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We propose a novel strategy for multivariate extreme value index estimation. In applications such as finance, volatility and risk present in the components of a multivariate time series are often driven by the same underlying factors, such…

Statistics Theory · Mathematics 2020-03-24 Joni Virta , Niko Lietzén , Lauri Viitasaari , Pauliina Ilmonen

We investigate the convergence of hitting times for jump-diffusion processes. Specifically, we study a sequence of stochastic differential equations with jumps. Under reasonable assumptions, we establish the convergence of solutions to the…

Probability · Mathematics 2015-10-09 Georgiy Shevchenko

This paper considers population processes in which general, not necessarily Markovian, multivariate Hawkes processes dictate the stochastic arrivals. We establish results to determine the corresponding time-dependent joint probability…

Probability · Mathematics 2021-06-08 Raviar Karim , Roger J. A. Laeven , Michel Mandjes

This work introduces a self and mutually exciting point process that embeds flexible residuals and intensity with discretely Markovian dynamics. By allowing the integration of diverse residual distributions, this model serves as an…

Statistical Finance · Quantitative Finance 2025-04-02 Kyungsub Lee

We model continuous-time information flows generated by a number of information sources that switch on and off at random times. By modulating a multi-dimensional L\'evy random bridge over a random point field, our framework relates the…

Probability · Mathematics 2020-05-14 Edward Hoyle , Andrea Macrina , Levent A. Mengütürk

In this paper, we present a new bivariate model for the joint description of the Bitcoin prices and the media attention to Bitcoin. Our model is based on the class of the L\'evy processes and is able to realistically reproduce the jump-type…

Statistical Finance · Quantitative Finance 2022-10-26 Ekaterina Morozova , Vladimir Panov

A jumping process, defined in terms of jump size distribution and waiting time distribution, is presented. The jumping rate depends on the process value. The process, which is Markovian and stationary, relaxes to an equilibrium and is…

Statistical Mechanics · Physics 2015-07-20 T. Srokowski , A. Kaminska

This article contains two main theoretical results on neural spike train models. The first assumes that the spike train is modeled as a counting or point process on the real line where the conditional intensity function is a product of a…

Statistics Theory · Mathematics 2007-06-13 Hock Peng Chan , Wei-Liem Loh

The multivariate conditional probability distribution models the effects of a set of variables onto the statistical properties of another set of variables. In the study of systemic risk in a financial system, the multivariate conditional…

Risk Management · Quantitative Finance 2021-05-05 Tomaso Aste

We consider stochastic control systems affected by a fast mean reverting volatility $Y(t)$ driven by a pure jump L\'evy process. Motivated by a large literature on financial models, we assume that $Y(t)$ evolves at a faster time scale…

Probability · Mathematics 2014-05-27 Martino Bardi , Annalisa Cesaroni , Andrea Scotti

Let $X=\{X_t: t\ge 0\}$ be a stationary piecewise continuous $\R^d$-valued process that moves between jumps along the integral curves of a given continuous vector field, and let $S\subset\R^d$ be a smooth surface. The aim of this paper is…

Probability · Mathematics 2010-09-21 K. A. Borovkov , G. Last

We present the first exact analysis of some of the temporal properties of multivariate self-excited Hawkes conditional Poisson processes, which constitute powerful representations of a large variety of systems with bursty events, for which…

Statistical Mechanics · Physics 2014-08-26 A. Saichev , D. Sornette

In this paper, we establish sample path large and moderate deviation principles for log-price processes in Gaussian stochastic volatility models, and study the asymptotic behavior of exit probabilities, call pricing functions, and the…

Mathematical Finance · Quantitative Finance 2019-06-17 Archil Gulisashvili

We present an agent behavior based microscopic model that induces jumps, spikes and high volatility phases in the price process of a traded asset. We transfer dynamics of thermally activated jumps of an unexcited/ excited two state system…

Trading and Market Microstructure · Quantitative Finance 2017-02-01 Christof Henkel

This paper introduces the class of multidimensional self-exciting processes with dependencies (MSPD), which is a unifying writing for a large class of processes: counting, loss, intensity, and also shifted processes. The framework takes…

Probability · Mathematics 2025-03-27 Caroline Hillairet , Thomas Peyrat , Anthony Réveillac

Earlier we proposed the stochastic point process model, which reproduces a variety of self-affine time series exhibiting power spectral density S(f) scaling as power of the frequency f and derived a stochastic differential equation with the…

Physics and Society · Physics 2008-12-02 V. Gontis , B. Kaulakys

Hawkes processes are a particularly interesting class of stochastic process that have been applied in diverse areas, from earthquake modelling to financial analysis. They are point processes whose defining characteristic is that they…

Probability · Mathematics 2015-07-13 Patrick J. Laub , Thomas Taimre , Philip K. Pollett

In this paper we consider two semimartingales driven by diffusions and jumps. We allow both for finite activity and for infinite activity jump components. Given discrete observations we disentangle the {\it integrated covariation} (the…

Probability · Mathematics 2008-12-10 Fabio Gobbi , Cecilia Mancini

We consider a class of graph-valued stochastic processes in which each vertex has a type that fluctuates randomly over time. Collectively, the paths of the vertex types up to a given time determine the probabilities that the edges are…

Probability · Mathematics 2022-09-07 Peter Braunsteins , Frank den Hollander , Michel Mandjes

A piecewise-deterministic Markov process is a stochastic process whose behavior is governed by an ordinary differential equation punctuated by random jumps occurring at random times. We focus on the nonparametric estimation problem of the…

Statistics Theory · Mathematics 2016-05-24 Romain Azaïs , Aurélie Muller-Gueudin