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In this paper, we consider asymptotics of the optimal value and the optimal solutions of parametric minimax estimation problems. Specifically, we consider estimators of the optimal value and the optimal solutions in a sample minimax problem…

Statistics Theory · Mathematics 2025-04-16 Mika Meitz , Alexander Shapiro

In this paper, we investigate dynamic optimization problems featuring both stochastic control and optimal stopping in a finite time horizon. The paper aims to develop new methodologies, which are significantly different from those of mixed…

Portfolio Management · Quantitative Finance 2014-06-27 Xiongfei Jian , Xun Li , Fahuai Yi

We consider discrete optimization problems with interval uncertatinty of objective function coefficients. The interval uncertainty models measurements errors. A pos\-sible optimal solution is a solution that is optimal for some possible…

Optimization and Control · Mathematics 2022-06-22 Alexander Prolubnikov

Diffusion-based models have achieved notable empirical successes in reinforcement learning (RL) due to their expressiveness in modeling complex distributions. Despite existing methods being promising, the key challenge of extending existing…

Machine Learning · Computer Science 2024-11-04 Dmitry Shribak , Chen-Xiao Gao , Yitong Li , Chenjun Xiao , Bo Dai

This paper studies the problem of optimal switching for one-dimensional diffusion, which may be regarded as sequential optimal stopping problem with changes of regimes. The resulting dynamic programming principle leads to a system of…

Probability · Mathematics 2007-05-23 Huyen Pham

Diffusion on complex networks is often modeled as a stochastic process. Yet, recent work on strategic diffusion emphasizes the decision power of agents and treats diffusion as a strategic problem. Here we study the computational aspects of…

Computational Complexity · Computer Science 2020-01-31 Marcin Waniek , Khaled Elbassioni , Flavio L. Pinheiro , Cesar A. Hidalgo , Aamena Alshamsi

Let $X$ be a bounded c\`adl\`ag process with positive jumps defined on the canonical space of continuous paths. We consider the problem of optimal stopping the process $X$ under a nonlinear expectation operator $\cE$ defined as the supremum…

Probability · Mathematics 2013-02-12 Ibrahim Ekren , Nizar Touzi , Jianfeng Zhang

It is shown that a certain functional of a branching process has representations in terms of both a maximisation problem and a minimisation problem. A consequence of these representation is that upper and lower bounds on the functional can…

Analysis of PDEs · Mathematics 2020-07-24 David P. Driver , Michael R. Tehranchi

We generalize the Maximum Principle for free end point optimal control problems involving sweeping systems derived in [9] to cover the case where the end point is constrained to take values in a certain set. As in [9], an ingenious smooth…

Optimization and Control · Mathematics 2021-06-22 M. d. R. de Pinho , M. Margarida A. Ferreira , Georgi Smirnov

We prove the existence of optimal strategies for agents with cumulative prospect theory preferences who trade in a continuous-time illiquid market, transcending known results which pertained only to risk-averse utility maximizers. The…

Portfolio Management · Quantitative Finance 2017-04-13 Huy N. Chau , Miklós Rásonyi

We address the problem of estimating the expected shortfall risk of a financial loss using a finite number of i.i.d. data. It is well known that the classical plug-in estimator suffers from poor statistical performance when faced with…

Risk Management · Quantitative Finance 2026-02-13 Daniel Bartl , Stephan Eckstein

Overdamped Langevin dynamics are reversible stochastic differential equations which are commonly used to sample probability measures in high-dimensional spaces, such as the ones appearing in computational statistical physics and Bayesian…

Numerical Analysis · Mathematics 2025-02-10 Tony Lelièvre , Grigorios A. Pavliotis , Geneviève Robin , Régis Santet , Gabriel Stoltz

We consider the problem of determining an upper bound for the value of a spectral risk measure of a loss that is a general nonlinear function of two factors whose marginal distributions are known, but whose joint distribution is unknown.…

Risk Management · Quantitative Finance 2020-10-29 Mario Ghossoub , Jesse Hall , David Saunders

In this work, we explore a time-fractional diffusion equation of order $\alpha \in (0,1)$ with a stochastic diffusivity parameter. We focus on efficient estimation of the expected values (considered as an infinite dimensional integral on…

Numerical Analysis · Mathematics 2024-09-04 Josef Dick , Hecong Gao , William McLean , Kassem Mustapha

Equivalences are known between problems of singular stochastic control (SSC) with convex performance criteria and related questions of optimal stopping, see for example Karatzas and Shreve [SIAM J. Control Optim. 22 (1984)]. The aim of this…

Optimization and Control · Mathematics 2014-11-13 Tiziano De Angelis , Giorgio Ferrari , John Moriarty

We use the geometry of suitably generalised potentials to solve risk-sensitive Markovian optimal stopping problems. As in the linear case due to Dynkin and Yushkievich (1967), the value function is the pointwise infimum of those functions…

Optimization and Control · Mathematics 2025-06-12 Tomasz Kosmala , John Moriarty

Optimal stopping is the problem of determining when to stop a stochastic system in order to maximize reward, which is of practical importance in domains such as finance, operations management and healthcare. Existing methods for…

Optimization and Control · Mathematics 2022-03-28 Xinyi Guan , Velibor V. Mišić

We study a mathematical model motivated by the support/resistance line method in technical analysis where the underlying stock price transitions between three states of nature in a path-dependent manner. For optimal stopping problems with…

Trading and Market Microstructure · Quantitative Finance 2025-04-15 Vicky Henderson , Saul Jacka , Ruiqi Liu , Jun Maeda

Maximum subarray is a classical problem in computer science that given an array of numbers aims to find a contiguous subarray with the largest sum. We focus on its use for a noisy statistical problem of localizing an interval with a mean…

Methodology · Statistics 2023-10-24 Dennis Wei , Dmitry M. Malioutov

We consider the Cauchy problem for two prototypes of flux-saturated diffusion equations. In arbitrary space dimension, we give an optimal condition on the growth of the initial datum which discriminates between occurrence or nonoccurrence…

Analysis of PDEs · Mathematics 2019-07-23 Lorenzo Giacomelli , Salvador Moll , Francesco Petitta
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