Engine internals

Conformal prediction interval

In plain English

A conformal prediction interval is a confidence band with a finite-sample, distribution-free coverage guarantee. If the engine reports a 90% conformal interval of [56, 82], then 90% of similar future predictions will contain the realised value — assuming exchangeability. Wider intervals reflect higher per-ticker uncertainty, not lower expected return.

How it works

Vovk-Gammerman-Shafer 2005 conformal prediction provides finite-sample, distribution-free coverage guarantees: if the model says [56, 82] is a 90% interval, then 90% of similar future predictions WILL contain the realised value. We use Mondrian conformal (different intervals per regime + verdict bin). Wider interval = more uncertainty about this name.

Where you see this in Framler
[lower – upper] band shown next to the score, and as the CI bar in the Forward Return Panel.
Primary citation
Vovk-Gammerman-Shafer 2005 / Romano-Patterson-Candès 2019

Related — Engine internals

Framler score (composite)Verdict (BUY/MIXED/SELL)Forward return (expected)Market regime (BOCPD)Tail-dependence (copula)Kalman DLM (dynamic factor weights)

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Conformal prediction interval — Framler glossary | Framler