Explainable AI for Private Equity Valuation: Integrating Financial Statements, Market Signals, and Risk-Adjusted Learning Models
Keywords:
Explainable Artificial Intelligence, Private Equity Valuation, Financial Machine Learning, Risk Aware Learning, XGBoost, SHAP, LIME, Computational Finance, Investment Intelligence, Financial Forecasting.Abstract
Private equity valuation is a challenging financial calculation that has certain characteristics in its markets,valuations, macroeconomic environment and financial reporting. In contrast, despite the enormous benefits of Artificial Intelligence (AI) tools on top of predictive analytics in computational finance, there are several inexistence that are black boxes, with poor explainability
References
)Agal, S., Raulji, K., & Odedra, N. D. (2025). A machine learning approach to risk based asset allocation in portfolio optimization. Scientific Reports, 15(1), 42263. https://doi.org/https://doi.org/10.1038/s41598025-26337-x
Apu, K. U., Rahman, M. M., Hoque, A. B., & Bhuiyan, M. (2022). Forecasting future investment value with machine learning, neural networks, and ensemble learning: a meta-analytic study. Review of Applied Science and Technology, 1(02), 01-25. https://doi.org/https://doi.org/10.63125/edxgjg56
