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Gradient-based methods for optimisation of objectives in stochastic settings with unknown or intractable dynamics require estimators of derivatives. We derive an objective that, under automatic differentiation, produces low-variance…

Machine Learning · Computer Science 2019-09-25 Gregory Farquhar , Shimon Whiteson , Jakob Foerster

Financial market forecasting remains a formidable challenge despite the surge in computational capabilities and machine learning advancements. While numerous studies have underscored the precision of computer-generated market predictions,…

Computational Finance · Quantitative Finance 2023-11-16 Reza Yarbakhsh , Mahdieh Soleymani Baghshah , Hamidreza Karimaghaie

We propose a sequential Markov chain Monte Carlo (SMCMC) algorithm to sample from a sequence of probability distributions, corresponding to posterior distributions at different times in on-line applications. SMCMC proceeds as in usual MCMC…

Statistics Theory · Mathematics 2013-08-20 Yun Yang , David B. Dunson

High-frequency trading requires fast data processing without information lags for precise stock price forecasting. This high-paced stock price forecasting is usually based on vectors that need to be treated as sequential and…

Machine Learning · Computer Science 2023-05-16 Adamantios Ntakaris , Moncef Gabbouj , Juho Kanniainen

This paper presents a novel machine learning approach to GDP prediction that incorporates volatility as a model weight. The proposed method is specifically designed to identify and select the most relevant macroeconomic variables for…

General Economics · Economics 2023-07-12 Ali Lashgari

Machine-learned predictors, although achieving very good results for inputs resembling training data, cannot possibly provide perfect predictions in all situations. Still, decision-making systems that are based on such predictors need not…

Data Structures and Algorithms · Computer Science 2023-04-07 Antonios Antoniadis , Christian Coester , Marek Elias , Adam Polak , Bertrand Simon

Bayesian averaging over classification models allows the uncertainty of classification outcomes to be evaluated, which is of crucial importance for making reliable decisions in applications such as financial in which risks have to be…

We introduce a fast and flexible Machine Learning (ML) framework for pricing derivative products whose valuation depends on volatility surfaces. By parameterizing volatility surfaces with the 5-parameter stochastic volatility inspired (SVI)…

Pricing of Securities · Quantitative Finance 2025-05-30 Lijie Ding , Egang Lu , Kin Cheung

We propose a Markov Chain Monte Carlo (MCMC) algorithm based on Gibbs sampling with parallel tempering to solve nonlinear optimal control problems. The algorithm is applicable to nonlinear systems with dynamics that can be approximately…

Optimization and Control · Mathematics 2024-07-10 João Hespanha , Kerem Camsari

Forecasting the movements of stock prices is one the most challenging problems in financial markets analysis. In this paper, we use Machine Learning (ML) algorithms for the prediction of future price movements using limit order book data.…

Computational Engineering, Finance, and Science · Computer Science 2019-04-09 Paraskevi Nousi , Avraam Tsantekidis , Nikolaos Passalis , Adamantios Ntakaris , Juho Kanniainen , Anastasios Tefas , Moncef Gabbouj , Alexandros Iosifidis

Bayesian inference of Gibbs random fields (GRFs) is often referred to as a doubly intractable problem, since the likelihood function is intractable. The exploration of the posterior distribution of such models is typically carried out with…

Computation · Statistics 2017-10-16 Aidan Boland , Nial Friel , Florian Maire

Bipartite networks serve as highly suitable models to represent systems involving interactions between two distinct types of entities, such as online dating platforms, job search services, or ecommerce websites. These models can be…

Social and Information Networks · Computer Science 2025-02-11 Şükrü Demir İnan Özer , Günce Keziban Orman , Vincent Labatut

Switching dynamical systems are an expressive model class for the analysis of time-series data. As in many fields within the natural and engineering sciences, the systems under study typically evolve continuously in time, it is natural to…

Machine Learning · Computer Science 2022-05-19 Lukas Köhs , Bastian Alt , Heinz Koeppl

In business analysis, providing effective recommendations is essential for enhancing company profits. The utilization of graph-based structures, such as bipartite graphs, has gained popularity for their ability to analyze complex data…

Information Retrieval · Computer Science 2025-01-14 Jiayang Wu , Wensheng Gan , Huashen Lu , Philip S. Yu

In this article we consider computing expectations w.r.t.~probability laws associated to a certain class of stochastic systems. In order to achieve such a task, one must not only resort to numerical approximation of the expectation, but…

Computation · Statistics 2017-10-30 Ajay Jasra , Kengo Kamatani , Kody Law , Yan Zhou

The literature on using yield curves to forecast recessions customarily uses 10-year--three-month Treasury yield spread without verification on the pair selection. This study investigates whether the predictive ability of spread can be…

Econometrics · Economics 2023-10-19 Jaehyuk Choi , Desheng Ge , Kyu Ho Kang , Sungbin Sohn

This paper presents an adaptive tracking model predictive control (MPC) scheme to control unknown nonlinear systems based on an adaptively estimated linear model. The model is determined based on linear system identification using a moving…

Systems and Control · Electrical Eng. & Systems 2024-05-17 Tatiana Strelnikova , Johannes Köhler , Julian Berberich

We present new Bayesian methodology for consumer sales forecasting. With a focus on multi-step ahead forecasting of daily sales of many supermarket items, we adapt dynamic count mixture models to forecast individual customer transactions,…

Methodology · Statistics 2022-06-07 Lindsay R. Berry , Paul Helman , Mike West

Binary options trading is often marketed as a field where predictive models can generate consistent profits. However, the inherent randomness and stochastic nature of binary options make price movements highly unpredictable, posing…

Accurate electrical load forecasting is crucial for optimizing power system operations, planning, and management. As power systems become increasingly complex, traditional forecasting methods may fail to capture the intricate patterns and…

Systems and Control · Electrical Eng. & Systems 2024-11-26 Elias Raffoul , Mingjian Tuo , Cunzhi Zhao , Tianxia Zhao , Meng Ling , Xingpeng Li
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