FinSafeGuard: A Quality-Driven Synthetic Dataset for Financial AI Safety

Generating high-quality synthetic datasets at scale remains a fundamental challenge for training specialized AI systems in data-scarce domains. We present a comprehensive methodology that produces 14.3 million quality-filtered synthetic training examples from a structured taxonomy of 632,000 scenario specifications. Our four-stage pipeline ad- dresses critical challenges in synthetic data quality, diversity, and realism through: (1) systematic pre-generation research establishing optimal generation parameters via diminishing returns analysis, (2) conditional auto evolution mechanisms that remediate low-diversity batches during generation, (3) a two-layer semantic deduplication architecture combining lexical and embedding-based methods, and (4) LLM-as-Judge quality evaluation filtering samples based on behavioral correctness and tuple fidelity. Empirical analysis across three domains (Banking, Insurance, Financial Services) demonstrates domain-specific deduplication patterns ranging from 9.9% to 40.6%, with output generation modes exhibiting highest redundancy. Our batch size optimization reveals mode-specific diversity saturation thresholds, enabling principled allocation strategies. The complete pipeline reduces 26.4M raw samples to 14.3M high-confidence examples through merge (20.9% reduction), semantic deduplication (18.7% reduction), and quality-based filtering (15.9% reduction), providing a reproducible framework for domain-specific synthetic data generation with rigorous quality control.