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We propose a novel alternative approach to our previous work (Ben Hammouda et al., 2023) to improve the efficiency of Monte Carlo (MC) estimators for rare event probabilities for stochastic reaction networks (SRNs). In the same spirit of…

Numerical Analysis · Mathematics 2024-03-12 Chiheb Ben Hammouda , Nadhir Ben Rached , Raúl Tempone , Sophia Wiechert

Importance Sampling (IS) is a widely used variance reduction technique for enhancing the efficiency of Monte Carlo methods, particularly in rare-event simulation and related applications. Despite its effectiveness, the performance of IS is…

Optimization and Control · Mathematics 2026-02-11 Liviu Aolaritei , Bart P. G. Van Parys , Henry Lam , Michael I. Jordan

Estimating the expectations of functionals applied to sums of random variables (RVs) is a well-known problem encountered in many challenging applications. Generally, closed-form expressions of these quantities are out of reach. A naive…

Information Theory · Computer Science 2022-10-27 Eya Ben Amar , Nadhir Ben Rached , Abdul-Lateef Haji-Ali , Raúl Tempone

Importance sampling (IS) is a widely used simulation method for estimating rare event probabilities. In IS, the relative variance of an estimator is the most common measure of estimator accuracy, and the focus of existing literature is on…

Statistics Theory · Mathematics 2026-01-05 Julie Choi , Peter Glynn

We describe an adaptive importance sampling algorithm for rare events that is based on a dual stochastic control formulation of a path sampling problem. Specifically, we focus on path functionals that have the form of cumulate generating…

Dynamical Systems · Mathematics 2019-01-30 Omar Kebiri , Lara Neureither , Carsten Hartmann

The multilevel Monte Carlo (MLMC) method for continuous-time Markov chains, first introduced by Anderson and Higham (SIAM Multiscal Model. Simul. 10(1), 2012), is a highly efficient simulation technique that can be used to estimate various…

Numerical Analysis · Mathematics 2022-11-08 Chiheb Ben Hammouda , Nadhir Ben Rached , Raul Tempone

Importance sampling (IS) is a technique that enables statistical estimation of output performance at multiple input distributions from a single nominal input distribution. IS is commonly used in Monte Carlo simulation for variance reduction…

Methodology · Statistics 2025-05-07 Yijuan Liang , Guangxin Jiang , Michael C. Fu

Importance sampling (IS) as an elegant and efficient variance reduction (VR) technique for the acceleration of stochastic optimization problems has attracted many researches recently. Unlike commonly adopted stochastic uniform sampling in…

Machine Learning · Computer Science 2017-11-02 Fei Wang , Xiaofeng Gao , Guihai Chen , Jun Ye

This paper investigates asymptotically optimal importance sampling (IS) schemes for pricing European call options under the Heston stochastic volatility model. We focus on two distinct rare-event regimes where standard Monte Carlo methods…

Mathematical Finance · Quantitative Finance 2025-11-26 Yun-Feng Tu , Chuan-Hsiang Han

Importance sampling (IS) is a Monte Carlo methodology that allows for approximation of a target distribution using weighted samples generated from another proposal distribution. Adaptive importance sampling (AIS) implements an iterative…

Computation · Statistics 2018-06-04 Yousef El-Laham , Victor Elvira , Monica F. Bugallo

This paper investigates Monte Carlo (MC) methods to estimate probabilities of rare events associated with solutions to the $d$-dimensional McKean-Vlasov stochastic differential equation (MV-SDE). MV-SDEs are usually approximated using a…

Numerical Analysis · Mathematics 2024-10-15 Nadhir Ben Rached , Abdul-Lateef Haji-Ali , Shyam Mohan Subbiah Pillai , Raúl Tempone

This paper investigates the use of retrospective approximation solution paradigm in solving risk-averse optimization problems effectively via importance sampling (IS). While IS serves as a prominent means for tackling the large sample…

Risk Management · Quantitative Finance 2022-06-28 Anand Deo , Karthyek Murthy , Tirtho Sarker

Monte Carlo estimation in plays a crucial role in stochastic reaction networks. However, reducing the statistical uncertainty of the corresponding estimators requires sampling a large number of trajectories. We propose control variates…

Methodology · Statistics 2021-10-19 Michael Backenköhler , Luca Bortolussi , Verena Wolf

Importance sampling (IS) is a powerful Monte Carlo (MC) methodology for approximating integrals, for instance in the context of Bayesian inference. In IS, the samples are simulated from the so-called proposal distribution, and the choice of…

Machine Learning · Computer Science 2022-09-29 Ali Mousavi , Reza Monsefi , Víctor Elvira

Estimating the probability that a sum of random variables (RVs) exceeds a given threshold is a well-known challenging problem. Closed-form expression of the sum distribution is usually intractable and presents an open problem. A crude Monte…

Information Theory · Computer Science 2014-09-23 Nadhir Ben Rached , Fatma Benkhelifa , Abla Kammoun , Mohamed-Slim Alouini , Raul Tempone

Importance sampling (IS) is a Monte Carlo technique for the approximation of intractable distributions and integrals with respect to them. The origin of IS dates from the early 1950s. In the last decades, the rise of the Bayesian paradigm…

Computation · Statistics 2024-06-21 Víctor Elvira , Luca Martino

Driven by applications in telecommunication networks, we explore the simulation task of estimating rare event probabilities for tandem queues in their steady state. Existing literature has recognized that importance sampling methods can be…

Machine Learning · Computer Science 2025-04-22 Ruoning Zhao , Xinyun Chen

Importance sampling (IS) is an important technique to reduce the estimation variance in Monte Carlo simulations. In many practical problems, however, the use of IS method may result in unbounded variance, and thus fail to provide reliable…

Computation · Statistics 2019-02-26 Tengchao Yu , Linjun Lu , Jinglai Li

We consider the important problem of estimating parameter sensitivities for stochastic models of reaction networks that describe the dynamics as a continuous-time Markov process over a discrete lattice. These sensitivity values are useful…

Probability · Mathematics 2018-01-12 Ankit Gupta , Muruhan Rathinam , Mustafa Khammash

The estimation of the probability of rare events is an important task in reliability and risk assessment. We consider failure events that are expressed in terms of a limit state function, which depends on the solution of a partial…

Numerical Analysis · Mathematics 2020-07-15 Fabian Wagner , Jonas Latz , Iason Papaioannou , Elisabeth Ullmann
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