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Estimation of the covariance matrix has attracted a lot of attention of the statistical research community over the years, partially due to important applications such as Principal Component Analysis. However, frequently used empirical…

Statistics Theory · Mathematics 2018-06-19 Stanislav Minsker

In massive multiple-input multiple-output (MIMO) systems, the knowledge of the users' channel covariance matrix is crucial for minimum mean square error (MMSE) channel estimation in the uplink as well as it plays an important role in…

Information Theory · Computer Science 2022-06-07 Tianyu Yang , Mahdi Barzegar Khalilsarai , Saeid Haghighatshoar , Giuseppe Caire

A critical problem in the financial world deals with the management of risk, from regulatory risk to portfolio risk. Many such problems involve the analysis of securities modelled by complex dynamics that cannot be captured analytically,…

Quantum Physics · Physics 2025-04-03 Jeong Yu Han , Bin Cheng , Dinh-Long Vu , Patrick Rebentrost

A new wave of work on covariance cleaning and nonlinear shrinkage has delivered asymptotically optimal analytical solutions for large covariance matrices. The same framework has been generalized to empirical cross-covariance matrices, whose…

Statistical Finance · Quantitative Finance 2026-01-22 Efstratios Manolakis , Christian Bongiorno , Rosario Nunzio Mantegna

In many practical situations we would like to estimate the covariance matrix of a set of variables from an insufficient amount of data. More specifically, if we have a set of $N$ independent, identically distributed measurements of an $M$…

Probability · Mathematics 2010-10-05 Thomas L. Marzetta , Gabriel H. Tucci , Steven H. Simon

Modern bio-technologies have produced a vast amount of high-throughput data with the number of predictors far greater than the sample size. In order to identify more novel biomarkers and understand biological mechanisms, it is vital to…

Machine Learning · Statistics 2018-05-18 Kevin He , Jian Kang , Hyokyoung Grace Hong , Ji Zhu , Yanming Li , Huazhen Lin , Han Xu , Yi Li

Data analysis in cosmology requires reliable covariance matrices. Covariance matrices derived from numerical simulations often require a very large number of realizations to be accurate. When a theoretical model for the covariance matrix…

Cosmology and Nongalactic Astrophysics · Physics 2022-12-21 Alessandra Fumagalli , Matteo Biagetti , Alexandro Saro , Emiliano Sefusatti , Anže Slosar , Pierluigi Monaco , Alfonso Veropalumbo

The expanding number of assets offers more opportunities for investors but poses new challenges for modern portfolio management (PM). As a central plank of PM, portfolio selection by expected utility maximization (EUM) faces uncontrollable…

Applications · Statistics 2022-10-24 Jin-Hong Du , Yifeng Guo , Xueqin Wang

The major sources of abundant data are constantly expanding with the available data collection methodologies in various applications - medical, insurance, scientific, bio-informatics and business. These data sets may be distributed…

Distributed, Parallel, and Cluster Computing · Computer Science 2016-06-24 Aruna Govada , Sanjay K. Sahay

A highly popular regularized (shrinkage) covariance matrix estimator is the shrinkage sample covariance matrix (SCM) which shares the same set of eigenvectors as the SCM but shrinks its eigenvalues toward the grand mean of the eigenvalues…

Methodology · Statistics 2020-10-29 Esa Ollila , Daniel P. Palomar , Frédéric Pascal

In this paper, we consider the interference rejection combining (IRC) receiver, which improves the cell-edge user throughput via suppressing inter-cell interference and requires estimating the covariance matrix including the inter-cell…

Information Theory · Computer Science 2023-06-21 Jing Qian , Juening Jin , Hao Wang

In this paper, we develop an implementation of cross-validation for penalized linear mixed models. While these models have been proposed for correlated high-dimensional data, the current literature implicitly assumes that tuning parameter…

Methodology · Statistics 2025-03-19 Tabitha K. Peter , Patrick J. Breheny

Online nonparametric estimators are gaining popularity due to their efficient computation and competitive generalization abilities. An important example includes variants of stochastic gradient descent. These algorithms often take one…

Statistics Theory · Mathematics 2025-07-08 Tianyu Zhang , Jing Lei

Estimating a sparse covariance matrix is a fundamental problem in high-dimensional statistics. However, thresholding methods developed for independent data are generally not directly applicable to high-dimensional time series, where…

Methodology · Statistics 2026-05-15 Wenhao Zhang , Zhaoxing Gao

Portfolio optimization constitutes a cornerstone of risk management by quantifying the risk-return trade-off. Since it inherently depends on accurate parameter estimation under conditions of future uncertainty, the selection of appropriate…

Portfolio Management · Quantitative Finance 2025-08-15 Juchan Kim , Inwoo Tae , Yongjae Lee

In this study, we address the challenge of portfolio optimization, a critical aspect of managing investment risks and maximizing returns. The mean-CVaR portfolio is considered a promising method due to today's unstable financial market…

Portfolio Management · Quantitative Finance 2023-09-22 Kei Nakagawa , Masaya Abe , Seiichi Kuroki

Large datasets are often affected by cell-wise outliers in the form of missing or erroneous data. However, discarding any samples containing outliers may result in a dataset that is too small to accurately estimate the covariance matrix.…

Statistics Theory · Mathematics 2023-11-13 Karim Lounici , Grégoire Pacreau

With the increasing size of today's data sets, finding the right parameter configuration in model selection via cross-validation can be an extremely time-consuming task. In this paper we propose an improved cross-validation procedure which…

Machine Learning · Computer Science 2016-02-05 Tammo Krueger , Danny Panknin , Mikio Braun

Integer variables allow the treatment of some portfolio optimization problems in a more realistic way and introduce the possibility of adding some natural features to the model. We propose an algebraic approach to maximize the expected…

Optimization and Control · Mathematics 2010-04-07 F. Castro , J. Gago , I. Hartillo , J. Puerto , J. M. Ucha

In high-dimensional data analysis, bi-level sparsity is often assumed when covariates function group-wisely and sparsity can appear either at the group level or within certain groups. In such cases, an ideal model should be able to…

Methodology · Statistics 2021-09-14 Bin Luo , Xiaoli Gao
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