Author
Listed:
- Matin Tavakoli
- Seyedreza Tavakoli
- Faezeh Salmani
- Amir Amini
- Mohammad Hosein Rohban
- Gholamali Aminian
- Ali Habibnia
Abstract
Financial reinforcement learning often translates an investment objective into an additive risk-adjusted reward. An agent can optimise that reward accurately yet implement a different financial preference. We develop a decision audit for terminal mean-variance equilibrium that separates reward misspecification from learning error. In a finite exogenous-state market, we bound the gain from changing one action using actor, reward and continuation-critic residuals. The certificate ignores state-constant critic offsets, accommodates convex action constraints, and has an independent-sample extension that does not require the equilibrium policy. A continuation-aware actor-critic method estimates the future-policy correction from samples. Across nine controlled markets and twenty seeds, it reduces policy distance by and one-step deviation gain by relative to a matched myopic-reward network. A separate PPO comparison tests the same reward intervention within a standard optimiser. Historical tests cross seven covariance estimators and 10, 30 and 49 US industry portfolios over 432 months: joint reward calibration preserves each fitted mean-variance target, but does not improve realised investment performance. Together, these results provide a way to quantify whether a learned decision implements its stated financial objective, separately from how well that objective performs in a backtest.
Suggested Citation
Matin Tavakoli & Seyedreza Tavakoli & Faezeh Salmani & Amir Amini & Mohammad Hosein Rohban & Gholamali Aminian & Ali Habibnia, 2026.
"Certifying Reward Alignment in Portfolio Reinforcement Learning,"
Papers
2610.34153, arXiv.org, revised Oct 2026.
Handle:
RePEc:arx:papers:2610.34153
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