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Related papers: Use Cases of Quantum Optimization for Finance

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Recent development in quantum computation and quantum information theory allows to extend the scope of game theory for the quantum world. The authors have recently proposed a quantum description of financial market in terms of quantum game…

Quantum Physics · Physics 2007-05-23 Edward W. Piotrowski , Jan Sladkowski

Applications such as simulating complicated quantum systems or solving large-scale linear algebra problems are very challenging for classical computers due to the extremely high computational cost. Quantum computers promise a solution,…

Constrained optimization problems are ubiquitous in science and industry. Quantum algorithms have shown promise in solving optimization problems, yet none of the current algorithms can effectively handle arbitrary constraints. We introduce…

We consider digitized-counterdiabatic quantum computing as an advanced paradigm to approach quantum advantage for industrial applications in the NISQ era. We apply this concept to investigate a discrete mean-variance portfolio optimization…

Quantum Physics · Physics 2022-12-29 N. N. Hegade , P. Chandarana , K. Paul , X. Chen , F. Albarrán-Arriagada , E. Solano

Although quantum computing hardware has evolved significantly in recent years, spurred by increasing industrial and government interest, the size limitation of current generation quantum computers remains an obstacle when applying these…

Quantum Physics · Physics 2020-01-20 Gideon Bass , Max Henderson , Joshua Heath , Joseph Dulny

Quantum computation is based on implementing selected unitary transformations which represent algorithms. A generalized optimal control theory is used to find the driving field that generates a prespecified unitary transformation. The…

Quantum Physics · Physics 2009-11-07 Jose P. Palao , Ronnie Kosloff

In this paper, we review some features of quantum annealing and related topics from viewpoints of statistical physics, condensed matter physics, and computational physics. We can obtain a better solution of optimization problems in many…

Disordered Systems and Neural Networks · Physics 2017-08-23 Shu Tanaka , Ryo Tamura

Within this decade, quantum computers are predicted to outperform conventional computers in terms of processing power and have a disruptive effect on a variety of business sectors. It is predicted that the financial sector would be one of…

Quantum Physics · Physics 2023-03-10 Prateek Jain , Alberto Garcia Garcia

In the last five years, the financial industry has been impacted by the emergence of digitalization and machine learning. In this article, we explore two methods that have undergone rapid development in recent years: Gaussian processes and…

Portfolio Management · Quantitative Finance 2019-03-13 Joan Gonzalvez , Edmond Lezmi , Thierry Roncalli , Jiali Xu

Satellite mission planning for Earth observation satellites is a combinatorial optimization problem that consists of selecting the optimal subset of imaging requests, subject to constraints, to be fulfilled during an orbit pass of a…

Hybrid classical quantum optimization methods have become an important tool for efficiently solving problems in the current generation of NISQ computers. These methods use an optimization algorithm executed in a classical computer, fed with…

Quantum Physics · Physics 2023-08-02 J. Gidi , B. Candia , A. D. Muñoz-Moller , A. Rojas , L. Pereira , M. Muñoz , L. Zambrano , A. Delgado

Optimizing the topology of networks is an important challenge across engineering disciplines. In energy systems, network reconfiguration can substantially reduce losses and costs and thus support the energy transition. Unfortunately, many…

Combinatorial optimization problems pose significant computational challenges across various fields, from logistics to cryptography. Traditional computational methods often struggle with their exponential complexity, motivating exploration…

Quantum Physics · Physics 2024-09-24 Mateusz Slysz , Krzysztof Kurowski , Grzegorz Waligóra

Portfolio optimization is a fundamental problem in finance that aims to determine the optimal allocation of assets within a portfolio to maximize returns while minimizing risk. It can be formulated as a Quadratic Unconstrained Binary…

Quantum Physics · Physics 2025-08-27 Anbang Wang , Zhonggang Lv , Zhenyuan Ma , Dunbo Cai , Zhihong Zhang

In finance, assessing the creditworthiness of loan applicants requires lenders to cluster borrowers using rating scales. Financial institutions must define the scales in compliance with strict institutional constraints, resulting in solving…

Universal fault-tolerant quantum computers will require error-free execution of long sequences of quantum gate operations, which is expected to involve millions of physical qubits. Before the full power of such machines will be available,…

Accurate models for open quantum systems -- quantum states that have non-trivial interactions with their environment -- may aid in the advancement of a diverse array of fields, including quantum computation, informatics, and the prediction…

We consider state of the art applications of artificial intelligence (AI) in modelling human financial expectations and explore the potential of quantum logic to drive future advancements in this field. This analysis highlights the…

Computational Finance · Quantitative Finance 2025-10-08 Fabio Bagarello , Francesco Gargano , Polina Khrennikova

Unit Commitment (UC) is a core optimization problem in power system operation and electricity market scheduling. It determines the optimal on/off status and dispatch of generating units while satisfying system, operational, and market…

Quantum Physics · Physics 2026-01-06 Milad Hasanzadeh , Ali Rajabi , Amin Kargarian

Quantum computers are emerging as a viable alternative to tackle certain computational problems that are challenging for classical computers. With the rapid development of quantum hardware such as those based on trapped ions, there is…

Quantum Physics · Physics 2023-02-07 Saikat Ray Majumder , Annarita Giani , Weiwei Shen , Bogdan Neculaes , Daiwei Zhu , Sonika Johri
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