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Traders in a market typically have widely different, private information on the return of an asset. The equilibrium price of the asset may reflect this information more accurately if the number of traders is large enough compared to the…

Statistical Mechanics · Physics 2019-08-17 Johannes Berg , Matteo Marsili , Aldo Rustichini , Riccardo Zecchina

Both parametric distribution functions appearing in extreme value theory - the generalized extreme value distribution and the generalized Pareto distribution - have log-concave densities if the extreme value index gamma is in [-1,0].…

Statistics Theory · Mathematics 2023-04-17 Samuel Müller , Kaspar Rufibach

The measured correlations of financial time series in subsequent epochs change considerably as a function of time. When studying the whole correlation matrices, quasi-stationary patterns, referred to as market states, are seen by applying…

Statistical Finance · Quantitative Finance 2020-11-03 Anton J. Heckens , Sebastian M. Krause , Thomas Guhr

Skewness and kurtosis are fundamental statistical moments commonly used to quantify asymmetry and tail behavior in probability distributions. Despite their widespread application in statistical mechanics, condensed matter physics, and…

Mathematical Physics · Physics 2025-06-23 Carlo De Michele , Samuele De Bartolo

Throughout history, many countries have repeatedly experienced large swings in asset prices, which are usually accompanied by large fluctuations in macroeconomic activity. One of the characteristics of the period before major economic…

Theoretical Economics · Economics 2024-08-12 Tomohiro Hirano

As financial instruments grow in complexity more and more information is neglected by risk optimization practices. This brings down a curtain of opacity on the origination of risk, that has been one of the main culprits in the 2007-2008…

General Finance · Quantitative Finance 2019-10-23 Marco Bardoscia , Daniele d'Arienzo , Matteo Marsili , Valerio Volpati

The remarkable growth of digital assets, starting from the inception of Bitcoin in 2009 into a 1 trillion market in 2024, underscores the momentum behind disruptive technologies and the global appetite for digital assets. This paper…

Applications · Statistics 2024-09-02 Zhengming Li , Jianxi Su , Maochao Xu , Jimmy Yuen

The information released to investors in financial markets has various forms. We refer to range information as information about the upper and lower bound which the payoff of a risky asset may reach in the future. This study develops…

Theoretical Economics · Economics 2026-01-14 Jianhao Su , Yanliang Zhang

A lack of financial access, which is often an issue in many central-city U.S. neighborhoods, can be linked to higher interest rates as well as negative health and psychological outcomes. A number of analyses of "banking deserts" have also…

General Economics · Economics 2022-03-08 Scott W. Hegerty

It is known that asset exchange models with symmetric interaction between agents show either a Gibbs/log-normal distribution of assets among the agents or condensation of the entire wealth in the hands of a single agent, depending upon the…

Physics and Society · Physics 2008-12-02 Sitabhra Sinha

In the past three decades, many stars orbiting about the supermassive black hole (SMBH) at the Galactic Centre (Sgr A*) were identified. Their orbital nature can give stringent constraints for the mass of the SMBH. In particular, the star…

Astrophysics of Galaxies · Physics 2022-10-24 Man Ho Chan , Chak Man Lee , Chi Wai Yu

This paper investigates the interplay between information diffusion in social networks and its impact on financial markets with an Agent-Based Model (ABM). Agents receive and exchange information about an observable stochastic component of…

General Economics · Economics 2024-12-24 Tommaso Di Francesco , Daniel Torren Peraire

In general, non-minimal models of the dark sector such as Dynamical Dark Matter posit the existence of an ensemble of individual dark components with differing masses, cosmological abundances, and couplings to the Standard Model. Perhaps…

High Energy Physics - Phenomenology · Physics 2016-04-20 Keith R. Dienes , Jacob Fennick , Jason Kumar , Brooks Thomas

In this paper, making use of recent statistical physics techniques and models, we address the specific role of randomness in financial markets, both at the micro and the macro level. In particular, we review some recent results obtained…

General Finance · Quantitative Finance 2014-10-31 Alessio Emanuele Biondo , Alessandro Pluchino , Andrea Rapisarda

A model of distribution of the wealth in a society based on the properties of complex networks has been proposed. The wealth is interpreted as a consequence of communication possibilities and proportional to the number of connections…

Physics and Society · Physics 2010-10-12 D. Lande , A. Snarskii , M. Zhenirovskyy

We employ a comprehensive data set and a variety of methods to provide evidence on the magnitude of large banks' funding advantage in Canada in addition to the extent to which market discipline exists across different securities issued by…

General Economics · Economics 2025-07-18 Mehdi Beyhaghi , Chris D'Souza , Gordon S. Roberts

Providing a measure of market risk is an important issue for investors and financial institutions. However, the existing models for this purpose are per definition symmetric. The current paper introduces an asymmetric capital asset pricing…

Pricing of Securities · Quantitative Finance 2024-05-07 Abdulnasser Hatemi-J

In this letter, we call attention to a gap in binaries in the Kuiper belt in the mass range between $\approx$10$^{19}$-10$^{20}$ kg, with a corresponding dearth in binaries between 4th and 5th absolute magnitude $H$. The low-mass end of the…

Earth and Planetary Astrophysics · Physics 2025-07-15 Wladimir Lyra

Cryptocurrencies are considered the latest innovation in finance with considerable impact across social, technological, and economic dimensions. This new class of financial assets has also motivated a myriad of scientific investigations…

Physics and Society · Physics 2023-03-31 Arthur A. B. Pessa , Matjaz Perc , Haroldo V. Ribeiro

In models with dynamical supersymmetry breaking in the hidden sector, the gaugino masses in the observable sector have been believed to be extremely suppressed (below 1 keV), unless there is a gauge singlet in the hidden sector with…

High Energy Physics - Phenomenology · Physics 2009-10-31 Gian F. Giudice , Markus A. Luty , Hitoshi Murayama , Riccardo Rattazzi