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For any real-valued stochastic process $X$ with c\'rdl\'rg paths we define non-empty family of processes which have locally finite total variation, have jumps of the same order as the process $X$ and uniformly approximate its paths on…

Probability · Mathematics 2017-06-26 Rafał M. Łochowski

In this work, we investigate a theory of stochastic integration for operator-valued processes with respect to semimartingales taking values in the dual of a nuclear space. Our construction of this particular stochastic integral relies on…

Probability · Mathematics 2025-11-25 C. A. Fonseca-Mora

We present an alternative construction of the infinite dimensional It\^{o} integral with respect to a Hilbert space valued L\'{e}vy process. This approach is based on the well-known theory of real-valued stochastic integration, and the…

Probability · Mathematics 2025-11-21 Stefan Tappe

We consider the class of non-linear stochastic partial differential equations studied in \cite{conusdalang}. Equivalent formulations using integration with respect to a cylindrical Brownian motion and also the Skorohod integral are…

Probability · Mathematics 2015-03-25 Marta Sanz-Solé , André Süß

This paper provides a numerical approach for solving the linear stochastic Volterra integral equation using Walsh function approximation and the corresponding operational matrix of integration. A convergence analysis and error analysis of…

Numerical Analysis · Mathematics 2024-09-02 Prit Pritam Paikaray , Sanghamitra Beuria , Nigam Chandra Parida

We investigate the probabilistic and analytic properties of Volterra processes constructed as pathwise integrals of deterministic kernels with respect to the H\"older continuous trajectories of Hilbert-valued Gaussian processes. To this…

Probability · Mathematics 2020-06-01 Fred E. Benth , Fabian A. Harang

A derivation operator and a divergence operator are defined on the algebra of bounded operators on the symmetric Fock space over the complexification of a real Hilbert space $\eufrak{h}$ and it is shown that they satisfy similar properties…

Probability · Mathematics 2007-05-23 Uwe Franz , Remi Leandre , Rene Schott

We introduce the Volterra Stein-Stein model with stochastic interest rates, where both volatility and interest rates are driven by correlated Gaussian Volterra processes. This framework unifies various well-known Markovian and non-Markovian…

Mathematical Finance · Quantitative Finance 2025-07-17 Eduardo Abi Jaber , Donatien Hainaut , Edouard Motte

We develop a stochastic integration theory for predictable integrands with respect to a L\'evy basis. Our approach is based on decoupling inequalities for tangent sequences and reduces the construction of the stochastic integral essentially…

Probability · Mathematics 2026-05-18 Markus Riedle

In this paper we study the Malliavin derivatives and Skorohod integrals for processes taking values in an infinite dimensional space. Such results are motivated by their applications to SPDEs and in particular financial mathematics.…

Probability · Mathematics 2013-05-23 Matthijs Pronk , Mark Veraar

We propose a finite difference scheme to simulate solutions to a certain type of hyperbolic stochastic partial differential equation (HSPDE). These solutions can in turn estimate so called volatility modulated Volterra (VMV) processes and…

Statistics Theory · Mathematics 2016-02-10 Fred Espen Benth , Heidar Eyjolfsson

We introduce the notion of {\em covariance measure structure} for square integrable stochastic processes. We define Wiener integral, we develop a suitable formalism for stochastic calculus of variations and we make Gaussian assumptions only…

Probability · Mathematics 2007-05-23 Ida Kruk , Francesco Russo , Ciprian Tudor

A cylindrical Levy process does not enjoy a cylindrical version of the semi-martingale decomposition which results in the need to develop a completely novel approach to stochastic integration. In this work, we introduce a stochastic…

Probability · Mathematics 2016-08-25 Adam Jakubowski , Markus Riedle

In this paper we show that Hilbert space-valued stochastic models are robust with respect to perturbation, due to measurement or approximation errors, in the underlying volatility process. Within the class of stochastic volatility modulated…

Probability · Mathematics 2022-11-30 Fred Espen Benth , Heidar Eyjolfsson

Stochastic integrals are defined with respect to a collection $P = (P_i; \, i \in I)$ of continuous semimartingales, imposing no assumptions on the index set $I$ and the subspace of $\mathbb{R}^I$ where $P$ takes values. The integrals are…

Probability · Mathematics 2019-08-20 Constantinos Kardaras

We provide a detailed analysis of the Gelfand integral on Fr\'echet spaces, showing among other things a Vitali theorem, dominated convergence and a Fubini result. Furthermore, the Gelfand integral commutes with linear operators. The…

Probability · Mathematics 2021-03-16 Fred Espen Benth , Luca Galimberti

We deal with the calculation of price sensitivities for stochastic volatility models. General forms for the dynamics of the underlying asset price and its volatility are considered. We make use of the chaotic (or Malliavin) calculus to…

Probability · Mathematics 2018-01-30 Youssef El-Khatib , Abdulnasser Hatemi-J

This paper presents a continuous and discrete Lagrangian theory for stochastic Hamiltonian systems on manifolds. The main result is to derive stochastic governing equations for such systems from a critical point of a stochastic action.…

Probability · Mathematics 2009-06-02 Nawaf Bou-Rabee , Houman Owhadi

We consider stochastic volatility dynamics driven by a general H\"older continuous Volterra-type noise and with unbounded drift. For these so-called SVV-models, we consider the explicit computation of quadratic hedging strategies. While the…

Mathematical Finance · Quantitative Finance 2024-07-16 Giulia Di Nunno , Anton Yurchenko-Tytarenko

We consider a Markov process $X$ associated to a nonnecessarily symmetric Dirichlet form $\mathcal{E}$. We define a stochastic integral with respect to a class of additive functionals of zero quadratic variation and then we obtain an…

Probability · Mathematics 2013-12-18 Alexander Walsh