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We investigate the predictability of several range-based stock volatility estimators, and compare them to the standard close-to-close estimator which is most commonly acknowledged as the volatility. The patterns of volatility changes are…

Computational Finance · Quantitative Finance 2018-03-21 Gábor Petneházi , József Gáll

L\'{e}vy processes with completely monotone jumps appear frequently in various applications of probability. For example, all popular stock price models based on L\'{e}vy processes (such as the Variance Gamma, CGMY/KoBoL and Normal Inverse…

Probability · Mathematics 2016-01-08 Daniel Hackmann , Alexey Kuznetsov

Fractionally integrated autoregressive moving average (FIARMA) processes have been widely and successfully used to model and predict univariate time series exhibiting long range dependence. Vector and functional extensions of these…

Functional Analysis · Mathematics 2022-10-07 Amaury Durand , François Roueff

This article deals with adaptive nonparametric estimation for L\'evy processes observed at low frequency. For general linear functionals of the L\'evy measure, we construct kernel estimators, provide upper risk bounds and derive rates of…

Statistics Theory · Mathematics 2014-07-15 Johanna Kappus

Autonomous vehicles require accurate and reliable short-term trajectory predictions for safe and efficient driving. While most commercial automated vehicles currently use state machine-based algorithms for trajectory forecasting, recent…

Computer Vision and Pattern Recognition · Computer Science 2023-07-13 Sushil Sharma , Ganesh Sistu , Lucie Yahiaoui , Arindam Das , Mark Halton , Ciarán Eising

A new robust stochastic volatility (SV) model having Student-t marginals is proposed. Our process is defined through a linear normal regression model driven by a latent gamma process that controls temporal dependence. This gamma process is…

Methodology · Statistics 2021-05-28 Raanju R. Sundararajan , Wagner Barreto-Souza

In the present paper we obtain sufficient conditions for the existence of equivalent martingale measures for L\'{e}vy-driven moving averages and other non-Markovian jump processes. The conditions that we obtain are, under mild assumptions,…

Probability · Mathematics 2017-04-28 Andreas Basse-O'Connor , Mikkel Slot Nielsen , Jan Pedersen

This paper considers the problem of optimizing the average tracking error for an elliptic partial differential equation with an uncertain lognormal diffusion coefficient. In particular, the application of the multilevel quasi-Monte Carlo…

Numerical Analysis · Mathematics 2021-09-30 Philipp A. Guth , Andreas Van Barel

By means of the Malliavin calculus, integral representations for the likelihood function and for the derivative of the log-likelihood function are given for a model based on discrete time observations of the solution to equation…

Probability · Mathematics 2013-08-13 D. O. Ivanenko , A. M. Kulik

The paper presents a Gaussian/kernel process regression method for real-time state estimation and forecasting of phase angle and angular speed in systems with a high penetration of solar generation units, operating under a sparse…

Systems and Control · Electrical Eng. & Systems 2023-09-20 Mohammad Ensaf , Masoud Barati

Traditional filtering algorithms for state estimation -- such as classical Kalman filtering, unscented Kalman filtering, and particle filters - show performance degradation when applied to nonlinear systems whose uncertainty follows…

Machine Learning · Statistics 2026-01-13 Luke S. Lagunowich , Guoxiang Grayson Tong , Daniele E. Schiavazzi

Semilinear hyperbolic stochastic partial differential equations (SPDEs) find widespread applications in the natural and engineering sciences. However, the traditional Gaussian setting may prove too restrictive, as phenomena in mathematical…

Numerical Analysis · Mathematics 2023-07-04 Andrea Barth , Andreas Stein

After obtaining an accurate approximation for $ARL_0$, we first consider the optimal design of weight parameter for a multivariate EWMA chart that minimizes the stationary average delay detection time (SADDT). Comparisons with moving…

Statistics Theory · Mathematics 2022-06-24 Yanhong Wu , Wei Biao Wu

Low-rank matrix approximation (LRMA) is a powerful technique for signal processing and pattern analysis. However, its potential for data compression has not yet been fully investigated in the literature. In this paper, we propose sparse…

Multimedia · Computer Science 2016-02-22 Junhui Hou , Lap-Pui Chau , Nadia Magnenat-Thalmann , Ying He

This study delves into the domain of dynamical systems, specifically the forecasting of dynamical time series defined through an evolution function. Traditional approaches in this area predict the future behavior of dynamical systems by…

Methodology · Statistics 2024-02-12 Akifumi Okuno , Yuya Morishita , Yoh-ichi Mototake

In this paper we develop a Malliavin-Skorohod type calculus for additive processes in the $L^0$ and $L^1$ settings, extending the probabilistic interpretation of the Malliavin-Skorohod operators to this context. We prove calculus rules and…

Probability · Mathematics 2016-01-11 Giulia Di Nunno , Josep Vives

Numerous empirical proofs indicate the adequacy of the time discrete auto-regressive stochastic volatility models introduced by Taylor in the description of the log-returns of financial assets. The pricing and hedging of contingent products…

Pricing of Securities · Quantitative Finance 2011-10-31 Joan del Castillo , Juan-Pablo Ortega

In this article we consider parametric Bayesian inference for stochastic differential equations (SDE) driven by a pure-jump stable Levy process, which is observed at high frequency. In most cases of practical interest, the likelihood…

Statistics Theory · Mathematics 2017-07-28 Ajay Jasra , Kengo Kamatani , Hiroki Masuda

Covariate-adaptive randomization (CAR) procedures are frequently used in comparative studies to increase the covariate balance across treatment groups. However, because randomization inevitably uses the covariate information when forming…

Statistics Theory · Mathematics 2022-07-08 Wei Ma , Yichen Qin , Yang Li , Feifang Hu

Dynamic model averaging (DMA) combines the forecasts of a large number of dynamic linear models (DLMs) to predict the future value of a time series. The performance of DMA critically depends on the appropriate choice of two forgetting…

Econometrics · Economics 2019-12-11 Alisa Yusupova , Nicos G. Pavlidis , Efthymios G. Pavlidis
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