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Artificial intelligence is transforming financial investment decision-making frameworks, with deep reinforcement learning demonstrating substantial potential in robo-advisory applications. This paper addresses the limitations of traditional…

Portfolio Management · Quantitative Finance 2025-02-24 Gang Huang , Xiaohua Zhou , Qingyang Song

Stochastic network optimization problems entail finding resource allocation policies that are optimum on an average but must be designed in an online fashion. Such problems are ubiquitous in communication networks, where resources such as…

Optimization and Control · Mathematics 2018-05-09 Amrit S. Bedi , Ketan Rajawat

Motivated by practical applications, we explore the constrained multi-period mean-variance portfolio selection problem within a market characterized by a dynamic factor model. This model captures predictability in asset returns driven by…

Portfolio Management · Quantitative Finance 2025-02-26 Jianjun Gao , Chengneng Jin , Yun Shi , Xiangyu Cui

A new method for stochastic control based on neural networks and using randomisation of discrete random variables is proposed and applied to optimal stopping time problems. The method models directly the policy and does not need the…

Computational Finance · Quantitative Finance 2021-01-11 Thomas Deschatre , Joseph Mikael

This paper is about optimally controlling skill-based queueing systems such as data centers, cloud computing networks, and service systems. By means of a case study using a real-world data set, we investigate the practical implementation of…

Machine Learning · Computer Science 2025-06-26 Sanne van Kempen , Jaron Sanders , Fiona Sloothaak , Maarten G. Wolf

Optimal resource allocation in wireless systems still stands as a rather challenging task due to the inherent statistical characteristics of channel fading. On the one hand, minimax/outage-optimal policies are often overconservative and…

Signal Processing · Electrical Eng. & Systems 2024-01-31 Gokberk Yaylali , Dionysios S. Kalogerias

The discrimination of quantum processes, including quantum states, channels, and superchannels, is a fundamental topic in quantum information theory. It is often of interest to analyze the optimal performance that can be achieved when…

Quantum Physics · Physics 2021-12-15 Kenji Nakahira

In this paper we propose the notion of dynamic deviation measure, as a dynamic time-consistent extension of the (static) notion of deviation measure. To achieve time-consistency we require that a dynamic deviation measures satisfies a…

Probability · Mathematics 2016-04-28 Martijn Pistorius , Mitja Stadje

We study the problem of computing deterministic optimal policies for constrained Markov decision processes (MDPs) with continuous state and action spaces, which are widely encountered in constrained dynamical systems. Designing…

Artificial Intelligence · Computer Science 2025-04-07 Sergio Rozada , Dongsheng Ding , Antonio G. Marques , Alejandro Ribeiro

Dynamic treatment regimes are treatment allocations tailored to heterogeneous individuals. The optimal dynamic treatment regime is a regime that maximizes counterfactual welfare. We introduce a framework in which we can partially learn the…

Econometrics · Economics 2021-07-14 Sukjin Han

This paper considers risk-sensitive model predictive control for stochastic systems with a decision-dependent distribution. This class of systems is commonly found in human-robot interaction scenarios. We derive computationally tractable…

Optimization and Control · Mathematics 2025-06-02 Renzi Wang , Mathijs Schuurmans , Panagiotis Patrinos

Drones have been considered as an alternative means of package delivery to reduce the delivery cost and time. Due to the battery limitations, the drones are best suited for last-mile delivery, i.e., the delivery from the package…

Robotics · Computer Science 2021-03-09 Behzad Khamidehi , Majid Raeis , Elvino S. Sousa

We are interested in risk constraints for infinite horizon discrete time Markov decision processes (MDPs). Starting with average reward MDPs, we show that increasing concave stochastic dominance constraints on the empirical distribution of…

Optimization and Control · Mathematics 2012-06-21 William B. Haskell , Rahul Jain

We consider a discrete-time dividend payout problem with risk sensitive shareholders. It is assumed that they are equipped with a risk aversion coefficient and construct their discounted payoff with the help of the exponential premium…

Probability · Mathematics 2017-03-08 Nicole Bäuerle , Anna Jaśkiewicz

In this paper we investigate a new class of growth rate maximization problems based on impulse control strategies such that the average number of trades per time unit does not exceed a fixed level. Moreover, we include proportional…

Portfolio Management · Quantitative Finance 2013-06-10 Sören Christensen , Marc Wittlinger

In this paper, we present a simple microeconomic model with linear continuous-time dynamics that describes a production-inventory system with debt repayment. This model is formulated in terms of optimal control and its exact solutions are…

Optimization and Control · Mathematics 2012-06-01 Ekaterina Tuchnolobova , Victor Terletskiy , Olga Vasilieva

We study adaptive two-sided assortment optimization for revenue maximization in choice-based matching platforms. The platform has two sides of agents, an initiating side, and a responding side. The decision-maker sequentially selects agents…

Computer Science and Game Theory · Computer Science 2025-08-13 Mohammadreza Ahmadnejadsaein , Omar El Housni

Consider a species whose population density solves the steady diffusive logistic equation in a heterogeneous environment modeled with the help of a spatially non constant coefficient standing for a resources distribution in a given box. We…

Analysis of PDEs · Mathematics 2018-07-25 Idriss Mazari , Grégoire Nadin , Yannick Privat

Dynamic scheduling is an important problem in applications from queuing to wireless networks. It addresses how to choose an item among multiple scheduling items in each timestep to achieve a long-term goal. Conventional approaches for…

Machine Learning · Computer Science 2022-01-26 Hyun-Suk Lee

This work initiates research into the problem of determining an optimal investment strategy for investors with different attitudes towards the trade-offs of risk and profit. The probability distribution of the return values of the stocks…

Computational Engineering, Finance, and Science · Computer Science 2007-05-23 Ming-Yang Kao , Andreas Nolte , Stephen R. Tate