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We numerically investigate the possibility of defining stabilization-free Virtual Element (VEM) discretizations of advection-diffusion problems in the advection-dominated regime. To this end, we consider a SUPG stabilized formulation of the…

Numerical Analysis · Mathematics 2023-10-16 Andrea Borio , Martina Busetto , Francesca Marcon

We propose an affine extension of the Linear Gaussian term structure Model (LGM) such that the instantaneous covariation of the factors is given by an affine process on semidefinite positive matrices. First, we set up the model and present…

Mathematical Finance · Quantitative Finance 2015-11-05 Abdelkoddousse Ahdida , Aurélien Alfonsi , Ernesto Palidda

We find the precise growth of some invariant metrics near a point on the boundary of a domain where the Levi form has at least one negative eigenvalue. We also introduce a new invariant pseudometric which is convenient in this context, and…

Complex Variables · Mathematics 2014-05-23 Nguyen Quang Dieu , Nikolai Nikolov , Pascal J. Thomas

The Support Vector Machine (SVM) is one of the most widely used classification methods. In this paper, we consider the soft-margin SVM used on data points with independent features, where the sample size $n$ and the feature dimension $p$…

Machine Learning · Statistics 2019-08-02 Haoyang Liu

In this short note, we prove by an appropriate change of variables that the SVI implied volatility parameterization presented in Gatheral's book and the large-time asymptotic of the Heston implied volatility agree algebraically, thus…

Pricing of Securities · Quantitative Finance 2010-02-22 Jim Gatheral , Antoine Jacquier

Radiance field methods (e.g. 3D Gaussian Splatting) have emerged as a powerful paradigm for novel view synthesis, yet their appearance modeling often relies on Spherical Harmonics (SH), which impose fundamental limitations. SH struggle with…

Computer Vision and Pattern Recognition · Computer Science 2026-05-26 Francesco Di Sario , Daniel Rebain , Dor Verbin , Marco Grangetto , Andrea Tagliasacchi

Spectral curve methods proved to be powerful techniques in the context of relativistic integrable string theories, since they allow to derive the semiclassical spectrum from the minimal knowledge of a Lax pair and a classical string…

High Energy Physics - Theory · Physics 2023-02-15 Andrea Fontanella , Juan Miguel Nieto García , Olof Ohlsson Sax

Consider discrete time observations (X_{\ell\delta})_{1\leq \ell \leq n+1}$ of the process $X$ satisfying $dX_t= \sqrt{V_t} dB_t$, with $V_t$ a one-dimensional positive diffusion process independent of the Brownian motion $B$. For both the…

Methodology · Statistics 2007-12-25 Fabienne Comte , Valentine Genon-Catalot , Yves Rozenholc

Segregated direct boundary-domain integral equations (BDIEs) based on a parametrix and associated with the Dirichlet and Neumann boundary value problems for the linear stationary diffusion partial differential equation with a variable…

Analysis of PDEs · Mathematics 2018-07-31 Sergey E. Mikhailov

Given a unirational parameterization of a surface, we present a general algorithm to determine a birational parameterization without using parameterization algorithms. Additionally, if the surface is assumed to have a birational…

Algebraic Geometry · Mathematics 2022-11-15 Jorge Caravantes , Sonia Pérez-Díaz , J. Rafael Sendra

This paper presents a PDE-based parameterisation framework for addressing the planar surface-to-volume (StV) problem of finding a valid description of the domain's interior given no more than a spline-based description of its boundary…

Numerical Analysis · Mathematics 2023-07-24 Jochen Hinz , Annalisa Buffa

In this paper we want to exploit further the semi-discrete method appeared in Halidias and Stamatiou (2015). We are interested in the numerical solution of mean reverting CEV processes that appear in financial mathematics models and are…

Numerical Analysis · Mathematics 2015-05-11 Nikolaos Halidias , Ioannis Stamatiou

We introduce a multivariate diffusion model that is able to price derivative securities featuring multiple underlying assets. Each asset volatility smile is modeled according to a density-mixture dynamical model while the same property…

Pricing of Securities · Quantitative Finance 2014-09-24 Damiano Brigo , Francesco Rapisarda , Abir Sridi

We present a simple, numerically efficient but highly flexible non-parametric method to construct representations of option price surfaces which are both smooth and strictly arbitrage-free across time and strike. The method can be viewed as…

Computational Finance · Quantitative Finance 2026-05-25 Hans Buehler , Blanka Horvath , Anastasis Kratsios , Yannick Limmer , Raeid Saqur

The paper demonstrates that a pure-diffusion 3/2 model is able to capture the observed upward-sloping implied volatility skew in VIX options. This observation contradicts a common perception in the literature that jumps are required for the…

Pricing of Securities · Quantitative Finance 2012-08-07 Jan Baldeaux , Alexander Badran

Starting from the Akulov-Volkov (AV) action, we compute a finite-dimensional Lie group G of all field transformations of the form \lambda -> \lambda ' = \lambda + O(\lambda ^3) which preserve the functional structure of low-energy…

High Energy Physics - Theory · Physics 2015-03-19 Sergei M. Kuzenko , Simon J. Tyler

Spectral submanifolds (SSMs) have recently been shown to provide exact and unique reduced-order models for nonlinear unforced mechanical vibrations. Here we extend these results to periodically or quasiperiodically forced mechanical…

Dynamical Systems · Mathematics 2018-07-04 Thomas Breunung , George Haller

We provide explicit conditions on the distribution of risk-neutral log-returns which yield sharp asymptotic estimates on the implied volatility smile. We allow for a variety of asymptotic regimes, including both small maturity (with…

Pricing of Securities · Quantitative Finance 2016-07-08 Francesco Caravenna , Jacopo Corbetta

As its name suggests, sufficient dimension reduction (SDR) targets to estimate a subspace from data that contains all information sufficient to explain a dependent variable. Ample approaches exist to SDR, some of the most recent of which…

Methodology · Statistics 2020-12-15 Emmanuel Jordy Menvouta , Sven Serneels , Tim Verdonck

We propose a two-step framework for predicting the implied volatility surface over time without static arbitrage. In the first step, we select features to represent the surface and predict them over time. In the second step, we use the…

Statistical Finance · Quantitative Finance 2022-01-04 Wenyong Zhang , Lingfei Li , Gongqiu Zhang