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This article introduces a non-parametric information-theoretic approach to inference about the tail of a continuous or a discrete distribution. Leveraging a new concept named tail profile -- a set of information-theoretic quantities…

Applications · Statistics 2025-03-19 Jialin Zhang , Zhiyi Zhang

Assessing dependence within co-movements of financial instruments has been of much interest in risk management. Typically, indices of tail dependence are used to quantify the strength of such dependence, although many of the indices…

Methodology · Statistics 2022-09-21 Ning Sun , Chen Yang , Ričardas Zitikis

We examine three methods of constructing correlated Student-$t$ random variables. Our motivation arises from simulations that utilise heavy-tailed distributions for the purposes of stress testing and economic capital calculations for…

Risk Management · Quantitative Finance 2010-05-26 Volf Frishling , David G Maher

For latent class models where the class weights depend on individual covariates, we derive a simple expression for computing the score vector and a convenient hybrid between the observed and the expected information matrices which is always…

Computation · Statistics 2015-11-13 Antonio Forcina

There is an increasing interest to understand the dependence structure of a random vector not only in the center of its distribution but also in the tails. Extreme-value theory tackles the problem of modelling the joint tail of a…

Methodology · Statistics 2014-11-04 Anna Kiriliouk , Johan Segers , Michal Warchol

Heavy-tailed distributions are infamously difficult to estimate because their moments tend to infinity as the shape of the tail decay increases. Nevertheless, this study shows the utilization of a modified group of moments for estimating a…

Methodology · Statistics 2025-07-31 Amenah AL-Najafi , Ugur Tirnakli , Kenric P. Nelson

Modelling non-homogeneous and multi-component data is a problem that challenges scientific researchers in several fields. In general, it is not possible to find a simple and closed form probabilistic model to describe such data. That is why…

Methodology · Statistics 2017-12-27 Nehla Debbabi , Marie Kratz , Mamadou Mboup

This article discusses modelling of the tail of a multivariate distribution function by means of a large deviation principle (LDP), and its application to the estimation of the probability of a multivariate extreme event from a sample of n…

Statistics Theory · Mathematics 2017-02-23 Cees de Valk

This article is devoted to the study of tail index estimation based on i.i.d. multivariate observations, drawn from a standard heavy-tailed distribution, i.e. of which 1-d Pareto-like marginals share the same tail index. A multivariate…

Statistics Theory · Mathematics 2014-04-10 Stéphan Clémençon , Antoine Dematteo

Forecasting multivariate time series is a computationally intensive task challenged by extreme or redundant samples. Recent resampling methods aim to increase training efficiency by reweighting samples based on their running losses.…

Machine Learning · Computer Science 2024-06-21 Jiang You , Arben Cela , René Natowicz , Jacob Ouanounou , Patrick Siarry

We consider regularly varying random vectors. Our goal is to estimate in a non-parametric way some characteristics related to conditioning on an extreme event, like the tail dependence coefficient. We introduce a quasi-spectral…

Methodology · Statistics 2015-02-26 Rafał Kulik , Zhigang Tong

Many real-world prediction tasks have outcome variables that have characteristic heavy-tail distributions. Examples include copies of books sold, auction prices of art pieces, demand for commodities in warehouses, etc. By learning…

Machine Learning · Computer Science 2023-10-13 Xindi Wang , Onur Varol , Tina Eliassi-Rad

Most extreme events in real life can be faithfully modeled as random realizations from a Generalized Pareto distribution, which depends on two parameters: the scale and the shape. In many actual situations, one is mostly concerned with the…

Statistics Theory · Mathematics 2016-06-30 Paul Rochet , Isabel Serra

This paper proposes a specification test for the conventional distributional assumptions of error terms in binary choice models, focusing on its tail properties. Based on extreme value theory, we first establish that the tail index of the…

Econometrics · Economics 2026-03-31 Ting Ji , Laura Liu , Yulong Wang , Jiahe Xing

In this paper we consider the problem of computing tail probabilities of the distribution of a random sum of positive random variables. We assume that the individual variables follow a reproducible natural exponential family (NEF)…

Probability · Mathematics 2018-07-09 Shaul Bar-Lev , Ad Ridder

Consider a random sample in the max-domain of attraction of a multivariate extreme value distribution such that the dependence structure of the attractor belongs to a parametric model. A new estimator for the unknown parameter is defined as…

Statistics Theory · Mathematics 2012-10-05 John H. J. Einmahl , Andrea Krajina , Johan Segers

The q-Gaussians are a class of stable distributions which are present in many scientific fields, and that behave as heavy tailed distributions for an especific range of q values. The identification of these values, which are used in the…

Data Analysis, Statistics and Probability · Physics 2015-06-11 E. L de Santa Helena , C. M. Nascimento , G. J. L. Gerhardt

We consider a model for multivariate data with heavy-tailed marginal distributions and a Gaussian dependence structure. The different marginals in the model are allowed to have non-identical tail behavior in contrast to most popular…

Methodology · Statistics 2023-05-23 Bikramjit Das

Most of the medical tasks naturally exhibit a long-tailed distribution due to the complex patient-level conditions and the existence of rare diseases. Existing long-tailed learning methods usually treat each class equally to re-balance the…

Computer Vision and Pattern Recognition · Computer Science 2025-05-29 Lie Ju , Yicheng Wu , Lin Wang , Zhen Yu , Xin Zhao , Xin Wang , Paul Bonnington , Zongyuan Ge

This paper presents a novel semiparametric method to study the effects of extreme events on binary outcomes and subsequently forecast future outcomes. Our approach, based on Bayes' theorem and regularly varying (RV) functions, facilitates a…

Econometrics · Economics 2025-02-25 Laura Liu , Yulong Wang