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Clustering, assortativity, and communities are key features of complex networks. We probe dependencies between these attributes and find that ensembles with strong clustering display both high assortativity by degree and prominent community…

Physics and Society · Physics 2013-05-29 David V. Foster , Jacob G. Foster , Peter Grassberger , Maya Paczuski

We consider a generalized version of the correlation clustering problem, defined as follows. Given a complete graph $G$ whose edges are labeled with $+$ or $-$, we wish to partition the graph into clusters while trying to avoid errors: $+$…

Data Structures and Algorithms · Computer Science 2016-05-25 Gregory J. Puleo , Olgica Milenkovic

In this paper, we investigate the credit risk in the loan portfolio of banks following different business models. We develop a data-driven methodology for identifying the business models of the 365 largest European banks that is suitable…

Applications · Statistics 2021-04-09 Matteo Farnè , Angelos T. Vouldis

The present work investigates clustering of a graph-based representation of industrial connections derived from international trade data by Hidalgo et al (2007) and confirms existence of around ten industrial clusters that are reasonably…

Physics and Society · Physics 2020-11-20 V. Bouet , A. Y. Klimenko

Using a sample of 903 APM clusters we investigate whether their dynamical status, as evidenced by the presence of significant substructures, is related to the large-scale structure of the Universe. We find that the cluster dynamical…

Astrophysics · Physics 2007-05-23 Manolis Plionis , Spyros Basilakos

The role of Network Theory in the study of the financial crisis has been widely spotted in the latest years. It has been shown how the network topology and the dynamics running on top of it can trigger the outbreak of large systemic crisis.…

General Finance · Quantitative Finance 2016-05-09 Andrea Flori , Giuseppe Pappalardo , Michelangelo Puliga , Alessandro Chessa , Fabio Pammolli

The domain of cluster analysis is a meeting point for a very rich multidisciplinary encounter, with cluster-analytic methods being studied and developed in discrete mathematics, numerical analysis, statistics, data analysis, data science,…

Other Statistics · Statistics 2024-09-26 Iven Van Mechelen , Christian Hennig , Henk A. L. Kiers

Countries participate in global value chains by engaging in backward and forward transactions connecting multiple geographically dispersed production stages. Inspired by network theory, we model global trade as a multilayer network and…

Physics and Society · Physics 2021-12-14 Luiz G. A. Alves , Giuseppe Mangioni , Francisco A. Rodrigues , Pietro Panzarasa , Yamir Moreno

The clustering of companies within a specific stock market index is studied by means of super-paramagnetic transitions of an appropriate q-state Potts model where the spins correspond to companies and the interactions are functions of the…

Statistical Mechanics · Physics 2009-10-31 L. Kullmann , J. Kertesz , R. N. Mantegna

The internal organization of complex networks often has striking consequences on either their response to external perturbations or on their dynamical properties. In addition to small-world and scale-free properties, clustering is the most…

Physics and Society · Physics 2014-05-26 Pol Colomer-de-Simon , Marian Boguna

We study the mechanism of formation of synchronized clusters in coupled maps on networks with various connection architectures. The nodes in a cluster are self- synchronized or driven-synchronized, based on the coupling strength and…

Chaotic Dynamics · Physics 2013-03-15 Aradhana Singh , Sarika Jalan

We propose a new way of building portfolios of cryptocurrencies that provide good diversification properties to investors. First, we seek to filter these digital assets by creating some clusters based on their path signature. The goal is to…

Portfolio Management · Quantitative Finance 2024-11-01 Hugo Inzirillo

Throughout economic history, the global economy has experienced recurring crises. The persistent recurrence of such economic crises calls for an understanding of their generic features rather than treating them as singular events. The…

Statistical Finance · Quantitative Finance 2011-04-14 Kyu-Min Lee , Jae-Suk Yang , Gunn Kim , Jaesung Lee , Kwang-Il Goh , In-mook Kim

In this brief review, we critically examine the recent work done on correlation-based networks in financial systems. The structure of empirical correlation matrices constructed from the financial market data changes as the individual stock…

Computational Finance · Quantitative Finance 2020-04-21 Vishwas Kukreti , Hirdesh K. Pharasi , Priya Gupta , Sunil Kumar

Peer-grouping is used in many sectors for organisational learning, policy implementation, and benchmarking. Clustering provides a statistical, data-driven method for constructing meaningful peer groups, but peer groups must be compatible…

Applications · Statistics 2021-07-14 Daniel William Kennedy , Jessica Cameron , Paul Pao-Yen Wu , Kerrie Mengersen

The community structure of complex networks reveals both their organization and hidden relationships among their constituents. Most community detection methods currently available are not deterministic, and their results typically depend on…

Physics and Society · Physics 2012-03-29 Andrea Lancichinetti , Santo Fortunato

Crowded trades by similarly trading peers influence the dynamics of asset prices, possibly creating systemic risk. We propose a market clustering measure using granular trading data. For each stock the clustering measure captures the degree…

Statistical Finance · Quantitative Finance 2021-03-16 Marc van Kralingen , Diego Garlaschelli , Karolina Scholtus , Iman van Lelyveld

The time proximity of trades across stocks reveals interesting topological structures of the equity market in the United States. In this article, we investigate how such concurrent cross-stock trading behaviors, which we denote as…

Trading and Market Microstructure · Quantitative Finance 2024-05-14 Yutong Lu , Gesine Reinert , Mihai Cucuringu

Financial stock returns correlations have been studied in the prism of random matrix theory, to distinguish the signal from the "noise". Eigenvalues of the matrix that are above the rescaled Marchenko Pastur distribution can be interpreted…

Statistical Finance · Quantitative Finance 2025-08-19 Ixandra Achitouv

Distributed securities exchanges may become de facto fragmented if they span geographical regions with asymmetric computer infrastructure. First, we build an economic model of a decentralized exchange with two miner clusters, standing in…

Trading and Market Microstructure · Quantitative Finance 2019-11-07 Marius Zoican , Sorin Zoican