Explainable machine learning to predict the cost of capital

This study investigates the impact of financial and non-financial factors on a firm's ex-ante cost of capital, which is the reflection of investors' perception on a firm's riskiness. Departing from previous literature, we apply the XGBoost algorithm and two explainable Artificial Inte...

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Bibliographic Details
Main Authors: Niklas Bussmann, Paolo Giudici, Alessandra Tanda, Ellen Pei-Yi Yu
Format: Article
Language:English
Published: Frontiers Media S.A. 2025-04-01
Series:Frontiers in Artificial Intelligence
Subjects:
Online Access:https://www.frontiersin.org/articles/10.3389/frai.2025.1578190/full
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