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By means of the techniques of Boolean valued analysis, we provide a transfer principle between duality theory of classical convex risk measures and duality theory of conditional risk measures. Namely, a conditional risk measure can be…

Functional Analysis · Mathematics 2019-10-09 José Miguel Zapata

The paper concerns primal and dual representations as well as time consistency of set-valued dynamic risk measures. Set-valued risk measures appear naturally when markets with transaction costs are considered and capital requirements can be…

Risk Management · Quantitative Finance 2014-05-22 Zachary Feinstein , Birgit Rudloff

Geometrically convex functions constitute an interesting class of functions obtained by replacing the arithmetic mean with the geometric mean in the definition of convexity. As recently suggested, geometric convexity may be a sensible…

Risk Management · Quantitative Finance 2024-03-12 Mücahit Aygün , Fabio Bellini , Roger J. A. Laeven

Optimization under uncertainty and risk is indispensable in many practical situations. Our paper addresses stability of optimization problems using composite risk functionals which are subjected to measure perturbations. Our main focus is…

Optimization and Control · Mathematics 2022-01-06 Darinka Dentcheva , Yang Lin , Spiridon Penev

We define the class of multivariate group entropies as a novel set of information - theoretical measures, which extends significantly the family of group entropies. We propose new examples related to the "super-exponential" universality…

Mathematical Physics · Physics 2020-12-03 Piergiulio Tempesta

Foster and Hart proposed an operational measure of riskiness for discrete random variables. We show that their defining equation has no solution for many common continuous distributions including many uniform distributions, e.g. We show how…

Risk Management · Quantitative Finance 2013-01-09 Frank Riedel , Tobias Hellmann

We consider random perturbations of discrete-time dynamical systems. We give sufficient conditions for the stochastic stability of certain classes of maps, in a strong sense. This improves the main result in J. F. Alves, V. Araujo, Random…

Dynamical Systems · Mathematics 2010-03-01 Jose F. Alves , Helder Vilarinho

In this paper we provide a flexible framework allowing for a unified study of time consistency of risk measures and performance measures (also known as acceptability indices). The proposed framework not only integrates existing forms of…

Probability · Mathematics 2017-09-08 Tomasz R. Bielecki , Igor Cialenco , Marcin Pitera

We establish strong invariance principles for sums of stationary and ergodic processes with nearly optimal bounds. Applications to linear and some nonlinear processes are discussed. Strong laws of large numbers and laws of the iterated…

Probability · Mathematics 2011-11-10 Wei Biao Wu

In this paper we consider the axiomatic characterization of information and certainty measures in a unified way. We present the general axiomatic system which captures the common properties of a large number of the measures previously…

Information Theory · Computer Science 2015-06-17 Velimir M. Ilic , Miomir S. Stankovic

In this paper, starting from a generalized coherent (i.e. avoiding uniform loss) intervalvalued probability assessment on a finite family of conditional events, we construct conditional probabilities with quasi additive classes of…

Artificial Intelligence · Computer Science 2012-10-19 Giuseppe Sanfilippo

We study uniform consistency in nonparametric mixture models as well as closely related mixture of regression (also known as mixed regression) models, where the regression functions are allowed to be nonparametric and the error…

Statistics Theory · Mathematics 2022-12-29 Bryon Aragam , Ruiyi Yang

Considerable literature has been devoted to developing statistical inferential results for risk measures, especially for those that are of the form of L-functionals. However, practical and theoretical considerations have highlighted quite a…

Statistics Theory · Mathematics 2011-05-31 Abdelhakim Necir , Ričardas Zitikis

Strong invariance principles in Markov chain Monte Carlo are crucial to theoretically grounded output analysis. Using the wide-sense regenerative nature of the process, we obtain explicit bounds in the strong invariance converging rates for…

Computation · Statistics 2025-04-11 Arka Banerjee , Dootika Vats

Law-invariant functionals are central to risk management and assign identical values to random prospects sharing the same distribution under an atomless reference probability measure. This measure is typically assumed fixed. Here, we adopt…

Risk Management · Quantitative Finance 2026-02-10 Felix-Benedikt Liebrich , Ruodu Wang

We examine Fourier frames and, more generally, frame measures for different probability measures. We prove that if a measure has an associated frame measure, then it must have a certain uniformity in the sense that the weight is distributed…

Functional Analysis · Mathematics 2021-07-20 Dorin Ervin Dutkay , Chun-Kit Lai

In this paper we present results on scalar risk measures in markets with transaction costs. Such risk measures are defined as the minimal capital requirements in the cash asset. First, some results are provided on the dual representation of…

Risk Management · Quantitative Finance 2021-02-05 Zachary Feinstein , Birgit Rudloff

In this paper, we show that the likelihood-ratio measure (a) is invariant with respect to dominating sigma-finite measures, (b) satisfies logical consequences which are not satisfied by standard $p$-values, (c) respects frequentist…

Methodology · Statistics 2021-04-07 Alexandre G. Patriota

Given the significance of physical measures in understanding the complexity of dynamical systems as well as the noisy nature of real-world systems, investigating the stability of physical measures under noise perturbations is undoubtedly a…

Dynamical Systems · Mathematics 2025-06-24 Weiwei Qi , Zhongwei Shen , Yingfei Yi

A classical result in risk measure theory states that every coherent risk measure has a dual representation as the supremum of certain expected value over a risk envelope. We study this topic in more detail. The related issues include: 1.…

Optimization and Control · Mathematics 2018-02-28 Marcus Ang , Jie Sun , Qiang Yao