In a recent Bond Buyer article on the challenges of AI-driven municipal bond pricing, SOLVE’s SVP of Innovation, Michael Pellerito, highlighted why high-yield bonds remain one of the more difficult areas for predictive models. He explained that the limited size, liquidity, and comparability of the high-yield muni market create a smaller training set for AI, making pricing accuracy more difficult than in investment-grade bonds. Pellerito also noted that SOLVE continues to improve its approach by incorporating additional signals and more credit-focused inputs to strengthen predictive pricing in this segment.
Read the full article: How AI struggles at pricing high-yield bonds | Bond Buyer
About SOLVE
SOLVE is the leading market data platform provider for fixed-income securities, trusted by sophisticated buy-side and sell-side firms worldwide. Founded in 2011, SOLVE leverages its AI-driven technology and deep industry expertise to offer unparalleled transparency into markets, reduce risk, and save hundreds of hours across front-office workflows. With the largest real-time datasets for Securitized Products, Municipal Bonds, Corporate Bonds, Syndicated Bank Loans, Convertible Bonds, CDS, and Private Credit, SOLVE empowers clients to transform the way they bring new securities to market, trade on secondary markets, and value highly illiquid securities. Headquartered in Connecticut, with offices across the globe, SOLVE is the definitive source for market pricing in Fixed Income markets.