q-fin.PM · 2026-09-01 · No. 102
Portfolio Management, 2026-09-01.
1 new papers in q-fin.PM. Titles, authors,
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01 — The papers
1 entries-
01
End-to-End Neural Shrinkage of Indefinite Pairwise Correlation Matrices for Small-Cap-Inclusive Portfolios
Christian Bongiorno, Lorenzo Villassero
q-fin.PM · cs.LG · q-fin.ST
Small-cap-inclusive equity universes contain recently listed and intermittently traded securities, so enforcing a common look-back discards a substantial fraction of the available information. Pairwise-complete estimation preserves the longest overlap for each asset pair, but the resulting correlation matrix can be indefinite because its entries are computed on different samples. This prevents direct use in Markowitz optimization and falls...
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