RIDGE: An Autonomous Framework for Validation and Method Discovery in LLM-Generated Option Pricing
Automated code generation is becoming an important tool in quantitative finance, where large language models can generate option pricing implementations directly from mathematical model specifications. Validating such implementations, however, requires considerably more than conventional software testing: numerical pricing methods must remain mathematically consistent, numerically stable, and reliable across a wide range of model parameters. We introduce RIDGE, an autonomous validation framework in which generated pricing implementations are subjected to structured no-arbitrage tests, stress tests, benchmark comparisons, and consistency checks. Validation evidence is interpreted diagnosti...
| Authors | Liexin Cheng, Xue Cheng, Shuaiqiang Liu et al. |
|---|---|
| Primary category | q-fin.CP |
| Published | 28 July 2026 |
| Last updated at source | 30 July 2026 |
Silytics shows public metadata from arXiv and links to the original. Information may be incomplete or out of date. Last refreshed 17 October 2026. Licenses and terms of the original apply to the work itself. Not financial, legal or professional advice.