English
Related papers

Related papers: A method for Hedging in continuous time

200 papers

We consider hedging of a contingent claim by a 'semi-static' strategy composed of a dynamic position in one asset and static (buy-and-hold) positions in other assets. We give general representations of the optimal strategy and the hedging…

Mathematical Finance · Quantitative Finance 2017-09-19 Paolo Di Tella , Martin Haubold , Martin Keller-Ressel

A linear time algorithm to find a set of nearest elements in a mesh.

Data Structures and Algorithms · Computer Science 2011-10-04 Gleb Novichkov

We present a new approach for studying the problem of optimal hedging of a European option in a finite and complete discrete-time market model. We consider partial hedging strategies that maximize the success probability or minimize the…

Pricing of Securities · Quantitative Finance 2009-10-28 Peter G. Lindberg

This paper develops a high-accuracy algorithm for time fractional wave problems, which employs a spectral method in the temporal discretization and a finite element method in the spatial discretization. Moreover, stability and convergence…

Numerical Analysis · Mathematics 2017-08-10 Binjie Li , Hao Luo , Xiaoping Xie

We investigate the problem of pricing and hedging derivatives of Electricity Futures contract when the underlying asset is not available. We propose to use a cross hedging strategy based on the Futures contract covering the larger delivery…

Pricing of Securities · Quantitative Finance 2014-02-03 Adrien Nguyen Huu , Nadia Oudjane

The aim of this paper is to provide a mathematical contribution on the semi-static hedge of timing risk associated to positions in American-style options under a multi-dimensional market model. Barrier options are considered in the paper…

Pricing of Securities · Quantitative Finance 2017-01-23 Jiro Akahori , Flavia Barsotti , Yuri Imamura

The ability to model continuous change in Reiter's temporal situation calculus action theories has attracted a lot of interest. In this paper, we propose a new development of his approach, which is directly inspired by hybrid systems in…

Artificial Intelligence · Computer Science 2018-07-16 Vitaliy Batusov , Giuseppe De Giacomo , Mikhail Soutchanski

Recent advances in machine learning make it possible to design efficient prediction algorithms for data sets with huge numbers of parameters. This paper describes a new technique for "hedging" the predictions output by many such algorithms,…

Machine Learning · Computer Science 2011-11-22 Alexander Gammerman , Vladimir Vovk

We formulate a variational fictitious-time flow which drives an initial guess torus to a torus invariant under given dynamics. The method is general and applies in principle to continuous time flows and discrete time maps in arbitrary…

Chaotic Dynamics · Physics 2013-05-29 Yueheng Lan , Cristel Chandre , Predrag Cvitanovic

We propose a continuous-time second-order optimization algorithm for solving unconstrained convex optimization problems with bounded Hessian. We show that this alternative algorithm has a comparable convergence rate to that of the…

Optimization and Control · Mathematics 2021-05-21 Hossein Moradian , Solmaz S. Kia

We propose a new `hedged' Monte-Carlo (HMC) method to price financial derivatives, which allows to determine simultaneously the optimal hedge. The inclusion of the optimal hedging strategy allows one to reduce the financial risk associated…

Condensed Matter · Physics 2007-05-23 Marc Potters , Jean-Philippe Bouchaud , Dragan Sestovic

This article focuses on the space-time isogeometric method for a linear time dependent fourth order problem. Using an auxiliary variable, first the problem is split into a system of two second order differential equations and then the…

Numerical Analysis · Mathematics 2025-01-13 Shreya Chauhan , Sudhakar Chaudhary

This paper deals with the convergence time analysis of a class of fixed-time stable systems with the aim to provide a new non-conservative upper bound for its settling time. Our contribution is fourfold. First, we revisit the well-known…

Optimization and Control · Mathematics 2019-07-23 R. Aldana-López , D. Gómez-Gutiérrez , E. Jiménez-Rodríguez , J. D. Sánchez-Torres , M. Defoort

The paper presents new machine learning methods: signal composition, which classifies time-series regardless of length, type, and quantity; and self-labeling, a supervised-learning enhancement. The paper describes further the implementation…

Statistical Finance · Quantitative Finance 2013-05-14 Uri Kartoun

Optimization-based falsification employs stochastic optimization algorithms to search for error input of hybrid systems. In this paper we introduce a simple idea to enhance falsification, namely time staging, that allows the time-causal…

Systems and Control · Computer Science 2022-07-15 Gidon Ernst , Ichiro Hasuo , Zhenya Zhang , Sean Sedwards

In this paper, we investigate timelike slant helix in $S_{1}^{2}$ and we obtain parametric equation of timelike slant helix in $S_{1}^{2}$. Also related examples and their illustrations are given.

Differential Geometry · Mathematics 2016-03-27 Mesut Altınok , Cetin Camcı , Levent Kula , Hülya Başeğmez

This paper presents a distributed hybrid algorithm that synchronizes the time and rate of a set of clocks connected over a network. Clock measurements of the nodes are given at aperiodic time instants and the controller at each node uses…

Optimization and Control · Mathematics 2022-07-11 Marcello Guarro , Ricardo G. Sanfelice

This paper presents a finite-time heterogeneous cyclic pursuit scheme that ensures consensus among agents modelled as integrators. It is shown that for the proposed sliding mode control, even when the gains corresponding to each agent are…

Systems and Control · Computer Science 2018-11-29 Dwaipayan Mukherjee , Shashi Ranjan Kumar

We study the stability of receding horizon control for continuous-time non-linear stochastic differential equations. We illustrate the results with a simulation example in which we employ receding horizon control to design an investment…

Optimization and Control · Mathematics 2012-08-21 Fajin Wei , Andrea Lecchini-Visintini

In recent years, the distinctive advancement of handling huge data promotes the evolution of ubiquitous computing and analysis technologies. With the constantly upward system burden and computational complexity, adaptive coding has been a…

Computer Vision and Pattern Recognition · Computer Science 2018-10-16 Miao Cheng , Ah Chung Tsoi