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We study a new class of ergodic backward stochastic differential equations (EBSDEs for short) which is linked with semi-linear Neumann type boundary value problems related to ergodic phenomenas. The particularity of these problems is that…

Probability · Mathematics 2010-02-11 Adrien Richou

We prove results on bounded solutions to backward stochastic equations driven by random measures. Those bounded BSDE solutions are then applied to solve different stochastic optimization problems with exponential utility in models where the…

Probability · Mathematics 2008-12-10 Dirk Becherer

Forward-backward stochastic differential equations (FBSDEs) have attracted significant attention since they were introduced almost 30 years ago, due to their wide range of applications, from solving non-linear PDEs to pricing American-type…

Probability · Mathematics 2022-09-21 Elena Issoglio , Shuai Jing

Results on the existence, uniqueness and strict comparison for solutions to a BSDE driven by a multi-dimensional RCLL martingale are established. The goal is to develop a general multi-asset framework encompassing a wide spectrum of…

Probability · Mathematics 2021-03-17 Tianyang Nie , Marek Rutkowski

In this paper, we study one-dimensional backward stochastic differential equation (BSDE, for short), whose coefficient $f$ is Lipschitz in $y$ but only continuous in $z$. In addition, if the terminal condition $\xi$ has bounded Malliavin…

Probability · Mathematics 2022-08-09 Yufeng Shi , Zhi Yang

High-dimensional partial differential equations (PDE) appear in a number of models from the financial industry, such as in derivative pricing models, credit valuation adjustment (CVA) models, or portfolio optimization models. The PDEs in…

Numerical Analysis · Mathematics 2020-07-15 Christian Beck , Weinan E , Arnulf Jentzen

We consider a linear scalar delay differential equation (DDE), consisting of two arbitrary distributed time delays. We formulate necessary conditions for stability of the trivial solution which are independent of the distributions. For the…

Dynamical Systems · Mathematics 2017-02-03 Sue Ann Campbell , Israel Ncube

In this paper we study one dimensional backward stochastic differential equations (BSDEs) with random terminal time not necessarily bounded or finite when the generator F(t,Y,Z) has a quadratic growth in Z. We provide existence and…

Probability · Mathematics 2013-10-21 Philippe Briand , Fulvia Confortola

In this work, we present a novel forward differential deep learning-based algorithm for solving high-dimensional nonlinear backward stochastic differential equations (BSDEs). Motivated by the fact that differential deep learning can…

Numerical Analysis · Mathematics 2024-08-13 Lorenc Kapllani , Long Teng

We establish that stabilization of a class of linear, hyperbolic partial differential equations (PDEs) with a large (nevertheless finite) number of components, can be achieved via employment of a backstepping-based control law, which is…

Optimization and Control · Mathematics 2024-11-05 Jukka-Pekka Humaloja , Nikolaos Bekiaris-Liberis

In this paper we investigate novel applications of a new class of equations which we call time-delayed backward stochastic differential equations. Time-delayed BSDEs may arise in finance when we want to find an investment strategy and an…

Pricing of Securities · Quantitative Finance 2011-01-13 Lukasz Delong

In this paper, we consider the backward stochastic differential equation (BSDE) with generator $f(y)|z|^2,$ where the function $f$ is defined on an open interval $D$ and locally integrable. The existence and uniqueness of bounded solutions…

Probability · Mathematics 2021-03-04 Shiqiu Zheng , Lidong Zhang , Lichao Feng

Stochastic differential equations (sdes) play an important role in physics but existing numerical methods for solving such equations are of low accuracy and poor stability. A general strategy for developing accurate and efficient schemes…

Quantum Physics · Physics 2009-11-10 Joshua Wilkie

This paper studies a system of multi-dimensional reflected backward stochastic differential equations with oblique reflections (RBSDEs for short) in infinite horizon associated to switching problems. The existence and uniqueness of the…

Probability · Mathematics 2023-02-28 Brahim El Asri , Nacer Ourkiya

We propose a time-space discretization scheme for quasi-linear parabolic PDEs. The algorithm relies on the theory of fully coupled forward--backward SDEs, which provides an efficient probabilistic representation of this type of equation.…

Probability · Mathematics 2016-08-16 François Delarue , Stéphane Menozzi

We study a novel general class of multidimensional type-I backward stochastic Volterra integral equations. Toward this goal, we introduce an infinite dimensional system of standard backward SDEs and establish its well-posedness, and we show…

Probability · Mathematics 2020-08-05 Camilo Hernández , Dylan Possamaï

This paper is dedicated to the presentation and the analysis of a numerical scheme for forward-backward SDEs of the McKean-Vlasov type, or equivalently for solutions to PDEs on the Wasserstein space. Because of the mean field structure of…

Probability · Mathematics 2017-03-07 Jean-François Chassagneux , Dan Crisan , François Delarue

In the present paper, we consider multidimensional nonlinear backward stochastic differential equations (BSDEs) with a driver depending on the martingale part $M$ of a solution. We assume that the nonlinear term is merely monotone…

Probability · Mathematics 2023-08-22 Tomasz Klimsiak , Maurycy Rzymowski

By using the Skorohod equation we derive an iteration procedure which allows us to solve a class of reflected backward stochastic differential equations with non-linear resistance induced by the reflected local time. In particular, we…

Probability · Mathematics 2011-03-11 Zhongmin Qian , Mingyu Xu

In this paper, we study the linear-quadratic control problem for mean-field backward stochastic differential equations (MF-BSDE) with random coefficients. We first derive a preliminary stochastic maximum principle to analyze the unique…

Optimization and Control · Mathematics 2025-03-04 Jie Xiong , Wen Xu , Ying Yang
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