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We develop a framework for composite likelihood estimation of parametric continuous-time stationary Gaussian processes. We derive the asymptotic theory of the associated maximum composite likelihood estimator. We implement our approach on a…

Econometrics · Economics 2026-01-21 Mikkel Bennedsen , Kim Christensen , Peter Christensen

Agents' heterogeneity is recognized as a driver mechanism for the persistence of financial volatility. We focus on the multiplicity of investment strategies' horizons, we embed this concept in a continuous time stochastic volatility…

Statistical Finance · Quantitative Finance 2013-04-04 Danilo Delpini , Giacomo Bormetti

This article studies the finite sample behaviour of a number of estimators for the integrated power volatility process of a Brownian semistationary process in the non semi-martingale setting. We establish three consistent feasible…

Statistics Theory · Mathematics 2021-06-18 Phillip Murray , Riccardo Passeggeri , Almut E. D. Veraart , Mikko S. Pakkanen

This paper offers a new method for estimation and forecasting of the volatility of financial time series when the stationarity assumption is violated. Our general local parametric approach particularly applies to general varying-coefficient…

Methodology · Statistics 2009-03-27 P. Čížek , W. Härdle , V. Spokoiny

In extracting time series data from various sources, it is inevitable to compile variables measured at varying frequencies as this is often dependent on the source. Modeling from these data can be facilitated by aggregating high frequency…

Methodology · Statistics 2025-03-05 Jetrei Benedick R. Benito , Joseph Ryan G. Lansangan , Erniel B. Barrios

A new mixture autoregressive model based on Student's $t$-distribution is proposed. A key feature of our model is that the conditional $t$-distributions of the component models are based on autoregressions that have multivariate…

Econometrics · Economics 2018-05-11 Mika Meitz , Daniel Preve , Pentti Saikkonen

We study the behavior of a real-valued and unobservable process (Y_t) under an extreme event of a related process (X_t) that is observable. Our analysis is motivated by the well-known GARCH model which represents two such sequences, i.e.…

Probability · Mathematics 2013-05-16 Andree Ehlert , Ulf-Rainer Fiebig , Anja Janßen , Martin Schlather

Study of instantaneous dependence among several variable is important in many of the high-dimensional sciences. Multivariate GARCH models are as a standard approach for modelling time-varying covariance matrix such phenomena. Cholesky GARCH…

Statistics Theory · Mathematics 2018-05-30 Toktam Valizadeh , Saeid Rezakhah

In this paper, we propose a multidimensional statistical model of intraday electricity prices at the scale of the trading session, which allows all products to be simulated simultaneously. This model, based on Poisson measures and inspired…

Statistical Finance · Quantitative Finance 2023-08-01 Thomas Deschatre , Xavier Warin

Advances in data collection are producing growing volumes of temporal count observations, making adapted modeling increasingly necessary. In this work, we introduce a generative framework for independent component analysis of temporal count…

Methodology · Statistics 2026-01-30 Alexandre Chaussard , Anna Bonnet , Sylvain Le Corff

Single index financial market models cannot account for the empirically observed complex interactions between shares in a market. We describe a multi-share financial market model and compare characteristics of the volatility, that is the…

Condensed Matter · Physics 2009-10-31 Adam Ponzi

HYGARCH model is basically used to model long-range dependence in volatility. We propose Markov switch smooth-transition HYGARCH model, where the volatility in each state is a time-dependent convex combination of GARCH and FIGARCH. This…

Statistics Theory · Mathematics 2018-03-05 Ferdous Mohammadi Basatini , Saeid Rezakhah

This paper offers a new approach for estimating and forecasting the volatility of financial time series. No assumption is made about the parametric form of the processes. On the contrary, we only suppose that the volatility can be…

Statistics Theory · Mathematics 2007-06-13 Danilo Mercurio , Vladimir Spokoiny

A time-varying zero-inflated serially dependent Poisson process is proposed. The model assumes that the intensity of the Poisson Process evolves according to a generalized autoregressive conditional heteroscedastic (GARCH) formulation. The…

Applications · Statistics 2023-07-19 Isuru Ratnayake , V. A. Samaranayake

In the past few decades considerable effort has been expended in characterizing and modeling financial time series. A number of stylized facts have been identified, and volatility clustering or the tendency toward persistence has emerged as…

Physics and Society · Physics 2008-12-02 Kan Chen , C. Jayaprakash , Baosheng Yuan

One of the most important features of financial time series data is volatility. There are often structural changes in volatility over time, and an accurate estimation of the volatility of financial time series requires careful…

Methodology · Statistics 2022-10-24 Huaiyu Hu , Ashis Gangopadhyay

The growing importance of intraday electricity trading in Europe calls for improved price forecasting and tailored decision-support tools. In this paper, we propose a novel generative neural network model to generate probabilistic path…

Applications · Statistics 2025-06-03 Jieyu Chen , Sebastian Lerch , Melanie Schienle , Tomasz Serafin , Rafał Weron

Stock market indices are volatile by nature, and sudden shocks are known to affect volatility patterns. The autoregressive conditional heteroskedasticity (ARCH) and generalized ARCH (GARCH) models neglect structural breaks triggered by…

Methodology · Statistics 2023-10-05 Tzung Hsuen Khoo , Dharini Pathmanathan , Philipp Otto , Sophie Dabo-Niang

This paper models stochastic process of price time series of CSI 300 index in Chinese financial market, analyzes volatility characteristics of intraday high-frequency price data. In the new generalized Barndorff-Nielsen and Shephard model,…

Statistical Finance · Quantitative Finance 2023-01-19 Xianfei Hui , Baiqing Sun , Indranil SenGupta , Yan Zhou , Hui Jiang

We consider estimation of the spot volatility in a stochastic boundary model with one-sided microstructure noise for high-frequency limit order prices. Based on discrete, noisy observations of an It\^o semimartingale with jumps and general…

Statistics Theory · Mathematics 2024-11-20 Markus Bibinger