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We present a stochastic local volatility model for derivative contracts on commodity futures. The aim of the model is to be able to recover the prices of derivative claims both on futures contracts and on indices on futures strategies.…

Pricing of Securities · Quantitative Finance 2022-08-03 Alberto Manzano , Emanuele Nastasi , Andrea Pallavicini , Carlos Vázquez

An automated market maker (AMM) is a state machine that manages pools of assets, allowing parties to buy and sell those assets according to a fixed mathematical formula. AMMs are typically implemented as smart contracts on blockchains, and…

Trading and Market Microstructure · Quantitative Finance 2024-01-29 Kenan Wood , Maurice Herlihy , Hammurabi Mendes , Jonad Pulaj

In this paper we extend discrete time semi-static trading strategies by also allowing for dynamic trading in a finite amount of options, and we study the consequences for the model-independent super-replication prices of exotic derivatives.…

Mathematical Finance · Quantitative Finance 2021-07-20 Ariel Neufeld , Julian Sester

Many challenges in today's society can be tackled by distributed open systems. This is particularly true for domains that are commonly perceived under the umbrella of smart cities, such as intelligent transportation, smart energy grids, or…

Multiagent Systems · Computer Science 2024-01-24 Holger Billhardt , Alberto Fernández , Marin Lujak , Sascha Ossowski

It is well known that rightly applied reverse auctions offer big commercial potential to procurement departments. However, the sheer number of auction types often overwhelms users in practice. And since the implications of a wrongly chosen…

General Economics · Economics 2021-05-14 Gregor Berz , Florian Rupp , Brian Sieben

We consider a repeated auction where the buyer's utility for an item depends on the time that elapsed since his last purchase. We present an algorithm to build the optimal bidding policy, and then, because optimal might be impractical, we…

Theoretical Economics · Economics 2023-08-04 Benjamin Heymann , Alexandre Gilotte , Rémi Chan-Renous

The real estate market includes complex and inefficient mediation processes. Renting a property envolves multiple entities with different responsibilities and interests. Therefore it is imperative to establish a trustful relationship…

Cryptography and Security · Computer Science 2024-02-09 André S. Proença , Tiago R. Dias , Miguel P. Correia

Inheritances, divorces or liquidations of companies require common assets to be divided among the entitled parties. Legal methods usually consider the market value of goods, while fair division theory takes into account the parties'…

Computer Science and Game Theory · Computer Science 2023-05-10 Marco Dall'Aglio

We study the problem of designing revenue-maximizing auctions for allocating multiple goods to flexible consumers. In our model, each consumer is interested in a subset of goods known as its flexibility set and wants to consume one good…

Computer Science and Game Theory · Computer Science 2018-02-01 Shiva Navabi , Ashutosh Nayyar

Smart Contracts use computer technology to automate the performance of aspects of commercial agreements. Yet how can there be confidence that the computer code is faithful to the intentions of the parties? To understand the depth and…

Computation and Language · Computer Science 2021-04-09 Christopher D. Clack

Increasing number of the cloud-based Internet applications demands for efficient resource and cost management. This paper proposes a real-time group auction system for the cloud instance market. The system is designed based on a…

Computer Science and Game Theory · Computer Science 2013-04-03 Chonho Lee , Ping Wang , Dusit Niyato

Gradient-based methods for optimisation of objectives in stochastic settings with unknown or intractable dynamics require estimators of derivatives. We derive an objective that, under automatic differentiation, produces low-variance…

Machine Learning · Computer Science 2019-09-25 Gregory Farquhar , Shimon Whiteson , Jakob Foerster

We study how to enable auctions in the big data context to solve many upcoming data-based decision problems in the near future. We consider the characteristics of the big data including, but not limited to, velocity, volume, variety, and…

Cryptography and Security · Computer Science 2015-11-23 Taeho Jung , Xiang-Yang Li

The growing demand in mobile Internet access calls for high capacity and energy efficient cellular access with better cell coverage. The in-band relaying solution, proposed in LTE-Advanced, improves coverage without requiring additional…

Networking and Internet Architecture · Computer Science 2017-01-16 Linquan Zhang , Zongpeng Li , Chuan Wu

Auctions play an important role in electronic commerce, and have been used to solve problems in distributed computing. Automated approaches to designing effective auction mechanisms are helpful in reducing the burden of traditional game…

Computer Science and Game Theory · Computer Science 2010-02-08 Jinzhong Niu , Kai Cai , Simon Parsons

We study buyer-optimal procurement mechanisms when quality is contractible. When some costs are borne by every participant of a procurement auction regardless of winning, the classic analysis should be amended. We show that an optimal…

Theoretical Economics · Economics 2024-11-20 Pasha Andreyanov , Ilia Krasikov , Alex Suzdaltsev

Auctions are widely used in exchanges to match buy and sell requests. Once the buyers and sellers place their requests, the exchange determines how these requests are to be matched. The two most popular objectives used while determining the…

Data Structures and Algorithms · Computer Science 2024-03-06 Mohit Garg , Suneel Sarswat

In traditional machine learning, the central server first collects the data owners' private data together and then trains the model. However, people's concerns about data privacy protection are dramatically increasing. The emerging paradigm…

Computer Science and Game Theory · Computer Science 2020-03-30 Yutao Jiao , Ping Wang , Dusit Niyato , Bin Lin , Dong In Kim

Flexibility markets can be introduced as a tool for the distribution system operator (DSO) to avoid high costs and public opposition against new network investments. Continuous flexibility markets have the advantage of allowing more…

Systems and Control · Electrical Eng. & Systems 2021-10-13 Alicia Alarcón Cobacho , Eléa Prat , Daniel Vázquez Pombo , Spyros Chatzivasileiadis

Modern mathematics is built on the idea that proofs should be translatable into formal proofs, whose validity is an objective question, decidable by a computer. Yet, in practice, proofs are informal and may omit many details. An agent…

Computer Science and Game Theory · Computer Science 2021-10-14 Sylvain Carré , Franck Gabriel , Clément Hongler , Gustavo Lacerda , Gloria Capano