English
Related papers

Related papers: On discrete stochastic processes with long-lasting…

200 papers

Both Hawkes processes and autoregressive processes rely on linear functionals of their past, while modeling different types of data. Since datasets arising from observations of the same phenomenon may be heterogeneous and sampled at…

Probability · Mathematics 2026-05-28 Théo Leblanc

This note develops a stochastic model of asset volatility. The volatility obeys a continuous-time autoregressive equation. Conditions under which the process is asymptotically stationary and possesses long memory are characterised.…

Pricing of Securities · Quantitative Finance 2012-02-28 John A. D. Appleby , John A. Daniels , Katja Krol

We consider the setting where a collection of time series, modeled as random processes, evolve in a causal manner, and one is interested in learning the graph governing the relationships of these processes. A special case of wide interest…

Machine Learning · Computer Science 2016-08-30 Hossein Hosseini , Sreeram Kannan , Baosen Zhang , Radha Poovendran

It has been observed that an interesting class of non-Gaussian stationary processes is obtained when in the harmonics of a signal with random amplitudes and phases, frequencies can also vary randomly. In the resulting models, the…

Probability · Mathematics 2019-11-19 Anastassia Baxevani , Krzysztof Podgórski

From a continuous-time long memory stochastic process, a discrete-time randomly sampled one is drawn. We investigate the second-order properties of this process and establish some time-and frequency-domain asymptotic results. We mainly…

Statistics Theory · Mathematics 2021-10-12 Mohamedou Ould Haye , Anne Philippe , Caroline Robet

The autocorrelation function of volatility in financial time series is fitted well by a superposition of several exponents. Such a case admits an explicit analytical solution of the problem of constructing the best linear forecast of a…

Statistical Mechanics · Physics 2009-11-10 M. I. Krivoruchenko

Asymptotic properties of a vector of length power functionals of random geometric graphs are investigated. More precisely, its asymptotic covariance matrix is studied as the intensity of the underlying homogeneous Poisson point process…

Probability · Mathematics 2022-07-13 Matthias Reitzner , Tim Römer , Mandala von Westenholz

We present a novel extension of multi-output Gaussian processes for handling heterogeneous outputs. We assume that each output has its own likelihood function and use a vector-valued Gaussian process prior to jointly model the parameters in…

Machine Learning · Statistics 2019-01-04 Pablo Moreno-Muñoz , Antonio Artés-Rodríguez , Mauricio A. Álvarez

We investigate the distribution and multiple occurrences of extreme events stochastic processes constructed by sampling the solution of a Stochastic Differential Equation on $\mathbb{R}^n$. We do so by studying the action of an annealead…

Dynamical Systems · Mathematics 2024-03-20 F. Flandoli , S. Galatolo , P. Giulietti , S. Vaienti

We study the exponential Ornstein-Uhlenbeck stochastic volatility model and observe that the model shows a multiscale behavior in the volatility autocorrelation. It also exhibits a leverage correlation and a probability profile for the…

Other Condensed Matter · Physics 2008-12-02 Jaume Masoliver , Josep Perello

Heteroskedasticity is a common feature of financial time series and is commonly addressed in the model building process through the use of ARCH and GARCH processes. More recently multivariate variants of these processes have been in the…

Methodology · Statistics 2015-12-18 Alexander Aue , Lajos Horvath , Daniel Pellatt

We consider two kinds of stochastic volatility models. Both kinds of models contain a stationary volatility process, the density of which, at a fixed instant in time, we aim to estimate. We discuss discrete time models where for instance a…

Statistics Theory · Mathematics 2014-07-15 Bert van Es , Peter Spreij , Harry van Zanten

We show that typical behaviors of market participants at the high frequency scale generate leverage effect and rough volatility. To do so, we build a simple microscopic model for the price of an asset based on Hawkes processes. We encode in…

Trading and Market Microstructure · Quantitative Finance 2016-09-19 El Euch Omar , Fukasawa Masaaki , Rosenbaum Mathieu

This paper proposes a novel conditional heteroscedastic time series model by applying the framework of quantile regression processes to the ARCH(\infty) form of the GARCH model. This model can provide varying structures for conditional…

Methodology · Statistics 2023-11-14 Qianqian Zhu , Songhua Tan , Yao Zheng , Guodong Li

Spatial heterogeneity in the elastic properties of soft random solids is investigated via a two-pronged approach. First, a nonlocal phenomenological model for the elastic free energy is examined. This features a quenched random kernel,…

Disordered Systems and Neural Networks · Physics 2011-12-06 Xiaoming Mao , Paul M. Goldbart , Xiangjun Xing , Annette Zippelius

We consider a sparse high-dimensional varying coefficients model with random effects, a flexible linear model allowing covariates and coefficients to have a functional dependence with time. For each individual, we observe discretely sampled…

Statistics Theory · Mathematics 2021-10-14 Michael Law , Ya'acov Ritov

This paper provides an insight to the time-varying dynamics of the shape of the distribution of financial return series by proposing an exponential weighted moving average model that jointly estimates volatility, skewness and kurtosis over…

Risk Management · Quantitative Finance 2012-06-08 A. Gabrielsen , P. Zagaglia , A. Kirchner , Z. Liu

In this article, we aim to further clarify certain subtle aspects of processes that exhibit long memory in the second-order sense. We construct a long-memory stochastic sequence, in the sense that the series of absolute autocovariances…

Probability · Mathematics 2026-05-20 Valentin Vidril

In this paper, we develop two stochastic models where the variable under consideration follows Harris distribution. The mean and variance of the processes are derived and the processes are shown to be non-stationary. In the second model,…

Probability · Mathematics 2007-06-13 S Sherly , M K Jose , E Sandhya , N Raju

For many financial applications, it is important to have reliable and tractable models for the behavior of assets and indexes, for example in risk evaluation. A successful approach is based on ARCH processes, which strike the right balance…

Statistical Finance · Quantitative Finance 2021-07-15 Gilles Zumbach