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Using purely probabilistic methods, we prove the existence and the uniqueness of solutions fora system of coupled forward-backward stochastic differential equations (FBSDEs) with measurable, possibly discontinuous coefficients. As a…

Probability · Mathematics 2021-10-12 Kihun Nam , Yunxi Xu

In this work, we study the numerical approximation of a class of singular fully coupled forward backward stochastic differential equations. These equations have a degenerate forward component and non-smooth terminal condition. They are…

Numerical Analysis · Mathematics 2022-08-17 Jean-François Chassagneux , Mohan Yang

Novel multi-step predictor-corrector numerical schemes have been derived for approximating decoupled forward-backward stochastic differential equations (FBSDEs). The stability and high order rate of convergence of the schemes are rigorously…

Numerical Analysis · Mathematics 2021-02-12 Qiang Han , Shaolin Ji

We introduce the deep multi-FBSDE method for robust approximation of coupled forward-backward stochastic differential equations (FBSDEs), focusing on cases where the deep BSDE method of Han, Jentzen, and E (2018) fails to converge. To…

Numerical Analysis · Mathematics 2025-06-03 Kristoffer Andersson , Adam Andersson , Cornelis W. Oosterlee

In this paper we deal with the utility maximization problem with a general utility function. We derive a new approach in which we reduce the utility maximization problem with general utility to the study of a fully-coupled Forward-Backward…

Probability · Mathematics 2011-10-13 Ulrich Horst , Ying Hu , Peter Imkeller , Anthony Réveillac , Jianing Zhang

In this paper, we study the solvability problem for one kind of fully coupled forward-backward stochastic difference equations (FBS{\Delta}Es). With the help of the necessary and sufficient condition for the solvability of the linear…

Probability · Mathematics 2019-12-10 Shaolin Ji , Haodong Liu

Motivated from time-inconsistent stochastic control problems, we introduce a new type of coupled forward-backward stochastic systems, namely, flows of forward-backward stochastic differential equations. They are systems consisting of a…

Probability · Mathematics 2020-04-28 Yushi Hamaguchi

A coupled forward-backward stochastic differential system (FBSDS) is formulated in spaces of fields for the incompressible Navier-Stokes equation in the whole space. It is shown to have a unique local solution, and further if either the…

Mathematical Physics · Physics 2014-03-04 Freddy Delbaen , Jinniao Qiu , Shanjian Tang

We deal with a class of fully coupled forward-backward stochastic differential equations (FBSDE for short), driven by Teugels martingales associated with some L\'evy process. Under some assumptions on the derivatives of the coefficients, we…

Probability · Mathematics 2017-01-31 Dalila Guerdouh , Nabil Khelfallah , Brahim Mezerdi

In this work, we concern with the high order numerical methods for coupled forward-backward stochastic differential equations (FBSDEs). Based on the FBSDEs theory, we derive two reference ordinary differential equations (ODEs) from the…

Numerical Analysis · Mathematics 2014-03-27 Weidong Zhao , Yu Fu , Tao Zhou

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 propose and study a scheme combining the finite element method and machine learning techniques for the numerical approximations of coupled nonlinear forward-backward stochastic partial differential equations (FBSPDEs) with homogeneous…

Numerical Analysis · Mathematics 2020-12-16 Hasib Uddin Molla , Jinniao Qiu

This paper is concerned with the decoupling of delayed linear forward-backward stochastic differential equations (D-FBSDEs), which is much more involved than the delay-free case due to the infinite dimension caused by the delay. A new…

Optimization and Control · Mathematics 2020-09-23 Tianfu Ma , Juanjuan Xu , Huanshui Zhang

In this paper, we consider the Cauchy problem of semi-linear degenerate backward stochastic partial differential equations (BSPDEs in short) under general settings without technical assumptions on the coefficients. For the solution of…

Probability · Mathematics 2011-09-06 Kai Du , Qi Zhang

In this paper, we study forward-backward doubly stochastic differential equations driven by Brownian motions and Poisson process (FBDSDEP in short). Both the probabilistic interpretation for the solutions to a class of quasilinear…

Probability · Mathematics 2010-05-17 Qingfeng Zhu , Yufeng Shi

In this paper, we investigate the Markovian iteration method for solving coupled forward-backward stochastic differential equations (FBSDEs) featuring a fully coupled forward drift, meaning the drift term explicitly depends on both the…

Numerical Analysis · Mathematics 2025-04-04 Zhipeng Huang , Cornelis W. Oosterlee

The recently proposed numerical algorithm, deep BSDE method, has shown remarkable performance in solving high-dimensional forward-backward stochastic differential equations (FBSDEs) and parabolic partial differential equations (PDEs). This…

Probability · Mathematics 2022-03-10 Jiequn Han , Jihao Long

Forward-backward stochastic differential equations (FBSDEs) have been generalized by introducing jumps for better capturing random phenomena, while the resulting FBSDEs are far more intricate than the standard one from every perspective. In…

Numerical Analysis · Mathematics 2024-10-15 Reiichiro Kawai , Riu Naito , Toshihiro Yamada

In this paper, we study the numerical method for solving forward-backward stochastic differential equations driven by $G$-Brownian motion ($G$-FBSDEs) which correspond to fully nonlinear partial differential equations (PDEs). First, we give…

Numerical Analysis · Mathematics 2022-05-19 Mingshang Hu , Lianzi Jiang

In this paper, we introduce a large class of convergent numerical methods, based on (linear) basis function regression technique, to approximate the solution to a forward-backward stochastic differential equation with jumps (FBSDEJ…

Computational Finance · Quantitative Finance 2020-11-03 Tingting Ye , Liangliang Zhang