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We present an extension to active learning routines in which non-constant costs are explicitly considered. This work considers both known and unknown costs and introduces the term \epsilon-frugal for learners that do not only consider…
We found that the actual computational time-cost of the QFT is O(n 2^n) for large n in a quantum computer using nuclear spins. The computational cost of a quantum algorithm has usually been estimated as the sum of the universal gates…
As artificial intelligence (AI) models quickly spread and become more advanced, they are requiring an ever-increasing amount of data and compute capability, leading to a significant energy cost. Training and inference of AI models including…
The rapid integration of agentic AI into high-stakes real-world applications requires robust oversight mechanisms. The emerging field of AI Control (AIC) aims to provide such an oversight mechanism, but practical adoption depends heavily on…
In this review, we provide practical guidance on some of the main machine learning tools used in portfolio weight formation. This is not an exhaustive list, but a fraction of the ones used and have some statistical analysis behind it. All…
This paper focuses on specific investments under negotiated transfer pricing. Reasons for transfer pricing studies are primarily to find conditions that maximize the firm's overall profit, especially in cases with bilateral trading problems…
Providing a measure of market risk is an important issue for investors and financial institutions. However, the existing models for this purpose are per definition symmetric. The current paper introduces an asymmetric capital asset pricing…
Constant Function Market Makers (CFMMs) are a family of automated market makers that enable censorship-resistant decentralized exchange on public blockchains. Arbitrage trades have been shown to align the prices reported by CFMMs with those…
A simple statement and accessible proof of a version of the Fundamental Theorem of Asset Pricing in discrete time is provided. Careful distinction is made between prices and cash flows in order to provide uniform treatment of all…
Automated market makers (AMMs) are a new prototype of decentralised exchanges which are revolutionising market interactions. The majority of AMMs are constant product markets (CPMs) where exchange rates are set by a trading function. This…
We derive formulas for the performance of capital assets in continuous time from an efficient market hypothesis, with no stochastic assumptions and no assumptions about the beliefs or preferences of investors. Our efficient market…
Factor models have become a common and valued tool for understanding the risks associated with an investing strategy. In this report we describe Exabel's factor model, we quantify the fraction of the variability of the returns explained by…
Transaction costs appear in financial markets in more than one form. There are several results in the literature on small proportional transaction cost and not that many on fixed transaction cost. In the present work, we heuristically study…
User-Defined-Functions (UDFs) are a pivotal feature in modern DBMS, enabling the extension of native DBMS functionality with custom logic. However, the integration of UDFs into query optimization processes poses significant challenges,…
Decentralized exchanges are widely used platforms for trading crypto assets. The most common types work with automated market makers (AMM), allowing traders to exchange assets without needing to find matching counterparties. Thereby,…
Spam costs US corporations upwards of $8.9 billion a year, and comprises as much as 40% of all email received. Solutions exist to reduce the amount of spam seen by end users, but cannot withstand sophisticated attacks. Worse yet, many will…
Factor analysis is a statistical technique employed to evaluate how observed variables correlate through common factors and unique variables. While it is often used to analyze price movement in the unstable stock market, it does not always…
In this paper, to determine the financial risks faced by an industrial company, assessing the relative importance of these risks and identifying the years most exposed to financial risk using modern multi-criteria decision-making…
This paper presents the results of a comprehensive empirical study of losses to arbitrageurs (following the formalization of loss-versus-rebalancing by [Milionis et al., 2022]) incurred by liquidity providers on automated market makers…
For the assessment of the financial soundness of a pension fund, it is necessary to take into account mortality forecasting so that longevity risk is consistently incorporated into future cash flows. In this article, we employ machine…