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In recent years, a CRA (Credit Risk Analysis) quantum algorithm with a quadratic speedup over classical analogous methods has been introduced. We propose a new variant of this quantum algorithm with the intent of overcoming some of the most…

Emerging Technologies · Computer Science 2022-12-21 Emanuele Dri , Edoardo Giusto , Antonello Aita , Bartolomeo Montrucchio

In the rapidly advancing domain of quantum optimization, the confluence of quantum algorithms such as Quantum Annealing (QA) and the Quantum Approximate Optimization Algorithm (QAOA) with robust optimization methodologies presents a…

Quantum Physics · Physics 2024-05-14 Pascal Halffmann , Steve Lenk , Michael Trebing

Quantum Portfolios of quantum algorithms encoded on qbits have recently been reported. In this paper a discussion of the continuous variables version of quantum portfolios is presented. A risk neutral valuation model for options dependent…

General Finance · Quantitative Finance 2015-03-14 Fredrick Michael

Variational Quantum Algorithms (VQAs) provide a promising framework for tackling complex optimization problems on near-term quantum hardware. Here, we demonstrate that hybrid qubit--qumode quantum devices offer an efficient route to solving…

The majority of standard approaches to financial portfolio optimization (PO) are based on the mean-variance (MV) framework. Given a risk aversion coefficient, the MV procedure yields a single portfolio that represents the optimal trade-off…

Portfolio Management · Quantitative Finance 2024-02-27 Bruno Gašperov , Marko Đurasević , Domagoj Jakobovic

In this study, we propose a new multi-objective portfolio optimization with idiosyncratic and systemic risks for financial networks. The two risks are measured by the idiosyncratic variance and the network clustering coefficient derived…

Portfolio Management · Quantitative Finance 2021-11-23 Yajie Yang , Longfeng Zhao , Lin Chen , Chao Wang , Jihui Han

In this paper, we propose a machine learning algorithm for time-inconsistent portfolio optimization. The proposed algorithm builds upon neural network based trading schemes, in which the asset allocation at each time point is determined by…

Portfolio Management · Quantitative Finance 2023-09-06 Kristoffer Andersson , Cornelis W. Oosterlee

The quantum approximate optimization algorithm (QAOA) is designed to determine optimum and near optimum solutions of quadratic (and higher order) unconstrained binary optimization (QUBO or HUBO) problems, which in turn accurately model…

Quantum Physics · Physics 2025-03-18 Prashanti Priya Angara , Danylo Lykov , Ulrike Stege , Yuri Alexeev , Hausi Müller

Multi-period stock-keeping unit (SKU) allocation in supply chains is a combinatorial optimization problem that is both NP-hard and operationally critical, requiring simultaneous attention to profitability, feasibility, and diversity.…

We provide analytical results for a static portfolio optimization problem with two coherent risk measures. The use of two risk measures is motivated by joint decision-making for portfolio selection where the risk perception of the portfolio…

Portfolio Management · Quantitative Finance 2021-01-19 Tahsin Deniz Aktürk , Çağın Ararat

In this work, we introduce a novel Quadratic Binary Optimization (QBO) framework for training a quantized neural network. The framework enables the use of arbitrary activation and loss functions through spline interpolation, while Forward…

Machine Learning · Computer Science 2025-12-09 Wenxin Li , Chuan Wang , Hongdong Zhu , Qi Gao , Yin Ma , Hai Wei , Kai Wen

We present a quantum algorithm for finding the minimum of a function based on multistep quantum computation and apply it for optimization problems with continuous variables, in which the variables of the problem are discretized to form the…

Quantum Physics · Physics 2023-07-03 Hefeng Wang , Hua Xiang

We study the optimal portfolio liquidation problem over a finite horizon in a limit order book with bid-ask spread and temporary market price impact penalizing speedy execution trades. We use a continuous-time modeling framework, but in…

Probability · Mathematics 2014-01-10 Idris Kharroubi , Huyen Pham

Solving large-scale robust portfolio optimization problems is challenging due to the high computational demands associated with an increasing number of assets, the amount of data considered, and market uncertainty. To address this issue, we…

Computational Finance · Quantitative Finance 2024-08-16 Chung-Han Hsieh , Jie-Ling Lu

Portfolio optimization is a fundamental challenge in quantitative finance, requiring robust computational tools that integrate statistical rigor with practical implementation. We present skfolio, an open-source Python library for portfolio…

Machine Learning · Computer Science 2025-07-09 Carlo Nicolini , Matteo Manzi , Hugo Delatte

The quest for real-time dynamic optimization solutions in the process industry represents a formidable computational challenge, particularly within the realm of applications like model-predictive control, where rapid and reliable…

Optimization and Control · Mathematics 2024-04-29 Dennis Michael Nenno , Adrian Caspari

Portfolio optimization is one of the most studied problems for demonstrating the near-term applications of quantum computing. However, large-scale problems cannot be solved on today's quantum hardware. In this work, we extend upon a study…

Quantum Physics · Physics 2023-05-03 Naman Jain , M Girish Chandra

Quantum annealing has great promise in leveraging quantum mechanics to solve combinatorial optimisation problems. However, to realize this promise to it's fullest extent we must appropriately leverage the underlying physics. In this spirit,…

Quantum Physics · Physics 2020-12-10 Nicholas Chancellor

One of the challenging scientific computing problems is topology optimization, where searching through the combinatorially complex configurations and solving the constraints of partial differential equations need to be done simultaneously.…

Quantum Physics · Physics 2025-03-05 Jungin E. Kim , Yan Wang

We introduce a counterdiabatic (CD) extension of the Quantum Approximate Optimization Algorithm (QAOA) for constrained portfolio optimization. By incorporating approximate adiabatic gauge potentials generated from nested commutators of the…

Quantum Physics · Physics 2026-05-11 Jose Falla , Ilya Safro