A2C

Ensemble RL through Classifier Models: Enhancing Risk-Return Trade-offs in Trading Strategies ArXiv ID: 2502.17518 “View on arXiv” Authors: Unknown Abstract This paper presents a comprehensive study on the use of ensemble Reinforcement Learning (RL) models in financial trading strategies, leveraging classifier models to enhance performance. By combining RL algorithms such as A2C, PPO, and SAC with traditional classifiers like Support Vector Machines (SVM), Decision Trees, and Logistic Regression, we investigate how different classifier groups can be integrated to improve risk-return trade-offs. The study evaluates the effectiveness of various ensemble methods, comparing them with individual RL models across key financial metrics, including Cumulative Returns, Sharpe Ratios (SR), Calmar Ratios, and Maximum Drawdown (MDD). Our results demonstrate that ensemble methods consistently outperform base models in terms of risk-adjusted returns, providing better management of drawdowns and overall stability. However, we identify the sensitivity of ensemble performance to the choice of variance threshold τ, highlighting the importance of dynamic τ adjustment to achieve optimal performance. This study emphasizes the value of combining RL with classifiers for adaptive decision-making, with implications for financial trading, robotics, and other dynamic environments. ...

Deep Reinforcement Learning Strategies in Finance: Insights into Asset Holding, Trading Behavior, and Purchase Diversity ArXiv ID: 2407.09557 “View on arXiv” Authors: Unknown Abstract Recent deep reinforcement learning (DRL) methods in finance show promising outcomes. However, there is limited research examining the behavior of these DRL algorithms. This paper aims to investigate their tendencies towards holding or trading financial assets as well as purchase diversity. By analyzing their trading behaviors, we provide insights into the decision-making processes of DRL models in finance applications. Our findings reveal that each DRL algorithm exhibits unique trading patterns and strategies, with A2C emerging as the top performer in terms of cumulative rewards. While PPO and SAC engage in significant trades with a limited number of stocks, DDPG and TD3 adopt a more balanced approach. Furthermore, SAC and PPO tend to hold positions for shorter durations, whereas DDPG, A2C, and TD3 display a propensity to remain stationary for extended periods. ...