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One of the key performance measures in queueing systems is the exponential decay rate of the steady-state tail probabilities of the queue lengths. It is known that if a corresponding fluid model is stable and the stochastic primitives have…

Probability · Mathematics 2007-05-23 David Gamarnik , Sean Meyn

We provide the exact large-time behavior of the tail distribution of the extinction time of a self-similar fragmentation process with a negative index of self-similarity, improving thus a previous result on the logarithmic asymptotic…

Probability · Mathematics 2021-11-16 Bénédicte Haas

We consider a family of multivariate distributions with heavy-tailed margins and the type I elliptical dependence structure. This class of risks is common in finance, insurance, environmental and biostatistic applications. We obtain the…

Statistics Theory · Mathematics 2024-05-01 Kai Wang , Chengxiu Ling

We prove several necessary and sufficient conditions for the existence of (smooth) transition probability densities for L\'evy processes and isotropic L\'evy processes. Under some mild conditions on the characteristic exponent we calculate…

Probability · Mathematics 2014-07-31 V. Knopova , R. L. Schilling

We use the martingale convergence method to get the weak convergence theorem on general functionals of partial sums of independent heavy-tailed random variables. The limiting process is the stochastic integral driven by $\alpha-$stable…

Statistics Theory · Mathematics 2014-11-18 Zhengyan Lin , Hanchao Wang

We derive the exact asymptotics of $P(\sup_{u\leq t}X(u) > x)$ if $x$ and $t$ tend to infinity with $x/t$ constant, for a L\'{e}vy process $X$ that admits exponential moments. The proof is based on a renewal argument and a two-dimensional…

Probability · Mathematics 2009-04-26 Zbigniew Palmowski , Martijn Pistorius

In this paper we obtain new limit theorems for variational functionals of high frequency observations of stationary increments L\'evy driven moving averages. We will see that the asymptotic behaviour of such functionals heavily depends on…

Probability · Mathematics 2018-06-28 Andreas Basse-O'Connor , Claudio Heinrich , Mark Podolskij

We consider Stochastic Volatility processes with heavy tails and possible long memory in volatility. We study the limiting conditional distribution of future events given that some present or past event was extreme (i.e. above a level which…

Statistics Theory · Mathematics 2011-08-17 Rafał Kulik , Philippe Soulier

Let $L = (L(t))_{t\geq 0}$ be a multivariate L\'evy process with L\'evy measure $\nu(dy) = \exp(-f(|y|)) dy$ for a smoothly regularly varying function $f$ of index $\alpha>1$. The process $L$ is renormalized as $X^\varepsilon(t) =…

Probability · Mathematics 2025-06-02 Michael A. Högele , Torsten Wetzel

We consider a general d-dimensional Levy-type process with killing. Combining the classical Dyson series approach with a novel polynomial expansion of the generator A(t) of the Levy-type process, we derive a family of asymptotic…

Computational Finance · Quantitative Finance 2014-12-01 Matthew Lorig , Stefano Pagliarani , Andrea Pascucci

Small-space and large-time estimates and asymptotic expansion of the distribution function and (the derivatives of) the density function of hitting times of points for symmetric L\'evy processes are studied. The L\'evy measure is assumed to…

Probability · Mathematics 2017-02-15 Tomasz Juszczyszyn , Mateusz Kwaśnicki

We consider a L\'evy process that starts from $x<0$ and conditioned on having a positive maximum. When Cram\'er's condition holds, we provide two weak limit theorems as $x\to -\infty$ for the law of the (two-sided) path shifted at the first…

Probability · Mathematics 2011-04-26 Matyas Barczy , Jean Bertoin

Motivated by the study of the time evolution of random dynamical systems arising in a vast variety of domains --- ranging from physics to ecology ---, we establish conditions for the occurrence of a non-trivial asymptotic behaviour for…

Probability · Mathematics 2014-07-15 Vladimir Belitsky , Mikhail Menshikov , Dimitri Petritis , Marina Vachkovskaia

Exponential L\'evy processes can be used to model the evolution of various financial variables such as FX rates, stock prices, etc. Considerable efforts have been devoted to pricing derivatives written on underliers governed by such…

Pricing of Securities · Quantitative Finance 2012-06-29 Leif Andersen , Alexander Lipton

For a L\'evy process on the real line, we provide complete criteria for the finiteness of exponential moments of the first passage time into the interval $(r,\infty)$, the sojourn time in the interval $(-\infty,r]$, and the last exit time…

Probability · Mathematics 2014-09-11 Frank Aurzada , Alexander Iksanov , Matthias Meiners

In this paper we present some new limit theorems for power variation of $k$th order increments of stationary increments L\'evy driven moving averages. In the infill asymptotic setting, where the sampling frequency converges to zero while…

Probability · Mathematics 2016-03-25 Andreas Basse-O'Connor , Raphaël Lachièze-Rey , Mark Podolskij

In this work we characterize the local asymptotic self-similarity of harmonizable fractional L\'evy motions in the heavy tailed case. The corresponding tangent process is shown to be the harmonizable fractional stable motion. In addition,…

Probability · Mathematics 2018-01-15 Andreas Basse-O'Connor , Thorbjørn Grønbæk , Mark Podolskij

In this paper we present the asymptotic analysis of the realised quadratic variation for multivariate symmetric $\beta$-stable L\'evy processes, $\beta \in (0,2)$, and certain pure jump semimartingales. The main focus is on derivation of…

Probability · Mathematics 2021-05-07 Johannes Heiny , Mark Podolskij

We study the small deviation problem $\log\mathbb{P}(\sup_{t\in[0,1]}|X_t|\leq\varepsilon)$, as $\varepsilon\to0$, for general L\'{e}vy processes $X$. The techniques enable us to determine the asymptotic rate for general real-valued…

Probability · Mathematics 2009-09-25 Frank Aurzada , Steffen Dereich

This paper investigates L\'evy walks with random velocities, extending classical models beyond constant speed assumptions. We derive scaling limits, demonstrating that diffusion depends on interplay between heavy-tailed duration and…

Probability · Mathematics 2026-04-28 Hubert Woszczek , Marek A. Teuerle , Agnieszka Wyłomańska
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