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We use generating functional analysis to study minority-game type market models with generalized strategy valuation updates that control the psychology of agents' actions. The agents' choice between trend following and contrarian trading,…

Physics and Society · Physics 2015-05-13 P. Papadopoulos , ACC. Coolen

In machine learning we often encounter structured output prediction problems (SOPPs), i.e. problems where the output space admits a rich internal structure. Application domains where SOPPs naturally occur include natural language…

Machine Learning · Computer Science 2021-06-03 Waleed Mustafa , Yunwen Lei , Antoine Ledent , Marius Kloft

A technique from stochastic portfolio theory [Fernholz, 1998] is applied to analyse equity returns of Small, Mid and Large cap portfolios in an emerging market through periods of growth and regional crises, up to the onset of the global…

General Finance · Quantitative Finance 2013-07-02 Diane Wilcox , Tim Gebbie

We unify and establish equivalence between the pathwise and the quasi-sure approaches to robust modelling of financial markets in discrete time. In particular, we prove a Fundamental Theorem of Asset Pricing and a Superhedging Theorem,…

Mathematical Finance · Quantitative Finance 2019-12-04 Jan Obloj , Johannes Wiesel

The dynamic portfolio construction problem requires dynamic modeling of the joint distribution of multivariate stock returns. To achieve this, we propose a dynamic generative factor model which uses random variable transformation as an…

Portfolio Management · Quantitative Finance 2024-01-18 Chuting Sun , Qi Wu , Xing Yan

Graph theory has successfully used to solve a wide range of problems encountered in diverse fields such as medical sciences, neural networks, control theory, transportation, clustering analysis, expert systems, image capturing, and network…

General Mathematics · Mathematics 2018-06-19 Rajkumar Verma , José M. Merigó , Manoj Sahni

We present attributed hierarchical port graphs (AHP) as an extension of port graphs that aims at facilitating the design of modular port graph models for complex systems. AHP consist of a number of interconnected layers, where each layer…

Logic in Computer Science · Computer Science 2018-02-20 Nneka Chinelo Ene , Maribel Fernández , Bruno Pinaud

Risk aggregation is a popular method used to estimate the sum of a collection of financial assets or events, where each asset or event is modelled as a random variable. Applications, in the financial services industry, include insurance,…

Artificial Intelligence · Computer Science 2015-06-04 Peng Lin

We propose a novel method to improve estimation of asset returns for portfolio optimization. This approach first performs a monthly directional market forecast using an online decision tree. The decision tree is trained on a novel set of…

Portfolio Management · Quantitative Finance 2026-04-07 Nolan Alexander , William Scherer

This manuscript explores many convolution (restricted summation) type sequences via certain types of matrix based factorizations that can be used to express their generating functions. The last primary (non-appendix) section of the thesis…

Number Theory · Mathematics 2022-09-27 Maxie Dion Schmidt

Suppose that $X_1, \ldots , X_n$ are continuous semimartingales that are reversible and have nondegenerate crossings. Then the corresponding rank processes can be represented by generalized Stratonovich integrals, and this representation…

Probability · Mathematics 2017-05-02 Robert Fernholz

Process theories combine a graphical language for compositional reasoning with an underlying categorical semantics. They have been successfully applied to fields such as quantum computation, natural language processing, linear dynamical…

Logic in Computer Science · Computer Science 2018-05-17 Dan Marsden , Fabrizio Genovese

We discuss - in what is intended to be a pedagogical fashion - generalized "mean-to-risk" ratios for portfolio optimization. The Sharpe ratio is only one example of such generalized "mean-to-risk" ratios. Another example is what we term the…

Portfolio Management · Quantitative Finance 2018-04-12 Zura Kakushadze , Willie Yu

Temporal graphs represent graph evolution over time, and have been receiving considerable research attention. Work on expressing temporal graph patterns or discovering temporal motifs typically assumes relatively simple temporal…

Databases · Computer Science 2022-05-31 Amir Pouya Aghasadeghi , Jan Van den Bussche , Julia Stoyanovich

This paper deals with the notion of a large financial market and the concepts of asymptotic arbitrage and strong asymptotic arbitrage (both of the first kind), introduced by Yu.M. Kabanov and D.O. Kramkov. We show that the arbitrage…

Probability · Mathematics 2008-12-02 Dmitry B. Rokhlin

We construct the maximally predictable portfolio (MPP) of stocks using machine learning. Solving for the optimal constrained weights in the multi-asset MPP gives portfolios with a high monthly coefficient of determination, given the sample…

Computational Finance · Quantitative Finance 2023-11-06 Michael Pinelis , David Ruppert

We introduce generalized filtration with which we can represent situations such as some agents forget information at some specific time. The filtration is defined as a functor to a category Prob whose objects are all probability spaces and…

Mathematical Finance · Quantitative Finance 2020-11-18 Takanori Adachi , Katsushi Nakajima , Yoshihiro Ryu

We present and investigate an extension of the classical random graph to a general class of inhomogeneous random graph models, where vertices come in different types, and the probability of realizing an edge depends on the types of its…

Statistical Mechanics · Physics 2009-11-07 Bo Soderberg

This article proposes a unified framework for portfolio optimization (PO), recognizing an object called the `gain probability density function (PDF)' as the fundamental object of the problem from which any objective function could be…

Portfolio Management · Quantitative Finance 2025-12-15 Jean-Patrick Mascomère , Jérémie Messud , Yagnik Chatterjee , Isabel Barros Garcia

We introduce Graph Neural Processes (GNP), inspired by the recent work in conditional and latent neural processes. A Graph Neural Process is defined as a Conditional Neural Process that operates on arbitrary graph data. It takes features of…

Machine Learning · Computer Science 2019-10-03 Andrew Carr , David Wingate
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