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We develop a multilevel approach to compute approximate solutions to backward differential equations (BSDEs). The fully implementable algorithm of our multilevel scheme constructs sequential martingale control variates along a sequence of…

Probability · Mathematics 2014-12-11 Dirk Becherer , Plamen Turkedjiev

We develop in this work a numerical method for stochastic differential equations (SDEs) with weak second order accuracy based on Gaussian mixture. Unlike the conventional higher order schemes for SDEs based on It\^o-Taylor expansion and…

Numerical Analysis · Mathematics 2021-08-12 Lei Li , Jianfeng Lu , Jonathan Mattingly , Lihan Wang

We propose a new numerical method for one dimensional stochastic differential equations (SDEs). The main idea of this method is based on a representation of a weak solution of a SDE with a time changed Brownian motion, dated back to Doeblin…

Probability · Mathematics 2020-06-05 Masaaki Fukasawa , Mitsumasa Ikeda

Inverse problems in scientific computing often require optimization over infinite-dimensional Hilbert spaces. A commonly used solver in such settings is stochastic gradient descent (SGD), where gradients are approximated using randomly…

Optimization and Control · Mathematics 2026-04-14 Sandra Cerrai , Qin Li , Anjali Nair , Jaeyoung Yoon

This paper deals with the numerical approximation of semilinear parabolic stochastic partial differential equation (SPDE) driven simultaneously by Gaussian noise and Poisson random measure, more realistic in modeling real world phenomena.…

Numerical Analysis · Mathematics 2020-11-19 Jean Daniel Mukam , Antoine Tambue

In this paper we are interested in the numerical solution of stochastic differential equations with non negative solutions. Our goal is to construct explicit numerical schemes that preserve positivity, even for super linear stochastic…

Numerical Analysis · Mathematics 2014-12-18 Nikolaos Halidias , Ioannis S. Stamatiou

This paper introduces a novel approach for the construction of bulk--surface splitting schemes for semi-linear parabolic partial differential equations with dynamic boundary conditions. The proposed construction is based on a reformulation…

Numerical Analysis · Mathematics 2023-07-06 R. Altmann , C. Zimmer

In this work, we present a second-order numerical scheme to address the solution of optimal control problems constrained by the evolution of nonlinear Fokker-Planck equations arising from socio-economic dynamics. In order to design an…

Numerical Analysis · Mathematics 2025-10-20 Giacomo Albi , Elisa Calzola

We propose an accurate data-driven numerical scheme to solve Stochastic Differential Equations (SDEs), by taking large time steps. The SDE discretization is built up by means of a polynomial chaos expansion method, on the basis of…

Numerical Analysis · Mathematics 2021-09-24 Shuaiqiang Liu , Lech A. Grzelak , Cornelis W. Oosterlee

We propose an {\em implementable} numerical scheme for the discretization of linear-quadratic optimal control problems involving SDEs in higher dimensions with {\em control constraint}. For time discretization, we employ the implicit Euler…

Analysis of PDEs · Mathematics 2024-12-12 Abhishek Chaudhary

This paper concerns the numerical valuation of swing options with discrete action times under a linear two-factor mean-reverting model with jumps. The resulting sequence of two-dimensional partial integro-differential equations (PIDEs) are…

Numerical Analysis · Mathematics 2026-02-05 Mustapha Regragui , Karel J. in 't Hout , Michèle Vanmaele , Fred Espen Benth

Sticky diffusion models a Markovian particle experiencing reflection and temporary adhesion phenomena at the boundary. Numerous numerical schemes exist for approximating stopped or reflected stochastic differential equations (SDEs), but…

Numerical Analysis · Mathematics 2025-08-11 Akash Sharma

In this paper, we consider a class of backward doubly stochastic differential equations (BDSDE for short) with general terminal value and general random generator. Those BDSDEs do not involve any forward diffusion processes. By using the…

Probability · Mathematics 2017-02-06 Yaozhong Hu , David Nualart , Xiaoming Song

This paper is concerned with one kind of partially observed progressive optimal control problems of coupled forward-backward stochastic systems driven by both Brownian motion and Poisson random measure with risk-sensitive criteria. The…

Optimization and Control · Mathematics 2025-04-08 Jingtao Lin , Jingtao Shi

We derive a new high-order compact finite difference scheme for option pricing in stochastic volatility jump models, e.g. in Bates model. In such models the option price is determined as the solution of a partial integro-differential…

Computational Finance · Quantitative Finance 2019-02-25 Bertram Düring , Alexander Pitkin

We consider the simulation of a system of decoupled forward-backward stochastic differential equations (FBSDEs) driven by a pure jump L\'evy process $L$ and an independent Brownian motion $B$. We allow the L\'evy process $L$ to have an…

Probability · Mathematics 2023-06-13 Till Massing

In this article, we study the numerical approximation of stochastic differential equations driven by a multidimensional fractional Brownian motion (fBm) with Hurst parameter greater than 1/3. We introduce an implementable scheme for these…

Probability · Mathematics 2015-05-18 Aurélien Deya , Andreas Neuenkirch , Samy Tindel

We focus here on a class of fourth-order parabolic equations that can be written as a system of second-order equations by introducing an auxiliary variable. We design a novel second-order fully discrete mixed finite element method to…

Numerical Analysis · Mathematics 2020-08-28 Sana Keita , Abdelaziz Beljadid , Yves Bourgault

In this work we consider a stochastic differential equation (SDEs) with jump. We prove the existence and the uniqueness of solution of this equation in the strong sense under global Lipschitz condition. Generally, exact solutions of SDEs…

Numerical Analysis · Mathematics 2015-10-09 Jean Daniel Mukam

This article offers sharp spatial and temporal mean-square regularity results for a class of semi-linear parabolic stochastic partial differential equations (SPDEs) driven by infinite dimensional fractional Brownian motion with the Hurst…

Numerical Analysis · Mathematics 2020-08-04 Xiaojie Wang , Ruisheng Qi , Fengze Jiang
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