{"paper":{"title":"A Penalty-Free Pipeline for Direct Quantum-Annealer Portfolio Optimization","license":"http://arxiv.org/licenses/nonexclusive-distrib/1.0/","headline":"","cross_cats":["math.OC","q-fin.PM"],"primary_cat":"quant-ph","authors_text":"Luis Lozano","submitted_at":"2026-05-17T19:50:04Z","abstract_excerpt":"Direct quantum-annealer portfolio optimization is commonly formulated as a penalty-encoded QUBO and submitted to D-Wave hardware. We show that this standard formulation fails on current devices and identify the structural reason: the cardinality penalty contributes a dense rank-one term proportional to the all-ones matrix that makes the logical interaction graph complete regardless of the covariance structure. On Pegasus and Zephyr, chain-break fractions reach 83 percent at N equal to 24 and 92 percent at N equal to 49, producing no feasible samples. Attempting to fix this through topology-awa"},"claims":{"count":0,"items":[],"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57"},"source":{"id":"2605.17628","kind":"arxiv","version":1},"verdict":{"id":null,"model_set":{},"created_at":null,"strongest_claim":"","one_line_summary":"","pipeline_version":null,"weakest_assumption":"","pith_extraction_headline":""},"integrity":{"clean":true,"summary":{"advisory":0,"critical":0,"by_detector":{},"informational":0},"endpoint":"/pith/2605.17628/integrity.json","findings":[],"available":true,"detectors_run":[{"name":"cited_work_retraction","ran_at":"2026-05-19T22:52:44.195290Z","status":"completed","version":"1.0.0","findings_count":0},{"name":"ai_meta_artifact","ran_at":"2026-05-19T21:33:23.560849Z","status":"skipped","version":"1.0.0","findings_count":0},{"name":"claim_evidence","ran_at":"2026-05-19T21:21:57.485489Z","status":"completed","version":"1.0.0","findings_count":0}],"snapshot_sha256":"43bd2bfb0975289e01208f8c4d27b3c2034a1ad993e4fb6922af0c295c8077a8"},"references":{"count":0,"sample":[],"resolved_work":0,"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57","internal_anchors":0},"formal_canon":{"evidence_count":0,"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57"},"author_claims":{"count":0,"strong_count":0,"snapshot_sha256":"258153158e38e3291e3d48162225fcdb2d5a3ed65a07baac614ab91432fd4f57"},"builder_version":"pith-number-builder-2026-05-17-v1"}