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Duality for robust hedging with proportional transaction costs of path dependent European options is obtained in a discrete time financial market with one risky asset. Investor's portfolio consists of a dynamically traded stock and a static…

Portfolio Management · Quantitative Finance 2013-08-30 Yan Dolinsky , H. Mete Soner

We study the dual formulation of the Monge-Kantorovich optimal transportation problem, in particular under what circumstances it is permitted in an infinite dimensional setting to use cylindrical functions, i.e. functions of the form…

Functional Analysis · Mathematics 2015-04-13 Martijn Zaal

The classical Kantorovich-Rubinstein duality theorem establishes a significant connection between Monge optimal transport and maximization of a linear form on the set of 1-Lipschitz functions. This result has been widely used in various…

Optimization and Control · Mathematics 2025-11-04 Karol Bołbotowski , Guy Bouchitté

We study an optimal transport problem with a backward martingale constraint in a pseudo-Euclidean space $S$. We show that the dual problem consists in the minimization of the expected values of the Fitzpatrick functions associated with…

Probability · Mathematics 2023-12-11 Dmitry Kramkov , Mihai Sîrbu

We present a range of applications of localisation for constrained transports for pairs of probability measures in order with respect to a lattice cone. These examples comprise irreducible convex paving for martingale transports in…

Probability · Mathematics 2024-07-31 Krzysztof J. Ciosmak

This paper analyzes the support of the conditional distribution of optimal martingale transport plans in higher dimension. In the context of a distance coupling in dimension larger than 2, previous results established by Ghoussoub, Kim &…

Probability · Mathematics 2018-11-07 Hadrien De March

Weak optimal transport generalizes the classical theory of optimal transportation to nonlinear cost functions and covers a range of problems that lie beyond the traditional theory - including entropic transport, martingale transport, and…

Probability · Mathematics 2025-07-16 Filip Pramenković

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

The Monge-Kantorovich problem is revisited by means of a variant of the saddle-point method without appealing to $c$-conjugates. A new abstract characterization of the optimal plans is obtained in the case where the cost function takes…

Probability · Mathematics 2013-08-02 Christian Léonard

We present generalized versions of Monge's and Kantorovich's optimal transport problems with the probabilities being transported replaced by lower probabilities. We show that, when the lower probabilities are the lower envelopes of…

Machine Learning · Statistics 2025-04-21 Michele Caprio

We propose two deep neural network-based methods for solving semi-martingale optimal transport problems. The first method is based on a relaxation/penalization of the terminal constraint, and is solved using deep neural networks. The second…

Optimization and Control · Mathematics 2021-03-08 Ivan Guo , Nicolas Langrené , Grégoire Loeper , Wei Ning

We study a martingale Schr\"odinger bridge problem: given two probability distributions, find their martingale coupling with minimal relative entropy. Our main result provides Schr\"odinger potentials for this coupling. Namely, under…

Probability · Mathematics 2025-09-01 Marcel Nutz , Johannes Wiesel

In a martingale optimal transport (MOT) problem mass distributed according to the law $\mu$ is transported to the law $\nu$ in such a way that the martingale property is respected. Beiglb\"ock and Juillet (On a problem of optimal transport…

Probability · Mathematics 2022-10-04 David Hobson , Dominykas Norgilas

Many numerical and learning algorithms rely on the solution of the Monge-Kantorovich problem and Wasserstein distances, which provide appropriate distributional metrics. While the natural approach is to treat the problem as an…

Optimization and Control · Mathematics 2025-12-11 Mohsen Sadr , Peyman Mohajerin Esfahani , Hossein Gorji

Coupling probability measures lies at the core of many problems in statistics and machine learning, from domain adaptation to transfer learning and causal inference. Yet, even when restricted to deterministic transports, such couplings are…

Machine Learning · Statistics 2025-09-22 Lucas De Lara , Luca Ganassali

We consider the simultaneous optimal transportation of measures, where the target marginal is not necessarily fixed. For this problem, we prove the existence of a solution for completely regular spaces and investigate the structure of the…

Probability · Mathematics 2024-11-26 Kirill Sokolov

We provide a model-free pricing-hedging duality in continuous time. For a frictionless market consisting of $d$ risky assets with continuous price trajectories, we show that the purely analytic problem of finding the minimal superhedging…

Mathematical Finance · Quantitative Finance 2019-07-29 Daniel Bartl , Michael Kupper , David J. Prömel , Ludovic Tangpi

We introduce and study a multi-marginal optimal partial transport problem. Under a natural and sharp condition on the dominating marginals, we establish uniqueness of the optimal plan. Our strategy of proof establishes and exploits a…

Analysis of PDEs · Mathematics 2015-08-10 Jun Kitagawa , Brendan Pass

In this paper we develop a general framework for constructing and analysing coupled Markov chain Monte Carlo samplers, allowing for both (possibly degenerate) diffusion and piecewise deterministic Markov processes. For many performance…

Probability · Mathematics 2018-06-29 N. Nuesken , G. A. Pavliotis

Based on the multidimensional irreducible paving of De March & Touzi, we provide a multi-dimensional version of the quasi sure duality for the martingale optimal transport problem, thus extending the result of Beiglb\"ock, Nutz & Touzi.…

Probability · Mathematics 2018-05-07 Hadrien De March