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Ethan Mercer

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Review Open access Sep 2026

DARC-OR: Dual-Signal Adaptive Recalibration and Concept-Drift Response for Capacity-Constrained Operational-Risk Early Warning

Operational-risk early-warning models in financial institutions operate under nonstationarity, extreme class imbalance, delayed outcome confirmation, and finite investigation capacity. This paper proposes DARC-OR, a drift-response framework that combines an immediately available Jensen-Shannon divergence signal on mode...

Ethan Mercer · 0 citations

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