🦋 MorphoAlgo‑14B

The US‑Equities Quantitative Analyst

BlueMorpho Limited · Quantitative Intelligence Division

14B · US equities · fundamentals + market data · commercially licensed


✨ What is MorphoAlgo‑14B?

MorphoAlgo‑14B is a domain‑specialised large language model engineered by BlueMorpho Limited for quantitative analysis of the US stock market. It reasons over fundamentals, price history, and market structure, and answers with concrete numbers, periods, and explicit reasoning — not vague commentary.

MorphoAlgo‑14B is the result of a full, in‑house alignment pipeline developed end‑to‑end by BlueMorpho: a large‑scale quantitative pretraining corpus, a supervised instruction stage, a preference‑optimisation stage, verification, and consumer‑deployable quantised exports.


📊 Results at a glance

Stage Key metric Result
SFT steps · epochs · supervised tokens 6,126 · 2 · 29,551,965
SFT final eval loss · token accuracy 0.334 · 88.2 %
DPO steps · preference pairs 1,583 · 25,844
DPO eval loss · reward accuracy · reward margin 4.58 e‑05 · 100 % · 13.33
Merge artefact 14B dense (bf16)
Verification grounding tests passed 3 / 3
GGUF f16 · Q5_K_M · Q4_K_M 29.54 · 10.51 · 9.00 GB
Distill student 3B (in progress)

Verified results by stage


🧠 The full training pipeline

Development lifecycle


1️⃣ Stage 2 — Supervised Fine‑Tuning

The model is fine‑tuned to behave as a disciplined quantitative analyst: it reads a market question, selects the relevant metrics, and answers with grounded figures.

SFT loss

Metric Value
Optimization steps 6,126
Epochs 2
Supervised tokens 29,551,965
Final eval loss 0.334
Final token accuracy 88.2 %
Eval entropy 0.330
Best checkpoint step 6,126

The training loss falls smoothly from ~2.8 to ~0.33 and the eval loss tracks it without divergence — a clean, well‑conditioned supervised fit.


2️⃣ Stage 3 — Direct Preference Optimisation

A calibrated DPO stage sharpens answer quality, teaching the model to prefer truthful, precisely‑scoped analysis over plausible‑but‑wrong commentary.

DPO reward curves

Metric Start (step 200) End (step 1,583)
Reward margin 10.61 13.33
Eval loss 5.51 e‑04 4.58 e‑05
Reward accuracy 100 % 100 %
Token accuracy 73.9 % 74.0 %
Entropy 0.460 0.434
Chosen reward −4.10 −5.63
Rejected reward −14.71 −18.96

Full evaluation trajectory

All eight evaluation checkpoints, straight from the training log:

DPO full eval trajectory

The preference margin climbs monotonically while policy entropy decreases only slightly (0.460 → 0.434) — the signature of a healthy, non‑collapsing DPO run. The model learns to separate good from bad answers without degenerating into a brittle, low‑entropy policy.


📚 Data at the heart of MorphoAlgo

MorphoAlgo‑14B is trained on two purpose‑built datasets covering the US equities universe.

Datasets

Dataset Size Tokens
SFT instruction corpus 98,000 train / 2,000 valid examples 29.55 M
DPO preference pairs (v2) 25,327 train / 517 valid pairs 6.02 M

The preference set is built around a deliberate error taxonomy — the five failure modes a quantitative analyst must avoid:

Failure mode Pairs
Swapped / mis‑applied metric 7,751
Over‑confident claim 5,239
Subtle causal error 5,194
Plausible but wrong numbers 4,870
Wrong directional call 2,790

Underlying corpora: 10,426 US tickers of full daily OHLCV, 27,226,054 SEC EDGAR filing rows (1993 → 2026), and 8,020 XBRL company‑fact sets.


✅ Stage 5 — Verification

Every deployable artefact is verified before release.

Verification

  • Greedy grounding tests: 3/3 analyst prompts (AAPL, NVDA, MSFT) produced numeric, period‑grounded answers under do_sample=False.
  • GGUF integrity: all three exports carry a valid GGUF v3 header and re‑load and generate correctly on GPU.
  • Provenance: none of the published model cards name an upstream base model.

🎓 Stage 7 — Distillation

The distillation stage produces a lighter 3B student that retains the teacher's analytical behaviour for latency‑ and cost‑sensitive deployment.

Distillation


🚀 Quick start

from transformers import AutoModelForCausalLM, AutoTokenizer

model_id = "bluemorpholimited/morphoalgo-usstock-14b"
tok = AutoTokenizer.from_pretrained(model_id)
model = AutoModelForCausalLM.from_pretrained(model_id, device_map="auto", torch_dtype="bfloat16")

sys = ("You are MorphoAlgo, an expert quantitative analyst specialising in the US stock market. "
       "Answer precisely with concrete numbers, periods, and clear reasoning.")
q = "Analyse AAPL between 2019-01-02 and 2020-01-02 and summarise the move."
msgs = [{"role": "system", "content": sys}, {"role": "user", "content": q}]
ids = tok.apply_chat_template(msgs, add_generation_prompt=True, return_tensors="pt").to(model.device)
out = model.generate(ids, max_new_tokens=256, do_sample=False)
print(tok.decode(out[0][ids.shape[-1]:], skip_special_tokens=True))

Quantised / consumer deployment

For GGUF builds (llama.cpp, Ollama, LM Studio, llama‑cpp‑python), see bluemorpholimited/morphoalgo-usstock-14b-gguf.


📦 Model family

Repository What it is
morphoalgo-usstock-14b merged, deployable model (this repo)
morphoalgo-usstock-14b-sft SFT stage adapter
morphoalgo-usstock-14b-dpo DPO stage adapter
morphoalgo-usstock-14b-gguf GGUF f16 / Q5_K_M / Q4_K_M
morphoalgo-usstock-dataset SFT + DPO training datasets

⚠️ Limitations & responsible use

  • Not investment advice. MorphoAlgo‑14B produces historical, analytical commentary. It does not predict markets and must not be used as the sole basis for trading decisions.
  • Verify before acting. Always validate any figure against a primary market‑data source.
  • US‑listed equities focus. Coverage of OTC, illiquid, or newly listed instruments is limited.

📜 Licence

Released under the BlueMorpho Commercial Licence. For licensing, evaluation, and enterprise deployment support, contact the BlueMorpho Limited Quantitative Intelligence Division.


BlueMorpho Limited · Quantitative Intelligence Division

Precision. Grounding. Market intelligence.

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