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Accurate volatility forecasts are vital in modern finance for risk management, portfolio allocation, and strategic decision-making. However, existing methods face key limitations. Fully multivariate models, while comprehensive, are…

Statistical Finance · Quantitative Finance 2025-10-09 Duo Zhang , Jiayu Li , Junyi Mo , Elynn Chen

This article presents XGB-Chiarella, a powerful new approach for deploying agent-based models to generate realistic intra-day artificial financial price data. This approach is based on agent-based models, calibrated by XGBoost machine…

Computational Finance · Quantitative Finance 2022-08-31 Kang Gao , Perukrishnen Vytelingum , Stephen Weston , Wayne Luk , Ce Guo

The ability to construct a realistic simulator of financial exchanges, including reproducing the dynamics of the limit order book, can give insight into many counterfactual scenarios, such as a flash crash, a margin call, or changes in…

Machine Learning · Computer Science 2023-11-28 Namid R. Stillman , Rory Baggott , Justin Lyon , Jianfei Zhang , Dingqiu Zhu , Tao Chen , Perukrishnen Vytelingum

We present a simple, yet realistic, agent-based model of an electricity market. The proposed model combines the spot and balancing markets with a resolution of one minute, which enables a more accurate depiction of the physical properties…

Multiagent Systems · Computer Science 2016-12-19 Florian Kühnlenz , Pedro H. J. Nardelli

Agent-based modeling and simulation allow us to study social phenomena in hypothetical scenarios. If we stretch our imagination, one of the interesting scenarios would be our interstellar future. To model an interstellar society, we need to…

Physics and Society · Physics 2023-01-11 Kwun Hang Lai

We present and discuss a stochastic model of financial assets dynamics based on the idea of an inverse renormalization group strategy. With this strategy we construct the multivariate distributions of elementary returns based on the scaling…

Statistical Finance · Quantitative Finance 2014-02-20 Marco Zamparo , Fulvio Baldovin , Michele Caraglio , Attilio L. Stella

We introduce a simple agent-based model which allows us to analyze three stylized facts: a fat-tailed size distribution of companies, a `tent-shaped' growth rate distribution, the scaling relation of the growth rate variance with firm size,…

General Finance · Quantitative Finance 2013-11-26 Cornelia Metzig , Mirta B. Gordon

Learning to coordinate many agents in partially observable and highly dynamic environments requires both informative representations and data-efficient training. To address this challenge, we present a novel model-based multi-agent…

Machine Learning · Computer Science 2026-02-16 Zhizun Wang , David Meger

Although both data availability and the demand for accurate forecasts are increasing, collaboration between stakeholders is often constrained by data ownership and competitive interests. In contrast to recent proposals within cooperative…

Machine Learning · Computer Science 2026-05-14 Michael Vitali , Pierre Pinson

We propose a set of conservative models in which agents exchange wealth with a preference in the choice of interacting agents in different ways. The common feature in all the models is that the temporary values of financial status of agents…

Physics and Society · Physics 2015-06-22 Sanchari Goswami , Parongama Sen

Modern socio-economic systems are undergoing deep integration with artificial intelligence technologies. This paper constructs a heterogeneous agent-based modeling framework that incorporates both human workers and autonomous AI agents, to…

Artificial Intelligence · Computer Science 2025-09-30 Yuxinyue Qian , Jun Liu

We study the qualitative and quantitative appearance of stylized facts in several agent-based computational economic market (ABCEM) models. We perform our simulations with the SABCEMM (Simulator for Agent-Based Computational Economic Market…

General Economics · Economics 2019-11-18 Maximilian Beikirch , Simon Cramer , Martin Frank , Philipp Otte , Emma Pabich , Torsten Trimborn

Agent-based modeling is a computational dynamic modeling technique that may be less familiar to some readers. Agent-based modeling seeks to understand the behaviour of complex systems by situating agents in an environment and studying the…

Multiagent Systems · Computer Science 2023-04-19 G. Wade McDonald , Nathaniel D. Osgood

In this paper we develop a new form of agent-based model for limit order books based on heterogeneous trading agents, whose motivations are liquidity driven. These agents are abstractions of real market participants, expressed in a…

Statistical Finance · Quantitative Finance 2015-01-20 Efstathios Panayi , Gareth Peters

An artificial stock market is established with the modeling method and ideas of cellular automata. Cells are used to represent stockholders, who have the capability of self-teaching and are affected by the investing history of the…

Other Condensed Matter · Physics 2009-11-10 Tao Zhou , Pei-Ling Zhou , Bing-Hong Wang , Zi-Nan Tang , Jun Liu

Modelling of complex systems is mainly based on the decomposition of these systems in autonomous elements, and the identification and definitio9n of possible interactions between these elements. For this, the agent-based approach is a…

Artificial Intelligence · Computer Science 2013-02-27 Alain-Jérôme Fougères

Electricity market modelling is often used by governments, industry and agencies to explore the development of scenarios over differing timeframes. For example, how would the reduction in cost of renewable energy impact investments in gas…

Multiagent Systems · Computer Science 2020-05-22 Alexander J. M. Kell , Matthew Forshaw , A. Stephen McGough

This paper presents an agent based model of an electronic market with two types of trading agents. One type follows a mean reverting strategy and the other, the speculative trader, tracks the maximum realised return over recent trades. The…

Trading and Market Microstructure · Quantitative Finance 2023-11-22 Nicolas Cofre , Magdalena Mosionek-Schweda

A characteristic feature of complex systems in general is a tight coupling between their constituent parts. In complex socio-economic systems this kind of behavior leads to self-organization, which may be both desirable (e.g. social…

Statistical Finance · Quantitative Finance 2017-03-29 Aleksejus Kononovicius , Vygintas Gontis

We define and study a rather complex market model, inspired from the Santa Fe artificial market and the Minority Game. Agents have different strategies among which they can choose, according to their relative profitability, with the…

Condensed Matter · Physics 2009-11-07 Irene Giardina , Jean-Philippe Bouchaud
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