TRACE: A New Credit Assignment Method for Long-Horizon Agents

Microsoft Research and the University of Wisconsin introduced TRACE, a novel turn-level reward assignment method designed to overcome the credit assignment bottleneck in long-horizon agentic tasks. By evaluating at tool-call boundaries using log-ratios, TRACE effectively addresses the limitations of sparse outcome-based rewards.

2026-07-19 ~ 2026-07-21 · 3 related posts

• TRACE: A New Reward Allocation Method for Long-Horizon Agents — SharonYixuanLi · 2026-07-19
• TRACE improves long-horizon agent tool use without heavy supervised pretraining — burkov · 2026-07-21
• Microsoft collaboration TRACE tackles credit assignment for long-horizon agents — SharonYixuanLi · 2026-07-21