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In this paper, we present a method for the accurate estimation of the derivative (aka.~sensitivity) of expectations of functions involving an indicator function by combining a stochastic algorithmic differentiation and a regression. The…

Computational Finance · Quantitative Finance 2019-11-13 Christian P. Fries

Engineering risk is concerned with the likelihood of failure and the scenarios when it occurs. The sensitivity of failure probability to change in system parameters is relevant to risk-informed decision making. Computing sensitivity is at…

Methodology · Statistics 2025-12-19 Siu-Kui Au , Zi-Jun Cao

This paper presents a numerical method to implement the parameter estimation method using response statistics that was recently formulated by the authors. The proposed approach formulates the parameter estimation problem of It\^o drift…

Numerical Analysis · Mathematics 2019-03-05 He Zhang , Xiantao Li , John Harlim

We introduce a model with diffusive and evaporation/condensation processes, depending on 3 parameters obeying some inequalities. The model can be solved in the sense that all correlation functions can be computed exactly without the use of…

Statistical Mechanics · Physics 2023-10-23 F. Mathieu , E. Ragoucy

The Derivative Source Method (DSM) takes derivatives of a particle transport equation with respect to selected parameters and solves them via the standard Monte Carlo random walk simulation along with the original transport problem. The…

Computational Physics · Physics 2025-01-14 Ilham Variansyah , Ryan G. McClarren , Todd S. Palmer

In this paper we present a novel approach towards variance reduction for discretised diffusion processes. The proposed approach involves specially constructed control variates and allows for a significant reduction in the variance for the…

Probability · Mathematics 2017-09-19 Denis Belomestny , Stefan Häfner , Tigran Nagapetyan , Mikhail Urusov

The logarithmic derivative of a point process plays a key role in the general approach, due to the third author, to constructing diffusions preserving a given point process. In this paper we explicitly compute the logarithmic derivative for…

Probability · Mathematics 2017-07-07 Alexander I. Bufetov , Andrey V. Dymov , Hirofumi Osada

In the present paper we propose a new stochastic diffusion process with drift proportional to the Weibull density function defined as X $\epsilon$ = x, dX t = $\gamma$ t (1 - t $\gamma$+1) - t $\gamma$ X t dt + $\sigma$X t dB t , t…

Statistics Theory · Mathematics 2015-02-26 H Elotma

We consider a parameter estimation problem for one dimensional stochastic heat equations, when data is sampled discretely in time or spatial component. We prove that, the real valued parameter next to the Laplacian (the drift), and the…

Probability · Mathematics 2019-07-17 Igor Cialenco , Yicong Huang

In this paper we consider the drift estimation problem for a general differential equation driven by an additive multidimensional fractional Brownian motion, under ergodic assumptions on the drift coefficient. Our estimation procedure is…

Statistics Theory · Mathematics 2020-07-16 Fabien Panloup , Samy Tindel , Maylis Varvenne

This paper proposes and analyzes fully data driven methods for inference about the mean function of a stochastic process from a sample of independent trajectories of the process, observed at discrete time points and corrupted by additive…

Methodology · Statistics 2009-05-20 F. Bunea , M. H. Wegkamp , A. E. Ivanescu

This paper addresses the nonparametric estimation of the drift function over a compact domain for a time-homogeneous diffusion process, based on high-frequency discrete observations from $N$ independent trajectories. We propose a neural…

Machine Learning · Statistics 2026-04-01 Yuzhen Zhao , Yating Liu , Marc Hoffmann

This paper uses Lie symmetry methods to calculate certain expectations for a large class of It\^{o} diffusions. We show that if the problem has sufficient symmetry, then the problem of computing functionals of the form $E_x(e^{-\lambda…

Probability · Mathematics 2009-03-02 Mark Craddock , Kelly A. Lennox

Denoising diffusions sample from a probability distribution $\mu$ in $\mathbb{R}^d$ by constructing a stochastic process $({\hat{\boldsymbol x}}_t:t\ge 0)$ in $\mathbb{R}^d$ such that ${\hat{\boldsymbol x}}_0$ is easy to sample, but the…

Machine Learning · Statistics 2026-04-09 Andrea Montanari , Viet Vu

We study the strong approximation of stochastic differential equations with discontinuous drift coefficients and (possibly) degenerate diffusion coefficients. To account for the discontinuity of the drift coefficient we construct an…

Numerical Analysis · Mathematics 2019-04-25 Andreas Neuenkirch , Michaela Szölgyenyi , Lukasz Szpruch

This paper considers a simulation-based estimator for a general class of Markovian processes and explores some strong consistency properties of the estimator. The estimation problem is defined over a continuum of invariant distributions…

Probability · Mathematics 2010-01-14 Manuel S. Santos

In this paper, we consider the minimization of a $C^2-$smooth and strongly convex objective depending on a given parameter, which is usually found in many practical applications. We suppose that we desire to solve the problem with some…

Optimization and Control · Mathematics 2025-03-14 Jean-Jacques Godeme

Estimating parameters of drift and diffusion coefficients for multidimensional stochastic delay equations with small noise are considered. The delay structure is written as an integral form with respect to a delay measure. Our contrast…

Statistics Theory · Mathematics 2023-03-21 Hiroki Nemoto , Yasutaka Shimizu

Asymptotic theory for approximate martingale estimating functions is generalised to diffusions with finite-activity jumps, when the sampling frequency and terminal sampling time go to infinity. Rate optimality and efficiency are of…

Methodology · Statistics 2018-09-05 Nina Munkholt Jakobsen , Michael Sørensen

We provide the first generic exact simulation algorithm for multivariate diffusions. Current exact sampling algorithms for diffusions require the existence of a transformation which can be used to reduce the sampling problem to the case of…

Probability · Mathematics 2026-01-14 Jose Blanchet , Fan Zhang