Survey Paper • arXiv Coming Soon

The 10× Research Gap in
AI Trading Systems

A comprehensive survey of 110+ papers exposing the critical imbalance between alpha generation research and deployment infrastructure in autonomous trading systems.

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Vision

The field of LLM-powered trading systems has experienced explosive growth, with research output increasing 312.5% from 2023 to 2024. Yet this rapid expansion masks a critical structural problem: research priorities are misaligned with deployment requirements.

Our comprehensive analysis of 110+ papers reveals that 90.9% of research focuses on alpha generation (stages 1-4) while only 9.1% addresses deployment infrastructure (stages 5-7). This 10× research imbalance creates a systematic barrier to institutional adoption.

This survey provides the research community with the first systematic mapping between architectural patterns and pipeline requirements, quantifies the gap with empirical evidence, and identifies high-impact opportunities to bridge the divide between alpha generation research and production-ready systems.

The Problems We Solve

Severity: High | Medium | Low

No Systematic Research Mapping

High

No framework existed to map cognitive architectures to pipeline stages. We provide the first dual-axis taxonomy classifying six architecture families across seven trading stages, revealing where research concentrates and what's missing.

Hidden Research Imbalance

High

The field lacked quantitative evidence of research gaps. We systematically analyzed 109 papers, exposing a 10× imbalance: 90.9% focus on alpha generation while only 9.1% address deployment-critical infrastructure (Stages 5-7).

Practitioner Decision Paralysis

Medium

Researchers and institutions lack guidance for architecture selection. We provide reusable decision trees mapping latency requirements, regulatory constraints, and asset classes to optimal architecture families with empirical benchmarks.

Scattered Knowledge Landscape

Medium

LLM trading research is fragmented across venues with no comprehensive catalog. We provide structured metadata for 109 papers including stage coverage, architecture patterns, code availability (49.5%), and dataset accessibility (54.1%).

Our Approach

Systematic analysis through dual-axis framework combining cognitive architectures and pipeline stages

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Comprehensive Coverage

110+ papers spanning 2020-2025 with 99.1% Era 3 systems coverage

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Architectural Taxonomy

Six cognitive families mapped to seven pipeline stages

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Quantified Gap Analysis

Evidence-based documentation of 10× research imbalance

🛠️

Practitioner Frameworks

Decision trees for optimal architecture selection

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Pattern Identification

Novel patterns including dynamic routing and process-supervised RL

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Research Roadmap

18 high-impact opportunities addressing identified gaps

The Problem We Identified

Our comprehensive survey of 109 papers (2020-2025) mapping LLM trading research across 7 pipeline stages and 6 agent architecture reveals a troubling reality: the research community has largely ignored the infrastructure needed to deploy AI trading systems in production.

0
Complete Systems
Zero papers address the full seven-stage pipeline from feature engineering through governance—no system integrates all stages required for institutional deployment.
10×
Research Imbalance
90.9% of papers focus on alpha generation (Stages 1-4) while only 9.1% address deployment-critical infrastructure (Stages 5-7: Execution, Risk Control, Governance).
2%
Explainable Trading Research
Black-box predictions dominate while institutions require interpretable reasoning chains and audit trails. LLM agents can provide chain-of-thought reasoning, yet research systematically underexploits this capability.
58.7%
Data Contamination
Most papers lack prompt transparency, and time-travel contamination from LLMs trained on future data produces inflated backtest results that fail in live deployment.

This gap represents a fundamental disconnect between academic research and practical deployment. Rather than contributing to this imbalance, Tokalpha Labs is building integrated solutions that address the complete autonomous trading pipeline.

Current Status

The survey paper is currently being finalized for publication. We're preparing the manuscript for arXiv submission while continuing to refine our analysis and expand coverage.

RESEARCH & ANALYSIS

Paper analysis (110+ papers)100% • Complete
Gap identification & quantification100% • Complete
Framework development95% • Q1 2026

PUBLICATION & DISSEMINATION

Manuscript writing90% • Q1 2026
Peer review preparation70% • Q1 2026
arXiv submission0% • Q2 2026
Conference/journal submission0% • Q2 2026

Future Direction

This survey is a living document that we continue to update as the field evolves. We're actively monitoring new research and tracking how the community responds to the infrastructure gap we've identified.

Collaboration Opportunities

We welcome collaboration from researchers working on any stage of the autonomous trading pipeline. If you're addressing these infrastructure challenges, we want to hear from you.

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Research Institutions

Collaborate on survey expansion and validation

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Trading Firms

Test infrastructure in production environments

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Academic Researchers

Joint papers and methodology development