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Long-horizon decision problems with cumulative damage couple locally attractive actions to globally adverse outcomes. We identify two orthogonal failure modes for policy-gradient methods on this class and propose a decomposition that…

Artificial Intelligence · Computer Science 2026-05-27 Wolfgang Maass , Sabine Janzen

In this paper, we consider discrete-time infinite horizon problems of optimal control to a terminal set of states. These are the problems that are often taken as the starting point for adaptive dynamic programming. Under very general…

Systems and Control · Computer Science 2015-10-05 Dimitri P. Bertsekas

We propose an algorithm to calculate the exact solution for utility optimization problems on finite state spaces under a class of non-differentiable preferences. We prove that optimal strategies must lie on a discrete grid in the plane, and…

Pricing of Securities · Quantitative Finance 2018-10-01 Marcellino Gaudenzi , Michel Vellekoop

We consider the problem of optimal multiple switching in finite horizon, when the state of the system, including the switching costs, is a general adapted stochastic process. The problem is formulated as an extended impulse control problem…

Probability · Mathematics 2007-07-19 Boualem Djehiche , Said Hamadene , Alexandre Popier

The solution to the infinite horizon optimal control problem for linear distributed time-delay systems is presented. The proposal is based on the use of the Cauchy solution for distributed time-delay systems. In contrast with previous…

Optimization and Control · Mathematics 2022-01-19 Jorge Ortega , Omar Santos , Liliam Rodríguez , Sabine Mondié

In this paper we get error bounds for fully discrete approximations of infinite horizon problems via the dynamic programming approach. It is well known that considering a time discretization with a positive step size $h$ an error bound of…

Numerical Analysis · Mathematics 2026-02-09 Javier de Frutos , Julia Novo

Peak estimation of hybrid systems aims to upper bound extreme values of a state function along trajectories, where this state function could be different in each subsystem. This finite-dimensional but nonconvex problem may be lifted into an…

Optimization and Control · Mathematics 2023-03-22 Jared Miller , Mario Sznaier

In this paper we extend the stability results of [4]}. Our utility maximization problem is defined as an essential supremum of conditional expectations of the terminal values of wealth processes, conditioned on the filtration at the…

Portfolio Management · Quantitative Finance 2011-03-28 Erhan Bayraktar , Ross Kravitz

In many applications of optimal control, the stage cost is not fixed, but rather a design choice with considerable impact on the control performance. In infinite horizon optimal control, the choice of stage cost is often restricted by the…

Optimization and Control · Mathematics 2022-07-13 Christian Fiedler , Sebastian Trimpe

In this paper we consider multiple constrained resource allocation problems, where the constraints can be specified by formulating activity dependency restrictions or by using game-theoretic models. All the problems are focused on generic…

Data Structures and Algorithms · Computer Science 2009-06-19 Mugurel Ionut Andreica , Madalina Ecaterina Andreica , Costel Visan

We use one-step conditional risk mappings to formulate a risk averse version of a total cost problem on a controlled Markov process in discrete time infinite horizon. The nonnegative one step costs are assumed to be lower semi-continuous…

Optimization and Control · Mathematics 2018-06-05 Kerem Ugurlu

This paper develops a unified explicit solution theory for optimal execution through sequential limit-order placement in a limit order book. Rather than controlling only the trading speed of a metaorder, we determine how individual limit…

Trading and Market Microstructure · Quantitative Finance 2026-05-26 Fenghui Yu

We study global optimization of non-convex functions through optimal control theory. Our main result establishes that (quasi-)optimal trajectories of a discounted control problem converge globally and practically asymptotically to the set…

Optimization and Control · Mathematics 2025-11-17 Yuyang Huang , Dante Kalise , Hicham Kouhkouh

We establish necessary conditions of optimality for discrete-time infinite-horizon optimal control in presence of constraints at infinity. These necessary conditions are in form of weak and strong Pontryagin principles. We use a functional…

Dynamical Systems · Mathematics 2015-11-09 Joel Blot , Thoi Ngo

We characterise the value function of the optimal dividend problem with a finite time horizon as the unique classical solution of a suitable Hamilton-Jacobi-Bellman equation. The optimal dividend strategy is realised by a Skorokhod…

Probability · Mathematics 2017-11-27 Tiziano De Angelis , Erik Ekström

Time Optimal Path Parametrization is the problem of minimizing the time interval during which an actuation constrained agent can traverse a given path. Recently, an efficient linear-time algorithm for solving this problem was proposed.…

Robotics · Computer Science 2019-06-24 Igor Spasojevic , Varun Murali , Sertac Karaman

Two-stage methods addressing continuous shortest path problems start local minimization from discrete shortest paths in a spatial graph. The convergence of such hybrid methods to global minimizers hinges on the discretization error induced…

Optimization and Control · Mathematics 2022-04-13 Ralf Borndörfer , Fabian Danecker , Martin Weiser

We investigate the possibility of extending some results of Pazman and Pronzato (2014) to a larger set of optimality criteria. Namely, in a linear regression model the problem of computing D-, A-, E_k-optimal designs, of combining these…

Computation · Statistics 2015-04-24 Katarina Burclova , Andrej Pazman

In this paper we establish the interpolatory model reduction framework for optimal approximation of MIMO dynamical systems with respect to the $\mathcal{H}_2$ norm over a finite-time horizon, denoted as the $\mathcal{H}_2(t_f)$ norm. Using…

Numerical Analysis · Mathematics 2019-05-21 Klajdi Sinani , Serkan Gugercin

We consider discrete-time infinite horizon deterministic optimal control problems with nonnegative cost per stage, and a destination that is cost-free and absorbing. The classical linear-quadratic regulator problem is a special case. Our…

Optimization and Control · Mathematics 2017-12-20 Dimitri P. Bertsekas