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Vine copulas are flexible dependence models using bivariate copulas as building blocks. If the parameters of the bivariate copulas in the vine copula depend on covariates, one obtains a conditional vine copula. We propose an extension for…

Methodology · Statistics 2024-06-21 David Jobst , Annette Möller , Jürgen Groß

We propose parametric copulas that capture serial dependence in stationary heteroskedastic time series. We develop our copula for first order Markov series, and extend it to higher orders and multivariate series. We derive the copula of a…

Applications · Statistics 2017-01-26 Rubén Loaiza-Maya , Michael S. Smith , Worapree Maneesoonthorn

Missing observations are pervasive throughout empirical research, especially in the social sciences. Despite multiple approaches to dealing adequately with missing data, many scholars still fail to address this vital issue. In this paper,…

A new index based on empirical copulas, termed the Copula Statistic (CoS), is introduced for assessing the strength of multivariate dependence and for testing statistical independence. New properties of the copulas are proved. They allow us…

Statistics Theory · Mathematics 2016-12-22 Mohsen Ben Hassine , Lamine Mili , Kiran Karra

We show how to extract the implicit copula of a response vector from a Bayesian regularized regression smoother with Gaussian disturbances. The copula can be used to compare smoothers that employ different shrinkage priors and function…

Methodology · Statistics 2020-06-30 Nadja Klein , Michael Stanley Smith

Cylindrical data frequently arise across various scientific disciplines, including meteorology (e.g., wind direction and speed), oceanography (e.g., marine current direction and speed or wave heights), ecology (e.g., telemetry), and…

Methodology · Statistics 2026-02-06 Francesca Labanca , Anna Gottard , Nadja Klein

Modeling of high order multivariate probability distribution is a difficult problem which occurs in many fields. Copula approach is a good choice for this purpose, but the curse of dimensionality still remains a problem. In this paper we…

Statistics Theory · Mathematics 2010-09-16 Edith Kovacs , Tamas Szantai

A standard quantitative method to access credit risk employs a factor model based on joint multivariate normal distribution properties. By extending a one-factor Gaussian copula model to make a more accurate default forecast, this paper…

Risk Management · Quantitative Finance 2020-10-07 Meng-Jou Lu , Cathy Yi-Hsuan Chen , Wolfgang Karl Härdle

Graphical models are widely used in diverse application domains to model the conditional dependencies amongst a collection of random variables. In this paper, we consider settings where the graph structure is covariate-dependent, and…

Machine Learning · Statistics 2025-04-24 Jiahe Lin , Yikai Zhang , George Michailidis

In this article we review existing literature on dynamic copulas and then propose an n-copula which varies in time and space. Our approach makes use of stochastic differential equations, and gives rise to a dynamic copula which is able to…

Statistics Theory · Mathematics 2008-12-18 Glenis Crane

The accurate prediction of time-changing covariances is an important problem in the modeling of multivariate financial data. However, some of the most popular models suffer from a) overfitting problems and multiple local optima, b) failure…

Methodology · Statistics 2013-06-04 Yue Wu , José Miguel Hernández-Lobato , Zoubin Ghahramani

Multivariate Gaussian distributions enjoy Gaussian conditional distributions that makes conditioning easy: conditioning boils down to implementing analytical formulae for conditional means and covariances. For more general distributions,…

Methodology · Statistics 2026-03-26 Antoine Faul , David Ginsbourger , Ben Spycher

One of the most popular copulas for modeling dependence structures is t-copula. Recently the grouped t-copula was generalized to allow each group to have one member only, so that a priori grouping is not required and the dependence modeling…

Computational Finance · Quantitative Finance 2014-05-22 Xiaolin Luo , Pavel V. Shevchenko

The partial correlation coefficient is a commonly used measure to assess the conditional dependence between two random variables. We provide a thorough explanation of the partial copula, which is a natural generalization of the partial…

Methodology · Statistics 2017-06-13 Fabian Spanhel , Malte S. Kurz

Understanding the dependence relationship of credit spreads of corporate bonds is important for risk management. Vine copula models with tail dependence are used to analyze a credit spread dataset of Chinese corporate bonds, understand the…

Methodology · Statistics 2021-11-16 Shenyi Pan , Harry Joe , Guofu Li

We consider the problem of modeling the dependence among many time series. We build high dimensional time-varying copula models by combining pair-copula constructions (PCC) with stochastic autoregressive copula (SCAR) models to capture…

Methodology · Statistics 2012-02-10 Carlos Almeida , Claudia Czado , Hans Manner

Variational language models seek to estimate the posterior of latent variables with an approximated variational posterior. The model often assumes the variational posterior to be factorized even when the true posterior is not. The learned…

Computation and Language · Computer Science 2019-09-10 Prince Zizhuang Wang , William Yang Wang

We propose a new copula model that can be used with replicated spatial data. Unlike the multivariate normal copula, the proposed copula is based on the assumption that a common factor exists and affects the joint dependence of all…

Applications · Statistics 2016-12-08 Pavel Krupskii , Raphael Huser , Marc G. Genton

The original development of Shapley values for prediction explanation relied on the assumption that the features being described were independent. If the features in reality are dependent this may lead to incorrect explanations. Hence,…

Methodology · Statistics 2021-02-15 Kjersti Aas , Thomas Nagler , Martin Jullum , Anders Løland

We tackle the problem of multi-task learning with copula process. Multivariable prediction in spatial and spatial-temporal processes such as natural resource estimation and pollution monitoring have been typically addressed using techniques…

Machine Learning · Computer Science 2014-06-03 Markus Schneider , Fabio Ramos
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