Constructing an Artificial Market Simulation with LLM-based Agents [in Japanese]

Masanori HIRANO

The 34th meeting of Special Interest Group on Financial Informatics of Japanese Society for Artificial Intelligence, pp. 42-47, Mar. 1, 2025

Conference

The 34th meeting of Special Interest Group on Financial Informatics of Japanese Society for Artificial Intelligence (SIG-FIN)

Abstract

This paper newly constructs and analyzes the artificial market simulation using a large language model (LLM) agent. First, we constructed an LLM-based agent as a wise trader agent who consider fundamentals and trends, and a noise trader as an agent who trades on other exogenous factors. We then tested whether we could reproduce the stylized facts by changing the prompts and number of the LLM agents. The results showed that the prompts of the LLM agent are very important, and suggests that it is possible to reproduce the stylized facts by giving appropriate prompts as long as we tested. We also confirmed the current limitation of this approach.

Keywords

Artificial Market; LLM; Simulation;

doi

10.11517/jsaisigtwo.2025.FIN-034_42

bibtex

@inproceedings{Hirano2025-sigfin34,
  title={{Constructing an Artificial Market Simulation with LLM-based Agents [in Japanese]}},
  author={Masanori HIRANO},
  booktitle={The 34th meeting of Special Interest Group on Financial Informatics of Japanese Society for Artificial Intelligence},
  pages={42-47},
  doi={10.11517/jsaisigtwo.2025.FIN-034_42},
  year={2025}
}