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The only input to attain the portfolio weights of global minimum variance portfolio (GMVP) is the covariance matrix of returns of assets being considered for investment. Since the population covariance matrix is not known, investors use…

Portfolio Management · Quantitative Finance 2020-04-20 Jinwoo Park

Principal Component Analysis (PCA) is a well known procedure to reduce intrinsic complexity of a dataset, essentially through simplifying the covariance structure or the correlation structure. We introduce a novel algebraic, model-based…

Methodology · Statistics 2021-12-09 Martin Schlather , Felix Reinbott

Spectral estimators are fundamental in lowrank matrix models and arise throughout machine learning and statistics, with applications including network analysis, matrix completion and PCA. These estimators aim to recover the leading…

Statistics Theory · Mathematics 2025-02-17 Hao Yan , Keith Levin

In this paper, we propose the application of shrinkage strategies to estimate coefficients in the Bell regression models when prior information about the coefficients is available. The Bell regression models are well-suited for modeling…

Statistics Theory · Mathematics 2024-01-03 Solmaz Seifollahi , Hossein Bevrani , Zakariya Yahya Algamal

In this paper, we apply shrinkage strategies to estimate regression coefficients efficiently for the high-dimensional multiple regression model, where the number of samples is smaller than the number of predictors. We assume in the sparse…

Methodology · Statistics 2017-04-19 B. Yuzbasi , M. Arashi , S. E. Ahmed

This paper introduces a novel Bayesian approach for variable selection in high-dimensional and potentially sparse regression settings. Our method replaces the indicator variables in the traditional spike and slab prior with continuous,…

Methodology · Statistics 2025-02-07 Linduni M. Rodrigo , Robert Kohn , Hadi M. Afshar , Sally Cripps

We study a class of robust mean estimators $\widehat{\mu}$ obtained by adaptively shrinking the weights of sample points far from a base estimator $\widehat{\kappa}$. Given a data-dependent scaling factor $\widehat{\alpha}$ and a weighting…

Statistics Theory · Mathematics 2025-12-17 Antônio Catão , Lucas Resende , Paulo Orenstein

We consider the problem of principal component analysis (PCA) in a streaming stochastic setting, where our goal is to find a direction of approximate maximal variance, based on a stream of i.i.d. data points in $\reals^d$. A simple and…

Machine Learning · Computer Science 2016-01-05 Ohad Shamir

We study the subgradient method for factorized robust signal recovery problems, including robust PCA, robust phase retrieval, and robust matrix sensing. The resulting objectives are nonsmooth and nonconvex, and can have unbounded sublevel…

Optimization and Control · Mathematics 2026-01-22 Zesheng Cai , Lexiao Lai , Tiansheng Li

Portfolio optimization requires sophisticated covariance estimators that are able to filter out estimation noise. Non-linear shrinkage is a popular estimator based on how the Oracle eigenvalues can be computed using only data from the…

Portfolio Management · Quantitative Finance 2022-10-14 Christian Bongiorno , Damien Challet

Principal component analysis (PCA) is a standard tool for dimensional reduction of a set of $n$ observations (samples), each with $p$ variables. In this paper, using a matrix perturbation approach, we study the nonasymptotic relation…

Statistics Theory · Mathematics 2009-01-22 Boaz Nadler

We introduce a variant of (sparse) PCA in which the set of feasible support sets is determined by a graph. In particular, we consider the following setting: given a directed acyclic graph $G$ on $p$ vertices corresponding to variables, the…

The determination of the covariance matrix and its inverse, the precision matrix, is critical in the statistical analysis of cosmological measurements. The covariance matrix is typically estimated with a limited number of simulations at…

Cosmology and Nongalactic Astrophysics · Physics 2025-01-22 Marnix J. Looijmans , Mike Shengbo Wang , Florian Beutler

The kernel trick concept, formulated as an inner product in a feature space, facilitates powerful extensions to many well-known algorithms. While the kernel matrix involves inner products in the feature space, the sample covariance matrix…

Computation · Statistics 2017-07-20 Tomer Lancewicki

We introduce a mini-batch stochastic variance-reduced algorithm to solve finite-sum scale invariant problems which cover several examples in machine learning and statistics such as principal component analysis (PCA) and estimation of…

Optimization and Control · Mathematics 2023-04-25 Cheolmin Kim , Youngseok Kim , Diego Klabjan

Fan et al. [$\mathit{Annals}$ $\mathit{of}$ $\mathit{Statistics}$ $\textbf{47}$(6) (2019) 3009-3031] constructed a distributed principal component analysis (PCA) algorithm to reduce the communication cost between multiple servers…

Statistics Theory · Mathematics 2021-10-07 Kangqiang Li , Han Bao , Lixin Zhang

The problem of estimating sparse eigenvectors of a symmetric matrix attracts a lot of attention in many applications, especially those with high dimensional data set. While classical eigenvectors can be obtained as the solution of a…

Machine Learning · Statistics 2016-11-03 Konstantinos Benidis , Ying Sun , Prabhu Babu , Daniel P. Palomar

Bilevel optimization, the problem of minimizing a value function which involves the arg-minimum of another function, appears in many areas of machine learning. In a large scale empirical risk minimization setting where the number of samples…

Machine Learning · Statistics 2024-12-03 Mathieu Dagréou , Pierre Ablin , Samuel Vaiter , Thomas Moreau

Principal component analysis (PCA) is a classical method for dimensionality reduction based on extracting the dominant eigenvectors of the sample covariance matrix. However, PCA is well known to behave poorly in the ``large $p$, small $n$''…

Statistics Theory · Mathematics 2009-08-26 Arash A. Amini , Martin J. Wainwright

Multi-target linear shrinkage is an extension of the standard single-target linear shrinkage for covariance estimation. We combine several constant matrices - the targets - with the sample covariance matrix. We derive the oracle and a…

Statistics Theory · Mathematics 2025-03-13 Benoit Oriol