This paper presents key insights and design rationales behind Inferno, a functional simulation construction framework developed at Intel to support execution-driven cycle-accurate performance modeling and simulation of advanced microarchitectural data speculation techniques for future processor designs and explorations. Inferno divides the task of functional simulation into three essential components, namely: (1) context manager of in-flight speculatively executed instructions, (2) stateless emulator of instruction semantics, and (3) a high speed functional simulator capable of booting OS and running large-scale system workloads. These building block components work together in concert via a set of well-architected functional model convergence APIs. With a novel abstraction called speculative domain, the context manager serves effectively as a relational database about the in-flight instructions and on-going speculations. Through a set of functional model usage APIs, the context manager enables performance models to express arbitrary microarchitectural data speculation scenarios. The contribution of this paper is to demonstrate the importance of providing a functional model with modular construction, proper abstraction and expressive APIs for speculative state management. Inferno is such a functional model construction framework and has significantly improved productivity in modeling a variety of sophisticated data speculation microarchitecture techniques.