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We propose the extension of Fr\'{e}chet-Hoeffding copula bounds for circular data. The copula is a powerful tool for describing the dependency of random variables. In two dimensions, the Fr\'{e}chet-Hoeffding upper (lower) bound indicates…

Statistics Theory · Mathematics 2023-11-17 Hiroaki Ogata

In recent years, conditional copulas, that allow dependence between variables to vary according to the values of one or more covariates, have attracted increasing attention. In high dimension, vine copulas offer greater flexibility compared…

Methodology · Statistics 2021-09-24 Rosario Barone , Luciana Dalla Valle

A framework for quantifying dependence between random vectors is introduced. With the notion of a collapsing function, random vectors are summarized by single random variables, called collapsed random variables in the framework. Using this…

Methodology · Statistics 2018-01-12 Marius Hofert , Wayne Oldford , Avinash Prasad , Mu Zhu

A dependence measure for arbitrary type pairs of random variables is proposed and analyzed, which in the particular case where both random variables are continuous turns out to be a concordance measure. Also, a sample version of the…

Statistics Theory · Mathematics 2017-02-07 Arturo Erdely

We revisit the Kolmogorov-Smirnov and Cram\'er-von Mises goodness-of-fit (GoF) tests and propose a generalisation to identically distributed, but dependent univariate random variables. We show that the dependence leads to a reduction of the…

Statistical Finance · Quantitative Finance 2011-09-06 Remy Chicheportiche , Jean-Philippe Bouchaud

Independence and Conditional Independence (CI) are two fundamental concepts in probability and statistics, which can be applied to solve many central problems of statistical inference. There are many existing independence and CI measures…

Methodology · Statistics 2022-05-17 Jian Ma

In this paper, we introduce a ${\mathcal L}_2$ type test for testing mutual independence and banded dependence structure for high dimensional data. The test is constructed based on the pairwise distance covariance and it accounts for the…

Methodology · Statistics 2017-09-20 Shun Yao , Xianyang Zhang , Xiaofeng Shao

Asymmetry is an inherent property of bivariate associations and therefore must not be ignored. The currently applicable dependence measures mask the potential asymmetry of the underlying dependence structure by implicitly assuming that…

Applications · Statistics 2019-02-14 Robert R. Junker , Florian Griessenberger , Wolfgang Trutschnig

We study an unbiased estimator for the density of a sum of random variables that are simulated from a computer model. A numerical study on examples with copula dependence is conducted where the proposed estimator performs favourably in…

Statistics Theory · Mathematics 2018-09-19 Patrick J. Laub , Robert Salomone , Zdravko I. Botev

Uncertain information on input parameters of reliability models is usually modeled by considering these parameters as random, and described by marginal distributions and a dependence structure of these variables. In numerous real-world…

Applications · Statistics 2018-04-30 Nazih Benoumechiara , Bertrand Michel , Philippe Saint-Pierre , Nicolas Bousquet

This article proposes copula-based dependence quantification between multiple groups of random variables of possibly different sizes via the family of $Phi$-divergences. An axiomatic framework for this purpose is provided, after which we…

Statistics Theory · Mathematics 2023-02-28 Steven De Keyser , Irène Gijbels

All too often measuring statistical dependencies between financial time series is reduced to a linear correlation coefficient. However this may not capture all facets of reality. We study empirical dependencies of daily stock returns by…

Statistical Finance · Quantitative Finance 2017-09-01 Marcel Wollschläger , Rudi Schäfer

We introduce a new test procedure of independence in the framework of parametric copulas with unknown marginals. The method is based essentially on the dual representation of $\chi^2$-divergence on signed finite measures. The asymptotic…

Statistics Theory · Mathematics 2019-03-15 Salim Bouzebda , Amor Keziou

The estimation of dependencies between multiple variables is a central problem in the analysis of financial time series. A common approach is to express these dependencies in terms of a copula function. Typically the copula function is…

Machine Learning · Statistics 2013-07-02 José Miguel Hernández-Lobato , James Robert Lloyd , Daniel Hernández-Lobato

The empirical copula process plays a central role in the asymptotic analysis of many statistical procedures which are based on copulas or ranks. Among other applications, results regarding its weak convergence can be used to develop…

Statistics Theory · Mathematics 2014-11-24 Axel Bücher , Betina Berghaus , Stanislav Volgushev

This paper is concerned with testing and dating structural breaks in the dependence structure of multivariate time series. We consider a cumulative sum (CUSUM) type test for constant copula-based dependence measures, such as Spearman's rank…

Econometrics · Economics 2020-11-12 Florian Stark , Sven Otto

Handling highly dependent data is crucial in clinical trials, particularly in fields related to ophthalmology. Incorrectly specifying the dependency structure can lead to biased inferences. Traditionally, models rely on three fixed…

Methodology · Statistics 2025-09-30 Shuyi Liang , Takeshi Emura , Chang-Xing Ma , Yijing Xin , Xin-Wei Huang

This paper is concerned with test of the conditional independence. We first establish an equivalence between the conditional independence and the mutual independence. Based on the equivalence, we propose an index to measure the conditional…

Methodology · Statistics 2021-05-18 Zhanrui Cai , Runze Li , Yaowu Zhang

We study the dependence structure of market states by estimating empirical pairwise copulas of daily stock returns. We consider both original returns, which exhibit time-varying trends and volatilities, as well as locally normalized ones,…

Statistical Finance · Quantitative Finance 2015-09-30 Desislava Chetalova , Marcel Wollschläger , Rudi Schäfer

This paper introduces a copula-based model for independent but non-identically distributed data with heteroscedastic extremes marginal and changing tail dependence structures. We establish a unified framework for inference by proving the…

Methodology · Statistics 2025-02-25 Yifan Hu , Yanxi Hou