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This work develops a comprehensive mathematical theory for a class of stochastic processes whose local regularity adapts dynamically in response to their own state. We first introduce and rigorously analyze a time-varying fractional…

Probability · Mathematics 2025-12-22 Jiahao Jiang

Fractional Brownian motion (fBm) has been used as a theoretical framework to study real time series appearing in diverse scientific fields. Because its intrinsic non-stationarity and long range dependence, its characterization via the Hurst…

Data Analysis, Statistics and Probability · Physics 2015-05-13 Lucas Lacasa , Bartolo Luque , Jordi Luque , Juan Carlos Nuno

Operator fractional Brownian fields (OFBFs) are Gaussian, stationary-increment vector random fields that satisfy the operator self-similarity relation {X(c^{E}t)}_{t in R^m} L= {c^{H}X(t)}_{t in R^m}. We establish a general harmonizable…

Probability · Mathematics 2014-05-26 Changryong Baek , Gustavo Didier , Vladas Pipiras

The analysis of local minima in time series data and random landscapes is essential across numerous scientific disciplines, offering critical insights into system dynamics. Recently, Kundu, Majumdar, and Schehr derived the exact…

Statistical Mechanics · Physics 2026-03-19 Maxim Dolgushev , Olivier Bénichou

Diffusion processes driven by Fractional Brownian motion (FBM) have often been considered in modeling stock price dynamics in order to capture the long range dependence of stock price observed in reality. Option prices for such models had…

Statistics Theory · Mathematics 2024-05-29 Ananya Lahiri , Rituparna Sen

Motivated by empirical evidence from the joint behavior of realized volatility time series, we propose to model the joint dynamics of log-volatilities using a multivariate fractional Ornstein-Uhlenbeck process. This model is a multivariate…

Statistical Finance · Quantitative Finance 2026-05-19 Ranieri Dugo , Giacomo Giorgio , Paolo Pigato

Rough volatility models have gained considerable interest in the quantitative finance community in recent years. In this paradigm, the volatility of the asset price is driven by a fractional Brownian motion with a small value for the Hurst…

Statistics Theory · Mathematics 2024-02-16 Carsten Chong , Marc Hoffmann , Yanghui Liu , Mathieu Rosenbaum , Grégoire Szymanski

In this article, we study high-dimensional behavior of empirical spectral distributions $\{L_N(t), t\in[0,T]\}$ for a class of $N\times N$ symmetric/Hermitian random matrices, whose entries are generated from the solution of stochastic…

Probability · Mathematics 2020-08-12 Jian Song , Jianfeng Yao , Wangjun Yuan

Let $\{b_H(t),t\in\mathbb{R}\}$ be the fractional Brownian motion with parameter $0<H<1$. When $1/2<H$, we consider diffusion equations of the type \[X(t)=c+\int_0^t\sigma\bigl(X(u)\bigr)\mathrm {d}b_H(u)+\int _0^t\mu\bigl(X(u)\bigr)\mathrm…

Probability · Mathematics 2008-12-18 Corinne Berzin , José R. León

This paper proposes consistent and asymptotically Gaussian estimators for the drift, the diffusion coefficient and the Hurst exponent of the discretely observed fractional Ornstein-Uhlenbeck process. For the estimation of the drift, the…

Computation · Statistics 2011-12-19 Alexandre Brouste , Stefano M. Iacus

Despite the success of fractional Brownian motion (fBm) in modeling systems that exhibit anomalous diffusion due to temporal correlations, recent experimental and theoretical studies highlight the necessity for a more comprehensive approach…

Statistical Mechanics · Physics 2024-07-02 Adrian Pacheco-Pozo , Diego Krapf

For equidistant discretizations of fractional Brownian motion (fBm), the probabilities of ordinal patterns of order d=2 are monotonically related to the Hurst parameter H. By plugging the sample relative frequency of those patterns…

Probability · Mathematics 2008-01-11 Mathieu Sinn , Karsten Keller

This paper addresses the problem of estimating drift parameter of the Ornstein - Uhlenbeck type process, driven by the sum of independent standard and fractional Brownian motions. The maximum likelihood estimator is shown to be consistent…

Probability · Mathematics 2018-08-03 Pavel Chigansky , Marina Kleptsyna

The Rosenblatt process is a self-similar non-Gaussian process which lives in second Wiener chaos, and occurs as the limit of correlated random sequences in so-called \textquotedblleft non-central limit theorems\textquotedblright. It shares…

Probability · Mathematics 2010-09-17 Alexandra Chronopoulou , Ciprian Tudor , Frederi Viens

In this paper, we will evaluate integrals that define the conditional expectation, variance and characteristic function of stochastic processes with respect to fractional Brownian motion (fBm) for all relevant Hurst indices, i.e. $H \in…

Computational Finance · Quantitative Finance 2022-03-14 Fei Gao , Shuaiqiang Liu , Cornelis W. Oosterlee , Nico M. Temme

We propose a rate optimal estimator for the linear regression model on network data with interacted (unobservable) individual effects. The estimator achieves a faster rate of convergence $N$ compared to the standard estimators' $\sqrt{N}$…

Econometrics · Economics 2023-04-26 Yassine Sbai Sassi

The paper gives a new representation for the fractional Brownian motion that can be applied to simulate this self-similar random process in continuous time. Such a representation is based on the spectral form of mathematical description and…

Probability · Mathematics 2025-01-28 Konstantin A. Rybakov

In this article we study the asymptotic behaviour of the realized quadratic variation of a process $\int_{0}^{t}u_{s}dY_{s}^{(1)}$% , where $u$ is a $\beta$-H\"older continuous process with $\beta > 1-H$ and…

Probability · Mathematics 2018-02-28 Salwa Bajja , Khalifa Es-Sebaiy , Lauri Viitasaari

Hurst exponent is an important feature summarizing the noisy high-frequency data when the inherent scaling pattern cannot be described by standard statistical models. In this paper, we study the robust estimation of Hurst exponent based on…

Methodology · Statistics 2017-09-27 Chen Feng , Brani Vidakovic

Closed-form expressions, parametrized by the Hurst exponent $H$ and the length $n$ of a time series, are derived for paths of fractional Brownian motion (fBm) and fractional Gaussian noise (fGn) in the $\mathcal{A}-\mathcal{T}$ plane,…

Data Analysis, Statistics and Probability · Physics 2020-01-01 Mariusz Tarnopolski
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