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We study stochastic differential equations with jumps with no diffusion part. We provide some basic stochastic characterizations of solutions of the corresponding non-local partial differential equations and prove the Harnack inequality for…

Probability · Mathematics 2015-10-06 Ari Arapostathis , Anup Biswas , Luis Caffarelli

The asymptotic variance is an important criterion to evaluate the performance of Markov chains, especially for the central limit theorems. We give the variational formulas for the asymptotic variance of discrete-time (non-reversible) Markov…

Probability · Mathematics 2020-12-29 Lu-Jing Huang , Yong-Hua Mao

The reduction of a continuous Markov process with multiple metastable states to a discrete rate process is investigated in the presence of slow time dependent parameters such as periodic external forces or slowly fluctuating barrier…

Statistical Mechanics · Physics 2009-11-10 Peter Talkner , Jerzy Luczka

A particular type of random dynamical processes is considered, in which the stochasticity is introduced through randomly fluctuating parameters. A method of local multipliers is developed for treating the local stability of such dynamical…

Disordered Systems and Neural Networks · Physics 2015-06-25 V. I. Yukalov

We study the existence of densities for distributions of piecewise deterministic Markov processes. We also obtain relationships between invariant densities of the continuous time process and that of the process observed at jump times. In…

Probability · Mathematics 2020-06-03 Piotr Gwiżdż , Marta Tyran-Kamińska

In the paper we consider some piecewise deterministic Markov process whose continuous component evolves according to semiflows, which are switched at the jump times of a Poisson process. The associated Markov chain describes the states of…

Probability · Mathematics 2023-10-06 Dawid Czapla , Sander C. Hille , Katarzyna Horbacz , Hanna Wojewódka-Ściążko

The rate of strong convergence is investigated for an approximation scheme for a class of stochastic differential equations driven by a time-changed Brownian motion, where the random time changes $(E_t)_{t\ge 0}$ considered include the…

Probability · Mathematics 2020-03-02 Sixian Jin , Kei Kobayashi

We analyze a solution method for minimization problems over a space of $\mathbb{R}^d$-valued functions of bounded variation on an interval $I$. The presented method relies on piecewise constant iterates. In each iteration the algorithm…

Optimization and Control · Mathematics 2021-06-02 Philip Trautmann , Daniel Walter

We consider stochastic differential systems driven by a Brownian motion and a Poisson point measure where the intensity measure of jumps depends on the solution. This behavior is natural for several physical models (such as Boltzmann…

Probability · Mathematics 2018-09-25 Vlad Bally , Dan Goreac , Victor Rabiet

We consider stochastic volatility models using piecewise constant parameters. We suggest a hybrid optimization algorithm for fitting the models to a volatility surface and provide some numerical results. Finally, we provide an outlook on…

Pricing of Securities · Quantitative Finance 2010-10-07 Wolfgang Putschoegl

In this paper, a pricing formula for volatility swaps is delivered when the underlying asset follows the stochastic volatility model with jumps and stochastic intensity. By using Feynman-Kac theorem, a partial integral differential equation…

Pricing of Securities · Quantitative Finance 2018-05-21 Ben-zhang Yang , Jia Yue , Ming-hui Wang , Nan-jing Huang

We consider a process $X_t$, which is observed on a finite time interval $[0,T]$, at discrete times $0,\Delta_n,2\Delta_n,\ldots.$ This process is an It\^{o} semimartingale with stochastic volatility $\sigma_t^2$. Assuming that $X$ has…

Statistical Finance · Quantitative Finance 2010-10-26 Jean Jacod , Viktor Todorov

It is well-known that stable and unstable manifolds strongly influence fluid motion in unsteady flows. These emanate from hyperbolic trajectories, with the structures moving nonautonomously in time. The local directions of emanation at each…

Dynamical Systems · Mathematics 2016-04-20 Sanjeeva Balasuriya

This paper proposes a physical-statistical modeling approach for spatio-temporal data arising from a class of stochastic convection-diffusion processes. Such processes are widely found in scientific and engineering applications where…

Applications · Statistics 2020-08-07 Xiao Liu , Kyongmin Yeo , Siyuan Lu

Consider compound Poisson processes with negative drift and no negative jumps, which converge to some spectrally positive L\'evy process with non-zero L\'evy measure. In this paper we study the asymptotic behavior of the local time process,…

Probability · Mathematics 2013-05-24 Amaury Lambert , Florian Simatos

We propose two main applications of Gy\"{o}ngy (1986)'s construction of inhomogeneous Markovian stochastic differential equations that mimick the one-dimensional marginals of continuous It\^{o} processes. Firstly, we prove Dupire (1994) and…

Probability · Mathematics 2008-12-10 Marc Atlan

This work develops change-point methods for statistics of high-frequency data. The main interest is in the volatility of an It\^{o} semi-martingale, the latter being discretely observed over a fixed time horizon. We construct a…

Statistics Theory · Mathematics 2016-01-13 Markus Bibinger , Moritz Jirak , Mathias Vetter

This paper is devoted to studying the averaging principle for stochastic differential equations with slow and fast time-scales, where the drift coefficients satisfy local Lipschitz conditions with respect to the slow and fast variables, and…

Probability · Mathematics 2020-08-19 Wei Liu , Michael Röckner , Xiaobin Sun , Yingchao Xie

In this manuscript we investigate the existence and uniqueness of an impulsive fractional dynamic equation on time scales involving non-local initial condition with help of Caputo nabla derivative. The existency is based on the Scheafer's…

Analysis of PDEs · Mathematics 2022-07-05 Bikash Gogoi , Bipan Hazarika , Utpal Kumar Saha

We consider a discrete-time process adapted to some filtration which lives on a (typically countable) subset of $\mathbb{R}^d$, $d\geq 2$. For this process, we assume that it has uniformly bounded jumps, is uniformly elliptic (can advance…

Probability · Mathematics 2014-04-28 Mikhail Menshikov , Serguei Popov