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We study integral representations of random variables with respect to general H\"older continuous processes and with respect to two particular cases; fractional Brownian motion and mixed fractional Brownian motion. We prove that arbitrary…

Probability · Mathematics 2014-05-01 Georgiy Shevchenko , Lauri Viitasaari

We obtain a dual representation of the Kantorovich functional defined for functions on the Skorokhod space using quotient sets. Our representation takes the form of a Choquet capacity generated by martingale measures satisfying additional…

Functional Analysis · Mathematics 2021-05-14 Patrick Cheridito , Matti Kiiski , David J. Prömel , H. Mete Soner

In this paper a quantum stochastic integral representation theorem is obtained for unbounded regular martingales with respect to multidimensional quantum noise. This simultaneously extends results of Parthasarathy and Sinha to unbounded…

Probability · Mathematics 2007-07-17 Un Cig Ji

In [22], it was proved that as long as the integrand has certain properties, the corresponding It\^o integral can be written as a (parameterized) Lebesgue integral (or a Bochner integral). In this paper, we show that such a question can be…

Probability · Mathematics 2016-08-14 Qi Lü , Jiongmin Yong , Xu Zhang

We introduce multi-kangaroo Markov processes and provide a general procedure for evaluating a certain type of stochastic functionals. We calculate analytically the large deviation properties. Applications include zero-crossing statistics…

Statistical Mechanics · Physics 2014-06-25 C. Van den Broeck , R. Toral

Field-theoretic construction of functional representations of solutions of stochastic differential equations and master equations is reviewed. A generic expression for the generating function of Green functions of stochastic systems is put…

Mathematical Physics · Physics 2012-10-16 Juha Honkonen

We develop a Fourier approach to rough path integration, based on the series decomposition of continuous functions in terms of Schauder functions. Our approach is rather elementary, the main ingredient being a simple commutator estimate,…

Probability · Mathematics 2014-10-16 Massimiliano Gubinelli , Peter Imkeller , Nicolas Perkowski

The paper is devoted to the existence of integral functionals $\int_0^\infty f(X(t))\,{\mathrm{d}t}$ for several classes of processes in $\mathbb{R}$ with $d\ge 3$. Some examples such as Brownian motion, fractional Brownian motion, compound…

Probability · Mathematics 2021-04-02 Yuri Kondratiev , Yuliya Mishura , José L. da Silva

In this paper, we introduce a new method for calculating fractional integrals and differentials. The method involves an equation that we have obtained from infinite applied integration by parts. The equation works for special class of…

General Mathematics · Mathematics 2023-09-08 Oleg Yaremko , Andrey Yachmenev

We derive a functional It\^o-formula for non-anticipative maps of rough paths, based on the approximation properties of the signature of c\`adl\`ag rough paths. This result is a functional extension of the It\^o-formula for c\`adl\`ag rough…

Probability · Mathematics 2025-04-09 Christa Cuchiero , Xin Guo , Francesca Primavera

We describe the class of functions $f: R^n\to R^m$ which transform a vector Brownian Motion into a martingale and use this description to give martingale characterization of the general measurable solution of the multidimensional Cauchy…

Probability · Mathematics 2020-06-17 Michael Mania , Revaz Tevzadze

Uncertainty associated with statistical problems arises due to what has not been seen as opposed to what has been seen. Using probability to quantify the uncertainty the task is to construct a probability model for what has not been seen…

Methodology · Statistics 2025-01-06 Fuheng Cui , Stephen G. Walker

We are concerned with the numerical resolution of backward stochastic differential equations. We propose a new numerical scheme based on iterative regressions on function bases, which coefficients are evaluated using Monte Carlo…

Probability · Mathematics 2007-05-23 Emmanuel Gobet , Jean-Philippe Lemor , Xavier Warin

The article is devoted to the integration order replacement technique for iterated Ito stochastic integrals and iterated stochastic integrals with respect to martingales. We consider the class of iterated Ito stochastic integrals, for which…

Probability · Mathematics 2022-04-28 Dmitriy F. Kuznetsov

We prove new upper and lower bounds for Banach space-valued stochastic integrals with respect to a compensated Poisson random measure. Our estimates apply to Banach spaces with non-trivial martingale (co)type and extend various results in…

Probability · Mathematics 2013-07-31 Sjoerd Dirksen , Jan Maas , Jan van Neerven

In mathematical finance and other applications of stochastic processes, it is frequently the case that the characteristic function may be known but explicit forms for density functions are not available. The simulation of any distribution…

Computational Finance · Quantitative Finance 2009-03-10 William T. Shaw , Jonathan McCabe

In this paper we introduce a variant of Burkholder's martingale transform associated with two martingales with respect to different filtrations. Even though the classical martingale techniques cannot be applied, we show that the discussed…

Probability · Mathematics 2015-02-24 Vjekoslav Kovač , Kristina Ana Škreb

This paper provides the time-dependent $L^2$-martingale representation of the forward stochastic integral where the driving noise is the Riemann-Liouville fractional Brownian motion with parameter $\frac{1}{2} < H < 1$ and the integrand is…

Probability · Mathematics 2025-12-16 Paulo Henrique da Costa , Alberto Ohashi , Francesco Russo

The main purpose of this work is the derivation of a functional partial differential equation (FPDE) for the calculations of equity-linked insurance policies, where the payment stream may depend on the whole past history of the financial…

Pricing of Securities · Quantitative Finance 2024-09-04 David R. Baños , Salvador Ortiz-Latorre , Oriol Zamora Font

We show that, under certain smoothness conditions, a Brownian martingale at a fixed time can be represented as an exponential of its value at a later time. The time-dependent generator of this exponential operator is equal to one half times…

Probability · Mathematics 2015-11-06 Henry Schellhorn
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