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The extremely useful method of Malliavin calculus has not yet gained adequate popularity because of the complicated analytic apparatus of this method. The author attempts here to propose a simplified algebraic formalism similar to Malliavin…

Mathematical Physics · Physics 2016-07-20 Peter B. Lerner

These notes represent a much expanded and updated version of the \textquotedblleft mini course\textquotedblright that the author gave at the ETH (Z\"{u}rich) and the University of Z\"{u}rich in February of 1995. The purpose of these notes…

Probability · Mathematics 2007-05-23 Bruce K. Driver

We will develop some elements in stochastic analysis in the Wasserstein space $\mathbb{P}_2(M)$ over a compact Riemannian manifold $M$, such as intrinsic It$\^o$ formulae, stochastic regular curves and parallel translations along them. We…

Probability · Mathematics 2023-09-19 Hao Ding , Shizan Fang , Xiang-dong Li

The Malliavin derivative, divergence operator, and the Ornstein-Uhlenbeck operator are extended from the traditional Gaussian setting to generalized processes from the higher-order chaos spaces.

Probability · Mathematics 2010-07-06 S. V. Lototsky , B. L. Rozovskii , D. Seleši

In this paper we derive tractable formulae for price sensitivities of two-dimensional spread options using Malliavin calculus. In particular, we consider spread options with asset dynamics driven by geometric Brownian motion and stochastic…

Optimization and Control · Mathematics 2021-06-10 Farai Julius Mhlanga , Shadrack Makwena Kgomo

Upon a consistent topological statistical theory the application of structural statistics requires a quantification of the proximity structure of model spaces. An important tool to study these structures are Pseudo-Riemannian metrices,…

Statistics Theory · Mathematics 2020-06-23 Patrick Michl

We develop a general framework for pathwise stochastic integration that extends F\"ollmer's classical approach beyond gradient-type integrands and standard left-point Riemann sums and provides pathwise counterparts of It\^o, Stratonovich,…

Probability · Mathematics 2025-07-24 Purba Das , Anna P. Kwossek , David J. Prömel

We develop a stochastic calculus that makes it easy to capture a variety of predictable transformations of semimartingales such as changes of variables, stochastic integrals, and their compositions. The framework offers a unified treatment…

Probability · Mathematics 2022-01-13 Aleš Černý , Johannes Ruf

We compute Greeks for stochastic volatility models driven by Brownian informations. We use the Malliavin method introduced for deterministic volatility models.

Probability · Mathematics 2009-04-22 Youssef El-Khatib

This paper presents a novel generic asymptotic expansion formula of expectations of multidimensional Wiener functionals through a Malliavin calculus technique. The uniform estimate of the asymptotic expansion is shown under a weaker…

Probability · Mathematics 2024-12-24 Akihiko Takahashi , Toshihiro Yamada

In this paper, we provide new results about the free Malliavin calculus on the Wigner space first developed in the breakthrough work of Biane and Speicher. We define in this way the higher-order Malliavin derivatives, and we study their…

Probability · Mathematics 2023-03-24 Charles-Philippe Diez

Motivated by a problematic coming from mathematical finance, this paper is devoted to existing and additional results of continuity and differentiability of the It\^o map associated to rough differential equations. These regularity results…

Probability · Mathematics 2019-01-16 Nicolas Marie

We describe stochastic calculus in the context of processes that are driven by an adapted point process of locally finite intensity and are differentiable between jumps. This includes Markov chains as well as non-Markov processes. By…

Probability · Mathematics 2016-07-26 Eric Foxall

Using the path integral measure factorization method based on the nonlinear filtering equation from the stochastic process theory, we consider the reduction procedure in Wiener path integrals for a mechanical system with symmetry that…

Mathematical Physics · Physics 2020-01-01 S. N. Storchak

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

A stochastic calculus is given for processes described by stochastic integrals with respect to fractional Brownian motions and Rosenblatt processes somewhat analogous to the stochastic calculus for It\^{o} processes. These processes for…

Probability · Mathematics 2019-08-02 Petr Čoupek , Tyrone E. Duncan , Bozenna Pasik-Duncan

By using Malliavin calculus, Bismut derivative formulae are established for a class of stochastic (functional) differential equations driven by fractional Brownian motions. As applications, Harnack type inequalities and strong Feller…

Probability · Mathematics 2014-07-29 Xiliang Fan

Stochastic differential equations for processes with values in Hilbert spaces are now largely used in the quantum theory of open systems. In this work we present a class of such equations and discuss their main properties; moreover, we…

funct-an · Mathematics 2007-05-23 Alberto Barchielli , Fabio Zucca

In this paper we propose a new, simple and explicit mechanism allowing to derive Stein operators for random variables whose characteristic function satisfies a simple ODE. We apply this to study random variables which can be represented as…

Probability · Mathematics 2023-07-06 Benjamin Arras , Ehsan Azmoodeh , Guillaume Poly , Yvik Swan

We investigate a complex system involving multiple shapes to be optimized in a domain, taking into account geometric constraints on the shapes and uncertainty appearing in the physics. We connect the differential geometry of product shape…

Optimization and Control · Mathematics 2023-08-16 Caroline Geiersbach , Tim Suchan , Kathrin Welker