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Related papers: Credit Risk Analysis using Quantum Computers

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Quantum algorithms for scientific computing require modules implementing fundamental functions, such as the square root, the logarithm, and others. We require algorithms that have a well-controlled numerical error, that are uniformly…

Quantum Physics · Physics 2016-02-02 Mihir K. Bhaskar , Stuart Hadfield , Anargyros Papageorgiou , Iasonas Petras

Quantum computing threatens to undermine classical cryptography by breaking widely deployed encryption and signature schemes. This paper examines enterprise readiness for quantum-safe cybersecurity through three perspectives: (i) the…

Cryptography and Security · Computer Science 2025-09-03 Tran Duc Le , Phuc Hao Do , Truong Duy Dinh , Van Dai Pham

Quantum computing has the potential to revolutionize multiple fields by solving complex problems that can not be solved in reasonable time with current classical computers. Nevertheless, the development of quantum computers is still in its…

In this paper we explore the use of quantum machine learning (QML) applied to credit scoring for small and medium-sized enterprises (SME). A quantum/classical hybrid approach has been used with several models, activation functions, epochs…

Financial derivatives are contracts that can have a complex payoff dependent upon underlying benchmark assets. In this work, we present a quantum algorithm for the Monte Carlo pricing of financial derivatives. We show how the relevant…

Quantum Physics · Physics 2018-08-23 Patrick Rebentrost , Brajesh Gupt , Thomas R. Bromley

In this abstract we study the resource consumption of quantum programs. Specifically, we focus on the expected runtime of programs and, inspired by recent methods for probabilistic programs, we develop a calculus \`a la weakest precondition…

Logic in Computer Science · Computer Science 2020-01-01 Federico Olmedo , Alejandro Díaz-Caro

Quantum computers are expected to surpass the computational capabilities of classical computers during this decade and have transformative impact on numerous industry sectors, particularly finance. In fact, finance is estimated to be the…

Quantum Physics · Physics 2022-06-29 Dylan Herman , Cody Googin , Xiaoyuan Liu , Alexey Galda , Ilya Safro , Yue Sun , Marco Pistoia , Yuri Alexeev

Quantum computing could impact various industries, with the automotive industry with many computational challenges, from optimizing supply chains and manufacturing to vehicle engineering, being particularly promising. This chapter…

Quantum computing for the biological sciences is an area of rapidly growing interest, but specific industrial applications remain elusive. Quantum Markov chain Monte Carlo has been proposed as a method for accelerating a broad class of…

Quantum phase estimation is one of the key algorithms in the field of quantum computing, but up until now, only approximate expressions have been derived for the probability of error. We revisit these derivations, and find that by ensuring…

Quantum Physics · Physics 2012-02-13 James M. Chappell , Max A. Lohe , Lorenz von Smekal , Azhar Iqbal , Derek Abbott

Quantum computing has made considerable progress in recent years in both software and hardware. But to unlock the power of quantum computers in solving problems that cannot be efficiently solved classically, quantum computing at scale is…

Quantum Physics · Physics 2024-08-21 Nils Quetschlich , Mathias Soeken , Prakash Murali , Robert Wille

Computer simulation of observable phenomena is an indispensable tool for engineering new technology, understanding the natural world, and studying human society. Yet the most interesting systems are often complex, such that simulating their…

Quantum Physics · Physics 2017-08-23 Matthew S. Palsson , Mile Gu , Joseph Ho , Howard M. Wiseman , G. J. Pryde

This article outlines our point of view regarding the applicability, state-of-the-art, and potential of quantum computing for problems in finance. We provide an introduction to quantum computing as well as a survey on problem classes in…

The quantum information science community has seen a surge in new algorithmic developments across scientific domains. These developments have demonstrated polynomial or better improvements in computational and space complexity,…

Quantum Physics · Physics 2022-05-03 Vincent R. Pascuzzi , Ning Bao , Ang Li

Quantum computing hardware has grown sufficiently complex that it often can no longer be simulated by classical computers, but its computational power remains limited by errors. These errors corrupt the results of quantum algorithms, and it…

The 2008 mortgage crisis is an example of an extreme event. Extreme value theory tries to estimate such tail risks. Modern finance practitioners prefer Expected Shortfall based risk metrics (which capture tail risk) over traditional…

Risk Management · Quantitative Finance 2020-09-16 Samudra Dasgupta , Arnab Banerjee

Recently Quantum Computation has generated a lot of interest due to the discovery of a quantum algorithm which can factor large numbers in polynomial time. The usefulness of a quantum com puter is limited by the effect of errors. Simulation…

Quantum Physics · Physics 2007-05-23 Kevin M. Obenland , Alvin M. Despain

Quantum bits have technological imperfections. Additionally, the capacity of a component that can be implemented feasibly is limited. Therefore, distributed quantum computation is required to scale up quantum computers. This dissertation…

Quantum Physics · Physics 2017-04-11 Shota Nagayama

Reliable resource estimation and benchmarking of quantum algorithms is a critical component of the development cycle of viable quantum applications for quantum computers of all sizes. Determining critical resource bottlenecks in algorithms,…

Quantum Physics · Physics 2019-02-22 Alexandru Paler , Daniel Herr , Simon J. Devitt

Quantum Machine Learning (QML) offers a new paradigm for addressing complex financial problems intractable for classical methods. This work specifically tackles the challenge of few-shot credit risk assessment, a critical issue in inclusive…