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This paper considers a portfolio optimization problem in which asset prices are represented by SDEs driven by Brownian motion and a Poisson random measure, with drifts that are functions of an auxiliary diffusion factor process. The…

Portfolio Management · Quantitative Finance 2010-11-16 Mark Davis , Sebastien Lleo

Anomalous diffusion and L\'evy flights, which are characterized by the occurrence of random discrete jumps of all scales, have been observed in a plethora of natural and engineered systems, ranging from the motion of molecules to climate…

Dynamical Systems · Mathematics 2023-09-04 Chunxi Jiao , Georg A. Gottwald

In this paper, we study the following nonlinear backward stochastic integral partial differential equation with jumps \begin{equation*} \left\{ \begin{split} -d V(t,x) =&\displaystyle\inf_{u\in U}\bigg\{H(t,x,u, DV(t,x),D \Phi(t,x), D^2…

Optimization and Control · Mathematics 2020-11-10 Qingxin Meng , Yuchao Dong , Yang Shen , Shanjian Tang

We consider parameter estimation of stochastic differential equations driven by a Wiener process and a compound Poisson process as small noises. The goal is to give a threshold-type quasi-likelihood estimator and show its consistency and…

Statistics Theory · Mathematics 2023-12-20 Mitsuki Kobayashi , Yasutaka Shimizu

We consider estimation of a step function $f$ from noisy observations of a deconvolution $\phi*f$, where $\phi$ is some bounded $L_1$-function. We use a penalized least squares estimator to reconstruct the signal $f$ from the observations,…

Statistics Theory · Mathematics 2008-12-18 Leif Boysen , Axel Munk

Strongly consistent and asymptotically normal estimators of the Hurst index and volatility parameters of solutions of stochastic differential equations with polynomial drift are proposed. The estimators are based on discrete observations of…

Probability · Mathematics 2015-05-19 Kestutis Kubilius , Viktor Skorniakov , Dmitrij Melichov

We consider a process $X^\ve$ that solves a stochastic Volterra equation with an unknown parameter $\theta^\star$ in the drift function. The Volterra kernel is singular, and includes as an example, $K\_0(u)=c u^{\alpha-1/2} \id{u>0}$ with…

Statistics Theory · Mathematics 2026-05-21 Arnaud Gloter , Nakahiro Yoshida

We analyze the global and local behavior of gradient-like flows under stochastic errors towards the aim of solving convex optimization problems with noisy gradient input. We first study the unconstrained differentiable convex case, using a…

Optimization and Control · Mathematics 2024-03-12 Rodrigo Maulen-Soto , Jalal Fadili , Hedy Attouch

This paper explores the reconstruction of drift or diffusion coefficients of a scalar stochastic diffusion processes as it starts from an initial value and reaches, for the first time, a threshold value. We show that the distribution…

Statistical Mechanics · Physics 2009-11-10 Guillaume Bal , Tom Chou

This paper considers the classical SIR epidemic model driven by a multidimensional L\'evy jump process. We consecrate to develop a mathematical method to obtain the asymptotic properties of the perturbed model. Our method differs from…

Probability · Mathematics 2020-02-24 Driss Kiouach , Yassine Sabbar

We examine a mean-reverting Ornstein-Uhlenbeck process that perturbs an unknown Lipschitz-continuous drift and aim to estimate the drift's value at a predetermined time horizon by sampling the path of the process. Due to the time varying…

Statistics Theory · Mathematics 2024-05-20 Enrico Bernardi , Alberto Lanconelli , Christopher S. A. Lauria , Berk Tan Perçin

We show that, in one spatial and arbitrary jump dimension, the averaged solution of a Marcustype SPDE with pure jump L\'evy transport noise satisfies a dissipative deterministic equation involving a fractional Laplace-type operator. To this…

Probability · Mathematics 2024-02-14 Franco Flandoli , Andrea Papini , Marco Rehmeier

We consider a linear stochastic differential equation with stochastic drift and multiplicative noise. We study the problem of approximating its solution with the process that solves the equation where the possibly stochastic drift is…

Probability · Mathematics 2021-10-11 Giacomo Ascione , Giuseppe D'Onofrio

We consider the problem of absolute continuity for the one-dimensional SDE \[X_t=x+\int_0^ta(X_s) ds+Z_t,\] where $Z$ is a real L\'{e}vy process without Brownian part and $a$ a function of class $\mathcal{C}^1$ with bounded derivative.…

Probability · Mathematics 2007-05-23 Ivan Nourdin , Thomas Simon

We stu\dd y a class of nonlinear stochastic partial differential equations with dissipative nonlinear drift, driven by L\'evy noise. Our work is divided in two parts. In the present part I we first define a Hilbert-Banach setting in which…

Probability · Mathematics 2013-12-10 Sergio Albeverio , Luca Di Persio , Elisa Mastrogiacomo , Boubaker Smii

Stochastic optimal control problems have a long tradition in applied probability, with the questions addressed being of high relevance in a multitude of fields. Even though theoretical solutions are well understood in many scenarios, their…

Statistics Theory · Mathematics 2024-05-28 Sören Christensen , Claudia Strauch , Lukas Trottner

This paper explores the rates of convergence of solutions for multivariate stochastic differential equations (SDEs) driven by L\'evy processes within the small-time stable domain of attraction (DoA). Explicit bounds are derived for the…

Probability · Mathematics 2025-09-17 Jorge González Cázares , David Kramer-Bang

To bridge the gap between idealised communication models and the stochastic reality of networked systems, we introduce a framework for embedding asynchronous communication directly into algorithm dynamics using stochastic differential…

Optimization and Control · Mathematics 2025-11-11 Marc Weber , John Paul Strachan , Christian Ebenbauer

Understanding the behavior of stochastic gradient methods is a central problem in modern machine learning. Recent work has highlighted diagonal linear networks as a simplified yet expressive setting for analyzing the optimization and…

Optimization and Control · Mathematics 2026-05-19 Begoña García Malaxechebarría , Courtney Paquette , Maryam Fazel , Dmitriy Drusvyatskiy

For a fixed $T$ and $k \geq 2$, a $k$-dimensional vector stochastic differential equation $dX_t=\mu(X_t, \theta)dt+\nu(X_t)dW_t,$ is studied over a time interval $[0,T]$. Vector of drift parameters $\theta$ is unknown. The dependence in…

Statistics Theory · Mathematics 2023-07-19 Miljenko Huzak , Snježana Lubura Strunjak , Andreja Vlahek Štrok