the design of an RAI system (RAIS) that integrates five key dimensions: domain definition, trustworthy AI design, auditability, accountability, and governance. Unlike prior work that treats these components in isolation, our proposal emphasizes their inter-dependencies and iterative feedback loops, enabling proactive and reactive accountability throughout the AI lifecycle. Beyond presenting the framework, we synthesize recent developments in global AI governance and analyze limitations in existing principles-based approaches, highlighting fragmentation, implementation gaps, and the need for participatory governance. The paper also identifies critical challenges and research directions for the RAIS framework, including sector-specific adaptation and operationalization, to support certification, post-deployment monitoring, and risk-based auditing. By bridging technical design and institutional responsibility, this work offers a practical blueprint for embedding responsibility throughout the AI lifecycle, enabling transparent, ethically aligned, and legally compliant AI-based systems.

cs.CY↗

Connecting the Dots in Trustworthy Artificial Intelligence: From AI Principles, Ethics, and Key Requirements to Responsible AI Systems and Regulation

Trustworthy Artificial Intelligence (AI) is based on seven technical requirements sustained over three main pillars that should be met throughout the system's entire life cycle: it should be (1) lawful, (2) ethical, and (3) robust, both from a technical and a social perspective. However, attaining truly trustworthy AI concerns a wider vision that comprises the trustworthiness of all processes and actors that are part of the system's life cycle, and considers previous aspects from different lenses. A more holistic vision contemplates four essential axes: the global principles for ethical use and development of AI-based systems, a philosophical take on AI ethics, a risk-based approach to AI regulation, and the mentioned pillars and requirements. The seven requirements (human agency and oversight; robustness and safety; privacy and data governance; transparency; diversity, non-discrimination and fairness; societal and environmental wellbeing; and accountability) are analyzed from a triple perspective: What each requirement for trustworthy AI is, Why it is needed, and How each requirement can be implemented in practice. On the other hand, a practical approach to implement trustworthy AI systems allows defining the concept of responsibility of AI-based systems facing the law, through a given auditing process. Therefore, a responsible AI system is the resulting notion we introduce in this work, and a concept of utmost necessity that can be realized through auditing processes, subject to the challenges posed by the use of regulatory sandboxes. Our multidisciplinary vision of trustworthy AI culminates in a debate on the diverging views published lately about the future of AI. Our reflections in this matter conclude that regulation is a key for reaching a consensus among these views, and that trustworthy and responsible AI systems will be crucial for the present and future of our society.

cs.CY↗

Solving the Optimal Trading Trajectory Problem Using a Quantum Annealer

We solve a multi-period portfolio optimization problem using D-Wave Systems' quantum annealer. We derive a formulation of the problem, discuss several possible integer encoding schemes, and present numerical examples that show high success rates. The formulation incorporates transaction costs (including permanent and temporary market impact), and, significantly, the solution does not require the inversion of a covariance matrix. The discrete multi-period portfolio optimization problem we solve is significantly harder than the continuous variable problem. We present insight into how results may be improved using suitable software enhancements, and why current quantum annealing technology limits the size of problem that can be successfully solved today. The formulation presented is specifically designed to be scalable, with the expectation that as quantum annealing technology improves, larger problems will be solvable using the same techniques.

q-fin.CP↗