Academic Intelligence · Curated Daily

Explore the Frontier of Global Academia

AcademicHub aggregates real-time literature from top journals and preprint platforms. Build your personal research radar and let large language models compile cross-disciplinary analysis briefings automatically.

01.
arXiv (CS.LG) 2026-06-11

OmniLoc: A Geometry-Aware Foundation Model for Anchor-Free UE Localization Across Diverse Indoor Environments

arXiv:2606.11490v1 Announce Type: new Abstract: Indoor localization from wireless measurements remains challenging in large-scale deployments due to substantial variation in building geometry, the set of detectable access points (APs), and the heterogeneity of received signals. Existing learning-based methods often perform well only in limited settings and degrade under environmental shifts, making robust anchor-free localization across diverse indoor environments notoriously difficult. In this paper, we present OmniLoc, an environment-interactive foundation model for anchor-free user equipment localization across diverse indoor environments. To the best of our knowledge, OmniLoc is the first foundation-model-based approach built directly on wireless measurements for this task. OmniLoc is built on three key designs. First, a unified input tokenization module converts heterogeneous wireless measurements into a common representation that is more amenable to learning. Second, a geometry-aware Transformer performs AP-aware feature extraction by emphasizing dominant APs while aggregating complementary evidence from supporting APs. Third, a geometry-aware location estimation module conditions regression on geometric embeddings to produce geometrically consistent location predictions. We evaluate OmniLoc on both a large-scale in-house dataset and a public benchmark dataset. Results show that OmniLoc significantly outperforms existing methods, consistently improves existing backbones when its design components are integrated, and demonstrates strong generalization in cross-environment evaluations.

02.
Nature Medicine 2026-06-12

General-purpose large language models outperform specialized clinical AI tools on medical benchmarks

Specialized clinical artificial intelligence (AI) tools are entering medical practice despite scarce independent evaluation. We quantitatively evaluate two clinical AI tools, OpenEvidence and UpToDate Expert AI, built on large language models (LLMs) against three frontier LLMs: GPT-5.2, Gemini 3.1 Pro and Claude Opus 4.6. Our evaluation has three stages: (1) 500 MedQA questions testing medical knowledge, (2) 500 HealthBench items measuring alignment with clinicians and (3) the real clinical queries (RCQ) benchmark, built from 100 de-identified queries from physicians to a general-purpose language model in a live clinical environment. For the RCQ benchmark, 12 US clinicians performed randomized, blinded review of model outputs, producing 1,800 model–question annotations. Frontier LLMs outperformed clinical AI tools in all three evaluations. Clinical AI tools performed comparably to auto-enabled Google Search AI Overview on the RCQ. These findings highlight the need for independent, real-world evaluation of AI tools before they enter clinical settings. In an independent evaluation, frontier large language models outperformed specialized clinical artificial intelligence tools on medical knowledge, clinician alignment and real-world clinical queries.

03.
arXiv (CS.CV) 2026-06-16

Clinically Aware Synthetic Image Generation for Concept Coverage in Chest X-ray Models

Deep learning models for chest X-ray diagnosis are constrained by limited coverage of clinically meaningful concept combinations in publicly available training datasets. While synthetic image generation has been explored to increase data diversity, existing methods rarely enforce clinical or anatomical constraints, limiting utility for improving model reliability. We propose CARPA, a clinically aware and anatomically grounded framework for synthetic chest X-ray generation that applies targeted perturbations to clinical concept vectors while preserving anatomical structure. By producing anatomically faithful synthetic images with controlled concept insertions and deletions, CARPA expands clinically relevant concept coverage. We evaluate CARPA across seven backbone architectures by fine-tuning models on synthetic subsets and testing on a held-out MIMIC-CXR benchmark. Compared to prior concept perturbation approaches, fine-tuning on CARPA-generated images consistently improves precision-recall performance, reduces predictive uncertainty, and improves model calibration. Structural and semantic analyses demonstrate high anatomical fidelity, strong concept alignment, and low semantic uncertainty. Evaluation by two expert radiologists further confirms realism and clinical agreement. Together, these results show that anatomically grounded concept perturbations enable more effective use of synthetic data, improving both performance and reliability of chest X-ray classification models and supporting safer clinical deployment.

04.
arXiv (CS.AI) 2026-06-11

An XAI View on Explainable ASP: Methods, Systems, and Perspectives

arXiv:2601.14764v2 Announce Type: replace Abstract: Answer Set Programming (ASP) is a popular declarative reasoning and problem solving approach in symbolic AI. Its rule-based formalism makes it inherently attractive for explainable and interpretive reasoning, which is gaining importance with the surge of Explainable AI (XAI). A number of explanation approaches and tools for ASP have been developed, which often tackle specific explanatory settings and may not cover all scenarios that ASP users encounter. In this survey, we provide, guided by an XAI perspective, an overview of types of ASP explanations in connection with user questions for explanation, and describe their coverage by current theory and tools. Furthermore, we pinpoint gaps in existing ASP explanations approaches and identify research directions for future work.

05.
arXiv (CS.CL) 2026-06-18

Want Better Synthetic Data? Steer It: Activation Steering for Low-Resource Language Generation

Large language models (LLMs) have become an effective tool for synthetic data generation, including for low-resource languages, where generated data can improve downstream task performance. Current best-performing approaches typically rely on few-shot prompting with target-language examples, which increases inference costs and may reduce diversity through lexical anchoring. In this work, we investigate activation steering as an alternative for low-resource synthetic data generation. We study two steering strategies: Language Steering, which targets the linguistic identity of a language, and Quality Steering, which captures well-formedness by contrasting human-written and backtranslated text representations. We evaluate these methods across four open-source LLMs, multiple layers, and 11 typologically diverse languages by generating sentiment and topic classification data and finetuning smaller classifiers. Steering is applied in both zero-shot and few-shot prompting settings and compared against non-steered counterparts. Our results show that steering on early layers consistently improves the diversity of generated data while often yielding stronger downstream model performance, particularly for low-resource languages.

06.
arXiv (math.PR) 2026-06-19

Towards practical PDMP sampling: Metropolis adjustments, locally adaptive step-sizes, and NUTS-based time lengths

arXiv:2503.11479v2 Announce Type: replace-cross Abstract: Piecewise-Deterministic Markov Processes (PDMPs) hold significant promise for sampling from complex probability distributions. However, their practical implementation is hindered by the need to compute model-specific bounds. Conversely, while Hamiltonian Monte Carlo (HMC) offers a generally efficient approach to sampling, its inability to adaptively tune step sizes impedes its performance when sampling complex distributions like funnels. To address these limitations, we introduce three innovative concepts: (a) a Metropolis-adjusted approximation for PDMP simulation that eliminates the need for explicit bounds without compromising the invariant measure, (b) an adaptive step size mechanism compatible with the Metropolis correction, and (c) a No U-Turn Sampler (NUTS)-inspired scheme for dynamically selecting path lengths in PDMPs. These three ideas can be seamlessly integrated into a single, `doubly-adaptive' PDMP sampler with favourable robustness and efficiency properties.

07.
arXiv (CS.LG) 2026-06-17

Geodesic Calculus on Implicitly Defined Latent Manifolds

arXiv:2510.09468v3 Announce Type: replace Abstract: Latent manifolds of autoencoders provide low-dimensional representations of data, which can be studied from a geometric perspective. We propose to describe these latent manifolds as implicit submanifolds of some ambient latent space. Based on this, we develop tools for a discrete Riemannian calculus approximating classical geometric operators. These tools are robust against inaccuracies of the implicit representation often occurring in practical examples. To obtain a suitable implicit representation, we propose to learn an approximate projection onto the latent manifold by minimizing a denoising objective. This approach is independent of the underlying autoencoder and supports the use of different Riemannian geometries on the latent manifolds. The framework in particular enables the computation of geodesic paths connecting given end points and shooting geodesics via the Riemannian exponential maps on latent manifolds. We evaluate our approach on various autoencoders trained on synthetic and real data.

08.
arXiv (CS.AI) 2026-06-17

SkillJect: Effectively Automating Skill-Based Prompt Injection for Skill-Enabled Agents

arXiv:2602.14211v3 Announce Type: replace-cross Abstract: Agent skills extend LLM agents with task-specific instructions, executable scripts, and auxiliary resources, improving reusability but creating a new supply-chain attack surface. A malicious or compromised skill can be repeatedly loaded as trusted guidance and steer downstream tool use. Existing skill-based prompt-injection attacks are often manual and brittle, because explicit malicious instructions are rejected or ignored when they are not aligned with the original workflow. We propose SkillJect, the first automated framework for generating poisoned skills against skill-enabled agent systems. SkillJect uses two coordinated channels. In the artifact channel, it hides the payload inside an auxiliary helper script. In the instruction channel, it rewrites SKILL.md with a front-loaded inducement strategy, placing injected content at the beginning and framing the helper script as a mandatory prerequisite or initialization step. The rewritten instruction explicitly references the helper-script path and provides an executable example command, making the helper appear to be a legitimate setup step before normal skill operations. SkillJect further adopts a closed-loop multi-agent process to improve attack effectiveness. An Attack Agent generates poisoned skills, a Victim Agent executes downstream tasks with the poisoned skill, and an Evaluate Agent inspects execution traces to determine whether the hidden payload was executed. The Attack Agent then uses this feedback to diagnose failure causes and rewrite SKILL.md, while keeping the payload fixed. Experiments across skill-enabled platforms, backend LLMs, and attack categories show that SkillJect substantially outperforms naive direct injection and prior manual skill-injection attacks, highlighting poisoned skills as a persistent threat in reusable skill ecosystems.

09.
arXiv (quant-ph) 2026-06-19

Many-body chirality of topological stabilizer states

arXiv:2606.20472v1 Announce Type: new Abstract: A defining feature of chirality is the distinction between a system and its mirror image. Despite extensive experimental observations of chiral phases and theoretical advances, a quantum-information theoretic characterization of chirality based solely on the entanglement structure of many-body quantum states remains elusive. Here, we introduce the notion of many-body chirality by formulating it as an obstruction to transforming a quantum state into its complex conjugate through finite-depth local operations. We rigorously establish many-body chirality for stabilizer realizations of $\mathbb{Z}_d^{(k)}$ anyon theories, proving that complex conjugation can be implemented by local quantum channels if and only if the underlying anyon data are mirror invariant. This reveals forms of chirality that evade conventional diagnostics, including examples with vanishing modular commutator, vanishing chiral central charge, and commuting-projector realizations. We further show that this obstruction is intrinsically four-partite, while invisible to tripartite entanglement structure. Finally, we prove that $\mathbb{Z}_d^{(k)}$ states with $d>2$ possess intrinsic many-body imaginarity: their complex phase structure cannot be removed by finite-depth local unitaries. Remarkably, this includes states that are not many-body chiral.

10.
arXiv (CS.CV) 2026-06-15

HULFSynth : An INR based Super-Resolution and Ultra Low-Field MRI Synthesis via Contrast factor estimation

We present an unsupervised single image bidirectional Magnetic Resonance Image (MRI) synthesizer that synthesizes an Ultra-Low Field (ULF) like image from a High-Field (HF) magnitude image and vice-versa. Unlike existing MRI synthesis models, our approach is inspired by the physics that drives contrast changes between HF and ULF MRIs. Our forward model simulates a HF to ULF transformation by estimating the tissue-type Signal-to-Noise ratio (SNR) values based on target contrast values. For the Super-Resolution task, we used an Implicit Neural Representation (INR) network to synthesize HF image by simultaneously predicting tissue-type segmentations and image intensity without observed HF data. The proposed method is evaluated using synthetic ULF-like data from generated from standard 3T T$_1$-weighted images for qualitative assessments and paired 3T-64mT T$_1$-weighted images for validation experiments. WM-GM contrast improved by 52% in synthetic ULF-like images and 37% in 64mT images. Sensitivity experiments demonstrated the robustness of our forward model to variations in target contrast, noise and initial seeding.

11.
arXiv (CS.CV) 2026-06-15

SED:Lightweight Saliency prediction for Event-based data via Distillation

Event-based saliency prediction has gained attention recently, as combining event cameras with saliency estimation can act as an upstream stage that naturally improves the efficiency of downstream eventbased perception at the edge. However, current approaches are either neuromorphic, underperforming on event-based saliency benchmarks, or too heavy for resource-constrained edge applications due to their reliance on transformers or 3D convolutions. Drawing inspiration from efficient convolutional modules, SED and aiming to exploit the temporal information in event data, we propose a lightweight network, trained through knowledge distillation, built on a Depthwise Spatio-Temporal Block (DSTconv) – a factorization of the 3D depthwise separable convolution. Relative to its teacher, our model reduces the model size from 180 MB to 0.32 MB (562x) and the parameter count from 45M to 81k (554x), while matching or outperforming it on the N-DHF1K and N-UCF Sports datasets. Moreover, it generalizes strongly beyond its training distribution, transferring from synthetic to real event data where a model trained from scratch fails.

12.
arXiv (CS.AI) 2026-06-19

PhysDrift: Bridging the Embodiment Gap in Humanoid Co-Speech Motion Generation

arXiv:2606.19935v1 Announce Type: new Abstract: Humanoid robots require co-speech motions that are not only expressive and speech-aligned, but also physically executable under embodiment constraints. Existing co-speech generation pipelines are predominantly human-centric: motions are first generated in human-body representations such as SMPL-X and subsequently retargeted to humanoid robots. In this work, we identify a fundamental embodiment gap in this paradigm, where the mismatch between human motion manifolds and humanoid embodiment constraints disrupts embodiment consistency during motion transfer and physical execution. Through extensive analysis, we show that although retargeting can preserve coarse motion semantics, it significantly compresses motion diversity and weakens prosody-motion synchronization, limiting expressive humanoid behaviors. To address this problem, we first propose IK-EER, a prosody-preserving humanoid motion curation framework that jointly optimizes kinematic feasibility and speech-motion temporal alignment during retargeting. Building upon the curated robot-native motion dataset, we further introduce PhysDrift, an embodiment-aware co-speech motion generation framework that directly predicts executable humanoid joint trajectories from speech without relying on intermediate human-body representations. Unlike conventional human-centric pipelines, PhysDrift maintains embodiment consistency throughout both training and inference while incorporating physical regularization to stabilize robot motion dynamics. Extensive experiments and real-world humanoid deployment demonstrate that embodiment-aware robot-native generation substantially improves speech-motion alignment, physical plausibility, motion smoothness, inference efficiency, and real-time interaction capability.

13.
bioRxiv (Bioinfo) 2026-06-11

inquiSTR: a toolkit for accurate and efficient population-scale tandem repeat genotyping and analysis

Tandem repeats are highly mutable genomic elements linked to human traits and diseases. Profiling large catalogs of tandem repeats from population-scale long-read sequencing data requires accurate and efficient tools. We introduce inquiSTR, a command-line toolkit for fast genome-wide tandem repeat length genotyping. inquiSTR, with efficient parallel processing and low-memory streaming algorithms, genotypes a genome-wide repeat catalog of 1.78 million loci in less than two minutes. Benchmarking shows high accuracy and significantly faster performance compared to existing tools and truth sets. inquiSTR also provides methods for downstream analyses such as population structure inference, association testing, and outlier detection.

14.
arXiv (CS.CL) 2026-06-16

Taylor-Calibrate: Principled Initialization for Hybrid Linear Attention Distillation

Hybrid linear attention models offer an appealing path to faster long-context inference: they reduce the quadratic cost and KV-cache burden of full softmax attention while retaining much of the quality of Transformer models. A practical way to obtain such models is to convert a pretrained Transformer instead of pretraining a new architecture from scratch, but this conversion is still brittle. Simply copying the teacher attention projections into a Gated DeltaNet (GDN) student does not specify the new recurrent decay, write, and output-gating dynamics. As a result, the converted model often starts in a poor dynamical regime and must spend many distillation tokens repairing initialization rather than learning the remaining teacher behavior. We propose Taylor-Calibrate, a lightweight initialization method for hybrid GDN students. The method uses Taylor-guided teacher attention statistics to set the value projection, memory timescale, write gates, and output gate, then applies a short per-layer alignment step to match each converted layer to the teacher output. Across four teacher settings and three retained-layer policies, Taylor-Calibrate gives substantially stronger zero-shot students, with up to an 88x improvement in a representative ablation, and reaches matched recovery targets with 4.9x–9.2x fewer training tokens than naive conversion.

15.
arXiv (CS.AI) 2026-06-18

PSyGenTAB: A Privacy-Preserving Framework for Synthetic Clinical Tabular Data Generation via Constrained Optimization

arXiv:2606.18518v1 Announce Type: cross Abstract: The development of medical AI is constrained by limited access to high-quality clinical data due to institutional silos and strict privacy regulations such as HIPAA and GDPR. Synthetic data generation offers a potential solution, but existing methods lack principled mechanisms to explicitly manage the privacy-utility trade-off, often degrading clinically meaningful patterns or risking patient re-identification. We present PSyGenTAB, a privacy-preserving generative framework that formulates synthetic healthcare data generation as a constrained optimization problem solved using the Augmented Lagrangian Method. By embedding configurable privacy constraints directly into model training, PSyGenTAB enforces minimum privacy thresholds while maximizing clinical data utility. Across multiple clinically motivated benchmarks, PSyGenTAB preserves inter-feature clinical relationships and minority-class diagnostic patterns essential for reliable health AI. Downstream evaluation using Train-on-Synthetic, Test-on-Real and Train-on-Real, Test-on-Synthetic protocols shows that models trained on synthetic data achieve performance comparable to those trained on real patient records. Privacy auditing further demonstrates reduced exact record reproduction and strong resilience to membership inference attacks. These results establish PSyGenTAB as a principled framework for balancing privacy protection and clinical utility in synthetic healthcare data, supporting secure cross-institutional AI development.

16.
arXiv (CS.AI) 2026-06-15

Sensitivity Shaping for Latent Modeling

arXiv:2606.14585v1 Announce Type: cross Abstract: Generative dynamics models enable planning in challenging robotic systems, but safe deployment requires reliably detecting policy-induced out-of-distribution (OOD) transitions. Existing methods typically treat the learned dynamics as fixed and attach post hoc support surrogates. We show that these surrogates can fail when the dynamics are locally insensitive to critical action choices: unsupported control actions may produce latent predictions that resemble demonstrated transitions, suppressing OOD signals despite large true predictive errors. To address this, we introduce support-conditioned control-sensitivity regularization, which promotes sensitive local response to control input changes in learned dynamics in high-support training regions. This preserves control-induced variation while limiting unstable extrapolation due to weak empirical support. Experiments in vision-based obstacle avoidance, manipulation, and real-robot navigation show improved OOD detection and safer closed-loop planning.

17.
arXiv (quant-ph) 2026-06-17

Coherent Dark State Formation of a Lead-Vacancy Spin Qubit in Diamond

arXiv:2605.27841v2 Announce Type: replace Abstract: A lead-vacancy (PbV) center in diamond exhibits coherent emission above the liquid helium temperature, making it highly attractive for quantum network applications. Here, we report the magneto-optical and spin properties of PbV centers in diamond. We record a spin lifetime of 12 ms at 7.5 K under large off-axis magnetic field. Furthermore, we observe formation of the coherent dark state by coherent population trapping and estimate a spin dephasing time of 177 ns at 6.5 K. This work demonstrates the outstanding thermal robustness of the PbV spin compared to other group-IV centers above 4 K.

18.
arXiv (CS.CV) 2026-06-12

Distributional Loss for Robust Classification

This paper proposes a novel loss concept for supervised classification tasks. Rather than enforcing a direct mapping from each input sample to a single assigned label, we define an optimization objective over all classifier outputs as a bimodal Gaussian distribution. This softer target formulation implicitly captures class ambiguity, mitigates overfitting, and encourages the learning of more robust decision boundaries, all without requiring additional label information. Experimental results demonstrate consistent improvements in robustness, with particularly pronounced gains in low-data regimes, while requiring only minimal modifications to standard training pipelines.

19.
arXiv (CS.CL) 2026-06-11

Context-Aware Multimodal Claim Verification in Spoken Dialogues

Every day, millions absorb claims from podcasts and streams that no fact-checker ever sees. Spoken misinformation is built through conversation, where credibility comes not from facts alone but from how claims are framed, reinforced, or left unchallenged across turns. Yet fact-checking has focused on isolated text, leaving dialogue audio under-studied. We introduce MAD2, a new Multi-turn Audio Dialogues benchmark for spoken claim verification, containing 1,000 two-speaker dialogues with 3,368 check-worthy claims and approximately 10 hours of audio, and propose calibrated multimodal fusion of a context-aware audio encoder and a dialogue-aware text model. Across settings, adding dialogue context improves verification, but the gains depend on scenario type. Using only preceding context often matches offline performance, supporting live-moderation settings, and audio contributes most when transcript-based models are destabilized by additional context. Overall, conversational structure matters more for verification than misinformation framing.

20.
arXiv (CS.CL) 2026-06-16

Do You Really Need a GPU to Guard Your LLM? CPU-Class Classifiers and Multi-Stage Pipelines for Safety Enforcement at Scale

Safety classifiers that screen LLM inputs for jailbreak attempts have become standard deployment components, yet almost all production systems rely on GPU-based models: fine-tuned transformers and LLM-as-a-judge pipelines. These approaches impose significant per-query latency and infrastructure cost. Very little research has asked whether CPU-based classifiers, such as support vector machines and gradient-boosted trees trained on TF-IDF features, can match their accuracy across the conditions that production deployments encounter. We evaluate five CPU classifier families, Mamba-130M as an SSM-based GPU classifier, and transformer-based GPU models (DeBERTa-v3 and Gemma-2B with LoRA) across nine jailbreak sources and three regimes: in-distribution (D1), out-of-distribution (D2), and adversarially obfuscated (D3). On D1, the best CPU classifier matches the best transformer GPU model at roughly one-fifth the deployment cost. On D2, CPU classifiers fail via confident miscalibration, producing high-confidence false negatives that bypass escalation entirely. On D3, CPU classifiers outperform transformer GPU models by more than 26 percentage points in F1. Based on these complementary failure modes, we design GuardChain, a three-stage safety pipeline (Regex -> CPU -> GPU) that routes each prompt to the cheapest stage capable of a confident decision. The CPU stage alone resolves 80\% of in-distribution prompts at near-peak accuracy, and the GPU stage recovers the out-of-distribution failures. For practitioners deploying LLM safety at scale, this work provides evidence that GPU-class infrastructure is unnecessary for the majority of traffic.

21.
arXiv (CS.CV) 2026-06-17

DiffAttn: Diffusion-Based Drivers' Visual Attention Prediction with LLM-Enhanced Semantic Reasoning

Drivers' visual attention provides critical cues for anticipating latent hazards and directly shapes decision-making and control maneuvers, where its absence can compromise traffic safety. To emulate drivers' perception patterns and advance visual attention prediction for intelligent vehicles, we propose DiffAttn, a diffusion-based framework that formulates this task as a conditional diffusion-denoising process, enabling more accurate modeling of drivers' attention. To capture both local and global scene features, we adopt Swin Transformer as encoder and design a decoder that combines a Feature Fusion Pyramid for cross-layer interaction with dense, multi-scale conditional diffusion to jointly enhance denoising learning and model fine-grained local and global scene contexts. Additionally, a large language model (LLM) layer is incorporated to enhance top-down semantic reasoning and improve sensitivity to safety-critical cues. Extensive experiments on four public datasets demonstrate that DiffAttn achieves state-of-the-art (SoTA) performance, surpassing most video-based, top-down-feature-driven, and LLM-enhanced baselines. Our framework further supports interpretable driver-centric scene understanding and has the potential to improve in-cabin human-machine interaction, risk perception, and drivers' state measurement in intelligent vehicles.

22.
arXiv (CS.AI) 2026-06-11

Forecasting Future Behavior as a Learning Task

arXiv:2606.11445v1 Announce Type: new Abstract: Trust in an AI system is often anchored by explanations of how it works, which one then uses to forecast its behavior on new inputs. For large reasoning models (LRMs), this conventional route is particularly difficult to follow: explanation methods for single token generations do not naturally generalize to long trajectories, and the trajectories themselves are often not faithful when read as natural language. We propose an alternative that bypasses the explanation step: treat behavior forecasting as a learnable task and train Behavior Forecasters that operates on a single reasoning trajectory to make the same forecasts one would typically seek from an explanation. The forecaster's training data is obtained by querying the LRM with no human annotation, and its inference is done in a single forward pass. We instantiate this approach on two tasks: how likely the LRM is to repeat its answer on re-runs, and how removing parts of the input changes its answer. We evaluate this approach on both tasks across three diverse reasoning datasets and find that trained Behavior Forecasters are more accurate than GPT-5.4 and Claude Opus-4.6 reading the same trajectories as naive readers, at a small fraction of their inference cost. We find that fine-tuning the backbone end-to-end and initializing it from the target LRM are each necessary for strong performance. These results show that the reasoning trajectory carries information about the LRM's future behavior that goes beyond what naive reading conveys.

24.
arXiv (math.PR) 2026-06-11

Capital Asset Pricing Model with Size Factor and Normalizing by Volatility Index

arXiv:2411.19444v5 Announce Type: replace-cross Abstract: The Capital Asset Pricing Model (CAPM) relates a well-diversified stock portfolio to a benchmark portfolio. We insert size effect in CAPM, capturing the observation that small stocks have higher risk and return than large stocks, on average. For some size-based stock portfolios, dividing their returns by the Volatility Index makes them closer to independent and normal. In this article, we combine these ideas to create a new discrete-time model, which includes volatility, relative size, and CAPM. We fit this model using real-world data, prove the long-term stability, and connect this research to Stochastic Portfolio Theory. We fill important gaps in our previous article on CAPM with the size factor.