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When modeling a vector of risk variables, extreme scenarios are often of special interest. The peaks-over-thresholds method hinges on the notion that, asymptotically, the excesses over a vector of high thresholds follow a multivariate…

Statistics Theory · Mathematics 2024-09-23 Anas Mourahib , Anna Kiriliouk , Johan Segers

In many applied fields, the prediction of more severe events than those already recorded is crucial for safeguarding against potential future calamities. What-if analyses, which evaluate hypothetical scenarios up to the worst-case event,…

Methodology · Statistics 2025-04-08 Simone A. Padoan , Stefano Rizzelli

In this article there is no intention to repeat basic concepts about risk management, but we will try to define why often is usefull the time series analysis during the assessment of risks, and how is possible to compute a significative…

Applications · Statistics 2016-01-13 Gianluca Rosso

The g-and-k and (generalised) g-and-h distributions are flexible univariate distributions which can model highly skewed or heavy tailed data through only four parameters: location and scale, and two shape parameters influencing the skewness…

Computation · Statistics 2017-06-22 Dennis Prangle

Studying extreme events and how they evolve in a changing climate is one of the most important current scientific challenges. Starting from complex climate models, a key difficulty is to be able to run long enough simulations in order to…

Atmospheric and Oceanic Physics · Physics 2017-12-27 Francesco Ragone , Jeroen Wouters , Freddy Bouchet

A recurrent question in climate risk analysis is determining how climate change will affect heavy precipitation patterns. Dividing the globe into homogeneous sub-regions should improve the modelling of heavy precipitation by inferring…

Methodology · Statistics 2021-11-02 Philomène Le Gall , Anne-Catherine Favre , Philippe Naveau , Alexandre Tuel

Computing the return times of extreme events and assessing the impact of climate change on such return times is fundamental to extreme event attribution studies. However, the rarity of such events in the observational record makes this task…

Atmospheric and Oceanic Physics · Physics 2024-12-03 Clément Le Priol , Joy M. Monteiro , Freddy Bouchet

Differential equations are pivotal in modeling and understanding the dynamics of various systems, offering insights into their future states through parameter estimation fitted to time series data. In fields such as economy, politics, and…

Machine Learning · Statistics 2024-04-24 Hyeontae Jo , Sung Woong Cho , Hyung Ju Hwang

This paper investigates the use of extreme value theory for modelling the distribution of demand-net-of-wind for capacity adequacy assessment. Extreme value theory approaches are well-established and mathematically justified methods for…

Applications · Statistics 2019-07-31 Amy L Wilson , Stan Zachary

Modeling the risk of extreme weather events in a changing climate is essential for developing effective adaptation and mitigation strategies. Although the available low-resolution climate models capture different scenarios, accurate risk…

Atmospheric and Oceanic Physics · Physics 2022-12-06 Anamitra Saha , Sai Ravela

The r largest order statistics approach is widely used in extreme value analysis because it may use more information from the data than just the block maxima. In practice, the choice of r is critical. If r is too large, bias can occur; if…

Methodology · Statistics 2018-06-13 Brian Bader , Jun Yan , Xuebin Zhang

Extreme weather events stemming from climate change can cause significant damage and disruption to power systems. Failure to mitigate and adapt to climate change and its cascading effects can lead to short and long term issues. The profound…

Applied Physics · Physics 2022-09-22 Rouzbeh Shirvani , Tarannom Parhizkar

Mixed modeling of extreme values and random effects is relatively unexplored topic. Computational difficulties in using the maximum likelihood method for mixed models and the fact that maximum likelihood method uses available data and does…

Applications · Statistics 2019-07-05 Ali Reza Fotouhi

Accurate forecasts of extreme wind speeds are of high importance for many applications. Such forecasts are usually generated by ensembles of numerical weather prediction (NWP) models, which however can be biased and have errors in…

Machine Learning · Computer Science 2025-08-12 Jakob Benjamin Wessel , Christopher A. T. Ferro , Gavin R. Evans , Frank Kwasniok

We propose a method for the accurate estimation of rare event or failure probabilities for expensive-to-evaluate numerical models in high dimensions. The proposed approach combines ideas from large deviation theory and adaptive importance…

Computation · Statistics 2023-03-28 Shanyin Tong , Georg Stadler

It has been pointed out by Patriarca et al. (2005) that the power-law tailed equilibrium distribution in heterogeneous kinetic exchange models with a distributed saving parameter can be resolved as a mixture of Gamma distributions…

General Finance · Quantitative Finance 2018-10-17 Adams Vallejos , Ignacio Ormazabal , Felix A. Borotto , Hernan F. Astudillo

In the literature different so-called $\kappa$-distribution functions are discussed to fit and model the velocity (or energy) distributions of solar wind species, pickup ions or magnetospheric particles. Here we introduce a generalized…

Solar and Stellar Astrophysics · Physics 2020-07-09 Klaus Scherer , Edin Husidic , Marian Lazar , Horst Fichtner

Understanding multivariate extreme events play a crucial role in managing the risks of complex systems since extremes are governed by their own mechanisms. Conditional on a given variable exceeding a high threshold (e.g.\ traffic…

Methodology · Statistics 2021-06-28 Valentin Courgeau , Almut E. D. Veraart

We consider forecasting functional time series of extreme values within a generalised extreme value distribution (GEV). The GEV distribution can be characterised using the three parameters (location, scale and shape). As a result, the…

Methodology · Statistics 2020-12-22 Han Lin Shang , Ruofan Xu

Time Series Forecasting (TSF) is a widely researched topic with broad applications in weather forecasting, traffic control, and stock price prediction. Extreme values in time series often significantly impact human and natural systems, but…

Machine Learning · Computer Science 2023-10-12 Jincheng Wang , Yue Gao