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We study backward stochastic differential equations (BSDEs) for time-changed L\'evy noises when the time-change is independent of the L\'evy process. We prove existence and uniqueness of the solution and we obtain an explicit formula for…

Probability · Mathematics 2013-12-19 Giulia Di Nunno , Steffen Sjursen

The rates of strong convergence for various approximation schemes are investigated for a class of stochastic differential equations (SDEs) which involve a random time change given by an inverse subordinator. SDEs to be considered are unique…

Probability · Mathematics 2021-03-29 Sixian Jin , Kei Kobayashi

We study a discrete-time approximation for solutions of systems of decoupled forward-backward doubly stochastic differential equations (FBDSDEs). Assuming that the coefficients are Lipschitz-continuous, we prove the convergence of the…

Probability · Mathematics 2009-07-14 Auguste Aman

We propose a new numerical scheme for Backward Stochastic Differential Equations based on branching processes. We approximate an arbitrary (Lipschitz) driver by local polynomials and then use a Picard iteration scheme. Each step of the…

Numerical Analysis · Mathematics 2017-07-31 Bruno Bouchard , Xiaolu Tan , Xavier Warin , Yiyi Zou

In this paper, we study a collection of mean-reflected backward stochastic differential equations driven by $G$-Brownian motions ($G$-BSDEs), where $G$-expectations are constrained in some time-dependent intervals. To establish…

Probability · Mathematics 2024-07-26 Zihao Gu , Hui Zhao

In this paper, we study the well-posedness of the Forward-Backward Stochastic Differential Equations (FBSDE) in a general non-Markovian framework. The main purpose is to find a unified scheme which combines all existing methodology in the…

Probability · Mathematics 2015-06-30 Jin Ma , Zhen Wu , Detao Zhang , Jianfeng Zhang

Using a new notion of path-derivative, we study well-posedness of backward stochastic differential equation driven by a continuous martingale $M$ when $f(s,\gamma,y,z)$ is locally Lipschitz in $(y,z)$:…

Probability · Mathematics 2017-06-20 Kihun Nam

This paper establishes characterization results for dynamic return and star-shaped risk measures induced via backward stochastic differential equations (BSDEs). We first characterize a general family of static star-shaped functionals in a…

Risk Management · Quantitative Finance 2023-07-20 Roger J. A. Laeven , Emanuela Rosazza Gianin , Marco Zullino

We first establish the existence of an unbounded solution to a backward stochastic differential equation (BSDE) with generator $g$ allowing a general growth in the state variable $y$ and a sub-quadratic growth in the state variable $z$,…

Probability · Mathematics 2019-10-21 Shengjun Fan , Ying Hu

In this paper we show the strong existence and the pathwise uniqueness of an infinite-dimensional Stochastic Differential Equation (SDE) corresponding to the bulk limit of Dyson's Brownian Motion (DBM), for all $\beta\geq 1$. Our…

Probability · Mathematics 2015-11-02 Li-Cheng Tsai

We study the discrete-time approximation for solutions of quadratic forward back- ward stochastic differential equations (FBSDEs) driven by a Brownian motion and a jump process which could be dependent. Assuming that the generator has a…

Optimization and Control · Mathematics 2012-11-28 Idris Kharroubi , Thomas Lim

We demonstrate that backward stochastic differential equations (BSDE) may be reformulated as ordinary functional differential equations on certain path spaces. In this framework, neither It\^{o}'s integrals nor martingale representation…

Probability · Mathematics 2012-11-20 Gechun Liang , Terry Lyons , Zhongmin Qian

We study the well-posedness of general reflected BSDEs driven by a continuous martingale, when the coefficient f of the driver has at most quadratic growth in the control variable Z, with a bounded terminal condition and a lower obstacle…

Probability · Mathematics 2013-10-22 Arnaud Lionnet

We are concerned with the discretization of a solution of a Forward-Backward stochastic differential equation (FBSDE) with a jump process depending on the Brownian motion. In this paper, we study the cases of Lipschitz generators and the…

Probability · Mathematics 2015-03-10 Idris Kharroubi , Thomas Lim

This paper is concerned with strong convergence and almost sure convergence for neutral stochastic differential delay equations under non-globally Lipschitz continuous coefficients. Convergence rates of $\theta$-EM schemes are given for…

Probability · Mathematics 2017-01-03 Li Tan , Chenggui Yuan

We introduce and develop the concepts of Geometric Backward Stochastic Differential Equations (GBSDEs, for short) and two-driver BSDEs. We demonstrate their natural suitability for modeling continuous-time dynamic return risk measures. We…

Probability · Mathematics 2025-09-10 Roger J. A. Laeven , Emanuela Rosazza Gianin , Marco Zullino

This paper is concerned with a Stackelberg game of backward stochastic differential equations (BSDEs), where the coefficients of the backward system and the cost functionals are deterministic, and the control domain is convex. Necessary and…

Optimization and Control · Mathematics 2019-04-18 Yueyang Zheng , Jingtao Shi

We study the discrete-time approximation for solutions of forward-backward stochas- tic dierential equations (FBSDEs) with a jump. In this part, we study the case of Lipschitz generators, and we refer to the second part of this work [15]…

Analysis of PDEs · Mathematics 2012-11-28 Idris Kharroubi , Thomas Lim

In this paper we study different algorithms for backward stochastic differential equations (BSDE in short) basing on random walk framework for 1-dimensional Brownian motion. Implicit and explicit schemes for both BSDE and reflected BSDE are…

Probability · Mathematics 2009-09-23 Shige Peng , Mingyu Xu

In the past decade, an intensive study of strong approximation of stochastic differential equations (SDEs) with a drift coefficient that has discontinuities in space has begun. In the majority of these results it is assumed that the drift…

Probability · Mathematics 2020-10-05 Thomas Müller-Gronbach , Larisa Yaroslavtseva
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