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In this note, we extend the analysis for the residual-based a posteriori error estimators in the energy norm defined for the algebraic flux correction (AFC) schemes [Jha20.CAMWA] to the newly proposed algebraic stabilization schemes…

Numerical Analysis · Mathematics 2024-04-04 Abhinav Jha

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

American options are studied in a general discrete market in the presence of proportional transaction costs, modelled as bid-ask spreads. Pricing algorithms and constructions of hedging strategies, stopping times and martingale…

Pricing of Securities · Quantitative Finance 2008-12-02 Alet Roux , Tomasz Zastawniak

This paper deals with a high-order accurate implicit finite-difference approach to the pricing of barrier options. In this way various types of barrier options are priced, including barrier options paying rebates, and options on…

Pricing of Securities · Quantitative Finance 2008-12-02 J. C. Ndogmo , D. B. Ntwiga

We extend the framework of a posteriori error estimation by preconditioning in [Li, Y., Zikatanov, L.: Computers \& Mathematics with Applications. \textbf{91}, 192-201 (2021)] and derive new a posteriori error estimates for H(curl)-elliptic…

Numerical Analysis · Mathematics 2023-04-06 Yuwen Li

We develop and analyze a posteriori error estimators for a proper orthogonal decomposition-discrete empirical interpolation method (Pod-Deim) reduced order model applied to a parametric Poisson equation posed on a parameter-dependent domain…

Numerical Analysis · Mathematics 2026-04-24 Efthymios N. Karatzas

We prove sharp, computable error estimates for the propagation of errors in the numerical solution of ordinary differential equations. The new estimates extend previous estimates of the influence of data errors and discretisation errors…

Numerical Analysis · Mathematics 2015-04-28 Benjamin Kehlet , Anders Logg

The paper is concerned with parabolic time-periodic boundary value problems which are of theoretical interest and arise in different practical applications. The multiharmonic finite element method is well adapted to this class of parabolic…

Numerical Analysis · Mathematics 2014-11-12 Ulrich Langer , Sergey Repin , Monika Wolfmayr

There is a vast literature on numerical valuation of exotic options using Monte Carlo, binomial and trinomial trees, and finite difference methods. When transition density of the underlying asset or its moments are known in closed form, it…

Computational Finance · Quantitative Finance 2015-08-05 Xiaolin Luo , Pavel V. Shevchenko

In our work, we consider the classical density-based approach to topology optimization. We propose the modification of the discretized cost/objective functional using a posteriori error estimator for the finite element method. It can be…

Numerical Analysis · Mathematics 2018-02-28 Vladislav Pimanov , Ivan Oseledets

A novel residual-type {\it a posteriori} error analysis technique is developed for multipoint flux mixed finite element methods for flow in porous media in two or three space dimensions. The derived {\it a posteriori} error estimator for…

Numerical Analysis · Mathematics 2013-12-24 Shaohong Du , Shuyu Sun , Xiaoping Xie

Classical a posteriori error analysis for differential equations quantifies the error in a Quantity of Interest (QoI) which is represented as a bounded linear functional of the solution. In this work we consider a posteriori error estimates…

Numerical Analysis · Mathematics 2020-07-07 Jehanzeb H. Chaudhry , Donald Estep , Zachary Stevens , Simon J. Tavener

In this paper, an integral equation representation for the early exercise boundary of an American option contract is considered. Thus far, a number of different techniques have been proposed in the literature to obtain a variety of integral…

Numerical Analysis · Mathematics 2017-10-03 Khadijeh Nedaiasl , Ali Foroush Bastani , Aysan Rafiee

We present a posteriori error analysis in the supremum norm for the symmetric interior penalty discontinuous Galerkin method for the elliptic obstacle problem. We construct discrete barrier functions based on appropriate corrections of the…

Numerical Analysis · Mathematics 2021-08-27 Blanca Ayuso de Dios , Thirupathi Gudi , Kamana Porwal

Variational inference has become an increasingly attractive fast alternative to Markov chain Monte Carlo methods for approximate Bayesian inference. However, a major obstacle to the widespread use of variational methods is the lack of…

Machine Learning · Statistics 2020-03-03 Jonathan H. Huggins , Mikołaj Kasprzak , Trevor Campbell , Tamara Broderick

In this paper, we present a reduced basis method for pricing European and American options based on the Black-Scholes and Heston model. To tackle each model numerically, we formulate the problem in terms of a time dependent variational…

Numerical Analysis · Mathematics 2014-08-07 Olena Burkovska , Bernard Haasdonk , Julien Salomon , Barbara Wohlmuth

In this article, goal-oriented a posteriori error estimation for the biharmonic plate bending problem is considered. The error for approximation of goal functional is represented by an estimator which combines dual-weighted residual method…

Numerical Analysis · Mathematics 2021-07-15 Gouranga Mallik

Adaptive atomistic/continuum (a/c) coupling method is an important method for the simulation of material and atomistic systems with defects to achieve the balance of accuracy and efficiency. Residual based a posteriori error estimator is…

Numerical Analysis · Mathematics 2022-11-28 Yangshuai Wang , Hao Wang

Within this article, we develop a residual type a posteriori error estimator for a time discrete quasi-static phase-field fracture model. Particular emphasize is given to the robustness of the error estimator for the variational inequality…

Numerical Analysis · Mathematics 2022-09-21 Mirjam Walloth , Winnifried Wollner

We propose a novel a posteriori error estimator for conforming finite element discretizations of two- and three-dimensional Helmholtz problems. The estimator is based on an equilibrated flux that is computed by solving patchwise mixed…

Numerical Analysis · Mathematics 2021-05-05 T. Chaumont-Frelet , A. Ern , M. Vohralík
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