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We consider the motion of an active Brownian particle with speed fluctuations in d-dimensions in the presence of both translational and orientational diffusion. We use an Ornstein-Uhlenbeck process for active speed generation. Using a…

Statistical Mechanics · Physics 2022-05-02 Amir Shee , Debasish Chaudhuri

Statistical analysis of financial data most focused on testing the validity of Brownian motion (Bm). Analysis performed on several time series have shown deviation from the Bm hypothesis, that is at the base of the evaluation of many…

Statistical Finance · Quantitative Finance 2009-11-13 Filippo Petroni , Giulia Rotundo

We consider a wide class of increasing L\'evy processes perturbed by an independent Brownian motion as a degradation model. Such family contains almost all classical degradation models considered in the literature. Classically failure time…

Probability · Mathematics 2012-01-06 Christian Paroissin , Landy Rabehasaina

We study termination time and recurrence time in programs with unbounded recursion, which are either randomized or operate on some statistically quantified inputs. As the underlying formal model for such programs we use probabilistic…

Logic in Computer Science · Computer Science 2012-06-01 Tomas Brazdil , Stefan Kiefer , Antonin Kucera , Ivana Hutarova Varekova

We investigate the probability of observing a given pattern of $n$ rises and falls in a random stationary data series. The data are modelled as a sequence of $n+1$ independent and identically distributed random numbers. This probabilistic…

Statistical Mechanics · Physics 2014-04-29 J M Luck

Stop-loss rules are often studied in the financial literature, but the stop-loss levels are seldom constructed systematically. In many papers, and indeed in practice as well, the level of the stops is too often set arbitrarily. Guided by…

Risk Management · Quantitative Finance 2016-09-06 Antoine Emil Zambelli

Here, we analyse the behaviour of the higher order standardised moments of financial time series when we truncate a large data set into smaller and smaller subsets, referred to below as time windows. We look at the effect of the economic…

Econometrics · Economics 2021-08-02 Luke De Clerk , Sergey Savel'ev

We propose to model the records of the maximum Drawdown in capital markets by means a Piecewise Deterministic Markov Process (PDMP). We derive statistical results such as the mean and variance that describes the sequence of maximum Drawdown…

Risk Management · Quantitative Finance 2025-04-01 Rolando Rubilar-Torrealba , Lisandro Fermin , Soledad Torres

Scattering moments provide nonparametric models of random processes with stationary increments. They are expected values of random variables computed with a nonexpansive operator, obtained by iteratively applying wavelet transforms and…

Methodology · Statistics 2015-03-17 Joan Bruna , Stéphane Mallat , Emmanuel Bacry , Jean-François Muzy

We consider Brownian motion under resetting in higher dimensions for the case when the return of the particle to the origin occurs at a constant speed. We investigate the behavior of the probability density function (PDF) and of the…

Statistical Mechanics · Physics 2020-09-23 Anna S. Bodrova , Igor M. Sokolov

Many studies assume stock prices follow a random process known as geometric Brownian motion. Although approximately correct, this model fails to explain the frequent occurrence of extreme price movements, such as stock market crashes. Using…

Statistical Finance · Quantitative Finance 2015-05-14 Miguel A. Fuentes , Austin Gerig , Javier Vicente

In this paper, we work in the framework of the Merton problem but we impose a drawdown constraint on the consumption process. This means that consumption can never fall below a fixed proportion of the running maximum of past consumption. In…

Portfolio Management · Quantitative Finance 2012-10-19 T. Arun

It is shown that the ratio between the expected diameter of an L2-bounded martingale and the standard deviation of its last term cannot exceed sqrt(3). Moreover, a one-parameter family of stopping times on standard Brownian Motion is…

Probability · Mathematics 2008-07-24 Lester E. Dubins , David Gilat , Isaac Meilijson

We study the extreme value statistics of first-passage trajectories generating from a one-dimensional drifted Brownian motion subject to stochastic resetting to the starting point with a constant rate $r$. Each stochastic trajectory starts…

Statistical Mechanics · Physics 2025-06-18 Wusong Guo , Hao Yan , Hanshuang Chen

We study the statistics of near-extreme events of Brownian motion (BM) on the time interval [0,t]. We focus on the density of states (DOS) near the maximum \rho(r,t) which is the amount of time spent by the process at a distance r from the…

Statistical Mechanics · Physics 2013-12-16 Anthony Perret , Alain Comtet , Satya N. Majumdar , Gregory Schehr

In this paper we study a spectrally negative L\'{e}vy process that is reflected at its draw-down level whenever a draw-down time from the running supremum arrives. Using an excursion-theoretical approach, for such a reflected process we…

Probability · Mathematics 2019-11-26 Wenyuan Wang , Xiaowen Zhou

For spectrally negative L\'evy processes, we prove several fluctuation results involving a general draw-down time, which is a downward exit time from a dynamic level that depends on the running maximum of the process. In particular, we find…

Probability · Mathematics 2019-07-17 Bo Li , Nhat Linh Vu , Xiaowen Zhou

One of simplest examples of navigation found in nature is run-and-tumble chemotaxis. Tumbles reorient cells randomly, and cells can drift toward attractants or away from repellents by biasing the frequency of these events. The post-tumble…

Soft Condensed Matter · Physics 2017-09-14 Julius B. Kirkegaard , Raymond E. Goldstein

We investigate the distributions of epsilon-drawdowns and epsilon-drawups of the most liquid futures financial contracts of the world at time scales of 30 seconds. The epsilon-drawdowns (resp. epsilon- drawups) generalise the notion of runs…

Statistical Finance · Quantitative Finance 2015-04-08 Vladimir Filimonov , Didier Sornette

The selective frequency damping method was applied to a bent flow. The method was used in an adaptive formulation. The most dangerous frequency was determined by solving an eigenvalue problem. It was found that one of the patterns,…

Fluid Dynamics · Physics 2020-11-06 Alexander V. Proskurin