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We consider the stochastic Cahn-Hilliard equation driven by additive Gaussian noise in a convex domain with polygonal boundary in dimension $d\le 3$. We discretize the equation using a standard finite element method in space and a fully…

Numerical Analysis · Mathematics 2018-05-04 Daisuke Furihata , Mihály Kovács , Stig Larsson , Fredrik Lindgren

In this paper, we consider the portfolio optimization problem in a financial market where the underlying stochastic volatility model is driven by n-dimensional Brownian motions. At first, we derive a Hamilton-Jacobi-Bellman equation…

Mathematical Finance · Quantitative Finance 2024-12-20 Minglian Lin , Indranil SenGupta

Instances of discrete quantum systems coupled to a continuum of oscillators are ubiquitous in physics. Often the continua are approximated by a discrete set of modes. We derive analytical error bounds on expectation values of system…

Quantum Physics · Physics 2016-02-16 Mischa P. Woods , Martin B. Plenio

This paper investigates the approximation of stochastic delay differential equations (SDDEs) via the backward Euler-Maruyama (BEM) method under generalized monotonicity and Khasminskii-type conditions in the infinite horizon. First, by…

Numerical Analysis · Mathematics 2025-05-20 Yudong Wang , Hongjiong Tian

We consider a convexity constrained Hamilton-Jacobi-Bellman-type obstacle problem for the value function of a zero-sum differential game with asymmetric information. We propose a convexity-preserving probabilistic numerical scheme for the…

Numerical Analysis · Mathematics 2021-03-26 Ľubomír Baňas , Giorgio Ferrari , Tsiry A. Randrianasolo

A classical problem in ergodic continuous time control consists of studying the limit behavior of the optimal value of a discounted cost functional with infinite horizon as the discount factor $\lambda$ tends to zero. In the literature,…

Optimization and Control · Mathematics 2024-01-23 Piermarco Cannarsa , Stephane Gaubert , Cristian Mendico , Marc Quincampoix

Numerical analysis for the stochastic Stokes equations is still challenging even though it has been well done for the corresponding deterministic equations. In particular, the pre-existing error estimates of finite element methods for the…

Numerical Analysis · Mathematics 2023-12-13 Buyang Li , Shu Ma , Weiwei Sun

In this paper we investigate a priori error estimates for the space-time Galerkin finite element discretization of an optimal control problem governed by a simplified linear gradient enhanced damage model. The model equations are of a…

Numerical Analysis · Mathematics 2020-04-10 Marita Holtmannspötter , Arnd Rösch , Boris Vexler

Appropriate time discretization is crucial for real-time applications of numerical optimal control, such as nonlinear model predictive control. However, if the discretization error strongly depends on the applied control input, meeting…

Optimization and Control · Mathematics 2024-09-17 Amon Lahr , Filip Tronarp , Nathanael Bosch , Jonathan Schmidt , Philipp Hennig , Melanie N. Zeilinger

We analyze the infinite horizon minimax average cost Markov Control Model (MCM), for a class of controlled process conditional distributions, which belong to a ball, with respect to total variation distance metric, centered at a known…

Optimization and Control · Mathematics 2015-12-22 Ioannis Tzortzis , Charalambos D. Charalambous , Themistoklis Charalambous

This paper is dedicated to the investigation of a new numerical method to approximate the optimal stopping problem for a discrete-time continuous state space Markov chain under partial observations. It is based on a two-step discretization…

Optimization and Control · Mathematics 2016-02-16 Benoîte de Saporta , François Dufour , Christophe Nivot

This work is concerned with quasi-optimal a-priori finite element error estimates for the obstacle problem in the $L^2$-norm. The discrete approximations are introduced as solutions to a finite element discretization of an accordingly…

Numerical Analysis · Mathematics 2018-11-26 Dominik Hafemeyer , Christian Kahle , Johannes Pfefferer

In this paper we propose and analyze a Discontinuous Galerkin method for a linear parabolic problem with dynamic boundary conditions. We present the formulation and prove stability and optimal a priori error estimates for the fully discrete…

Numerical Analysis · Mathematics 2015-01-21 Paola F. Antonietti , Maurizio Grasselli , Simone Stangalino , Marco Verani

We present a methodology for obtaining explicit solutions to infinite time horizon optimal stopping problems involving general, one-dimensional, It\^o diffusions, payoff functions that need not be smooth and state-dependent discounting.…

Computational Finance · Quantitative Finance 2012-10-10 Timothy C. Johnson

We derive optimal order a posteriori error estimates for fully discrete approximations of the initial-boundary value problem for the heat equation. For the discretization in time we apply the fractional-step $\vartheta$-scheme and for the…

Numerical Analysis · Mathematics 2014-04-03 Karakatsani Fotini

We consider the problem of portfolio optimization in a simple incomplete market and under a general utility function. By working with the associated Hamilton-Jacobi-Bellman partial differential equation (HJB PDE), we obtain a closed-form…

Probability · Mathematics 2018-02-22 Rohini Kumar , Hussein Nasralah

In this paper error analysis for finite element discretizations of Dirichlet boundary control problems is developed. For the first time, optimal discretization error estimates are established in the case of three dimensional polyhedral and…

Numerical Analysis · Mathematics 2024-01-05 Johannes Pfefferer , Boris Vexler

We propose a new practical adaptive refinement strategy for $hp$-finite element approximations of elliptic problems. Following recent theoretical developments in polynomial-degree-robust a posteriori error analysis, we solve two types of…

Numerical Analysis · Mathematics 2018-10-17 Patrik Daniel , Alexandre Ern , Iain Smears , Martin Vohralík

Model Predictive Control has emerged as a popular tool for robots to generate complex motions. However, the real-time requirement has limited the use of hard constraints and large preview horizons, which are necessary to ensure safety and…

In this paper, we investigate dynamic optimization problems featuring both stochastic control and optimal stopping in a finite time horizon. The paper aims to develop new methodologies, which are significantly different from those of mixed…

Portfolio Management · Quantitative Finance 2014-06-27 Xiongfei Jian , Xun Li , Fahuai Yi
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